AI agents are rapidly entering the market, and the "iPhone moment" for the crypto trading market is approaching.
AI Summary2 min read
TL;DR
AI-driven automated trading agents are nearing a tipping point in crypto trading, with specialized models outperforming general ones by using risk-adjusted metrics. However, concerns exist about Alpha advantage exhaustion, and long-term benefits may favor those with resources for private tools.
According to a report by CoinDesk on December 13th, as reported by Mars Finance, industry insiders point out that while machine learning in the crypto trading field has not yet reached a stage of widespread adoption similar to the "iPhone moment," AI-driven automated trading agents are rapidly approaching this tipping point. With the increasing customization of algorithms and the improvement of reinforcement learning capabilities, the new generation of AI trading models is no longer simply pursuing absolute profit and loss (P&L), but instead introducing risk-adjusted metrics such as Sharpe ratio, maximum drawdown, and Value at Risk (VaR) to dynamically balance risk and return in different market environments. Michael Sena, Chief Marketing Officer of Recall Labs, stated that in recent AI trading competitions, specially customized and optimized trading agents significantly outperformed general-purpose models, which only slightly outperformed the market when executing trades autonomously. The results show that specialized trading agents with added logic, inference, and data sources are gradually surpassing basic models. However, the "democratization" of AI trading has also raised concerns about whether the Alpha advantage will be quickly exhausted. Sena points out that those who will truly benefit in the long run will still be institutions and individuals with the resources to develop private, specialized tools. The most promising form in the future may be an "intelligent portfolio manager" that is driven by AI but still allows users to set strategy preferences and risk parameters.