In today’s world, Twitter is a very vital and influential media resource. Prominent social trading platform eToro has decided to take the positive sentiments received on Twitter to a different level altogether. Like other organizations, eToro is also now focusing on the activities happening in social media platforms. The platform is now implementing some unique investment strategies to make optimum use of the information available on this source.
TheTIE-LongOnly CopyPortfolio
- Twitter is one of the most useful tools for estimating market sentiment. However, filtering through this huge data source is a difficult task. eToro has associated with The TIE to create exclusive sentiment-driven investment plans for the network of dealers, traders, described as “TheTIE-LongOnly CopyPortfolio.”
- The LongOnly CopyPortfolio is accessible to eToro clients through The TIE, a cryptocurrency data analytics platform. Besides, users of eToro trading on this strategy will open cryptocurrency trades based upon positive sentiments given on Twitter.
- The Tie’s exclusive machine learning and language processing models take in 850 million tweets each day. Further, they evaluate the positive and negative tone of discussions on Twitter. TheTIE-LongOnly CopyPortfolio strategy works based upon positive assessment, algorithmically rebalancing once every month.
The TIE
- The TIE is one of the leading cryptocurrency information service organizations, which provides refined and exclusive digital asset data solutions for buying side firms and other market players.
- Further, the TIE has created algorithmic cryptocurrency trading models driven by a group, which have accomplished the highest outperformance and reduced the risk in the trading sector.
- Located in New York, Connecticut, and Greenwich, The TIE, LLC was established in December 2017 by its co-founders Joseph Gits, Joshua Frank, Eric Frank, and Ben Latz. The TIE has focused on a strict ethics approach, guaranteeing the integrity and independence of the data and offerings.
How was TheTIE-LongOnly CopyPortfolio developed?
The TIE’s Partner CopyPortfolio was created in a joint effort with Social Market Analytics, an investor in The TIE and a leading provider of evaluated sentiment data to the world’s biggest financial firms. In 2020, eToro will be featuring in additional two CopyPortfolio systems from The Tie, which includes a Long-Short and Market-Neutral methodology.
Performance of TheTIE-LongOnly CopyPortfolio
Ever since launching the procedure from October 2017, the algorithm has created a 281 percent return after charges, contrasted with a 41 percent return produced by Bitcoin alone. Annually, The TIE’s Long-Only portfolio system produces a return of 123 percent on an average, contrasted with a 29 percent return from similar crypto assets.
How does TheTIE-LongOnly CopyPortfolio operate?
TheTIE-LongOnly CopyPortfolio’s system opens trades dependent on positive sentiment signs that are given on Twitter. By accessing the Twitter Firehose (the full ongoing stream of all tweets sent), over 850 million everyday tweets are efficiently analyzed for their crypto sentiment. Moreover, rebalancing happens monthly and is done algorithmically by using advanced machine learning procedures.
Earlier in August, eToro had expanded its platform by adding Cryptocurrencies by giving access to leading cryptocurrencies such as Bitcoin, Ethereum, and several others.