I must say, studying a Master's open your eyes in many ways. One of them is the know-how about how to actually do business with IT. As a Computer engineer, all IT is just IT. ITAM gives a very good program called MTIA which it is in my opinion, the perfect bridge between IT and business management. It will give you the tools to monetize the technology. I might think the MTIA program might see the future of the FinTech in a very naive way (the program, at least in 2007-2010, did not have any subjects related to cryptocurrencies).
I must recognize I delayed getting into cryptocurrencies. Although I was aware of Bitcoin, I did not take it seriously because I was not able to go to Walmart and pay with it. At that time I did not completely understand how to convert the cryptocurrency to my local currency.
In late 2016, I started to study the cryptocurrencies and built a little miner. After some readings and studies about the cryptocurrencies fluctuations, its relationship with trading, and financial impacts, I took the call not only to mine them but to make them as much as profitable I could. I decided to start trading.
After getting more confident with the trading thing, I wonder if I could make a bigger profit if I do trading with more pairs. However, during my readings on the Internet and chatting with other traders in forums I found that it is not recommendable to trade against all pairs the Exchange offers. For example, Poloniex offers like 80 different pairs (most in the Bitcoin market).
Of course, as a newbie, I decided to ignore that advice and I traded with all available pairs as possible. Here it comes the problem: dust. Although it was making a profit, at the end I had a lot of dust. Dust is the balance that is not tradable, for example, Poloniex will not allow any trading that is less than 0.0001 in any market (after fees); any balance equivalent less than 0.0001 BTC (for Bitcoin market) is considered to be dust.
Here it is my solution to this problem while I try to answer the question: What pairs should I trade?
One of the things I have learned when coding Trademinator is that you can not have the same strategy when you have a bulling or bearing market. When a market is bulling, the smartest thing you could do is holding until you reach an inflection point before selling; when you are in a bearing market, you sell to prevent losses as soon as possible.
There are many ways to detect the trend: bearish, neutral, bullish. The DMI and ADX metrics are for that, but they require CPU power. After giving a thought, I came with one solution from my own which it requires much less CPU. I will talk about one I have come myself.