Bybit Smart Copy Mode: The Way To Secure Copy Trading Profits

Trading cryptocurrencies can be a lucrative way to earn from the ever-volatile crypto market. However, most people shy away from it due to the intense technical analysis needed when placing trades. 

Thankfully, the world of trading now has helpful tools that have simplified crypto trading and made it easier even for beginners to make money from price movements.

One such tool is the Bybit Copy Trading feature that automates buying and selling of cryptocurrencies. Bybit, as a customer-centric platform, has now taken copy trading a notch higher with the launch of Copy Trading 3.0 which includes the Smart Copy Mode.

In this post, we’ll explore the Bybit Smart Copy Mode and how you can safely make profits as a Follower with just a few clicks.

What Is Bybit Smart Copy Mode?

The Smart Copy Mode is a simple-to-use copy trading feature on Bybit that lets you reap profits from the crypto market even without prior trading experience. The Smart Copy Mode is part of the three major upgrades done on the Bybit Copy Trading platform in January 2023. 

The upgrades are designed to make it even easier for users to make returns from the automated mimicking of successful traders (Master Traders) on the platform.

Unlike the old Copy mode, the Smart Copy Mode requires only three steps to follow a Master Trader and start earning. Now, all you’ll need to do is enter an investment amount (minimum 50 USDT), select a Bybit account to transfer the funds from, and click the Copy Now button to get things rolling.  

As such, it’s now easier and more assuring to join as a Follower and begin successfully copy trading on Bybit. 

Better yet, the Bybit Smart Copy Mode has a revamped user interface that’s simpler to use and more intuitive than the old mode which was more technical, ensuring a seamless, hassle-free trading experience for both novices and advanced traders. 

Key Features of Bybit Smart Copy Mode

Other than the new improved user-friendly interface and quick setup, there are some key features of the Bybit Smart Copy Mode that make it easier to trade while minimizing risks. They are:

Copy Position By Ratio

Trading via copy position by ratio allows Followers to manage their portfolio risk. Based on the calculated ratio, Followers can gauge the confidence the Master Trader has when opening a trade position. A Follower’s copy trade can then mimic the position based on the calculated ratio of the Master Trader which will indicate the same confidence levels.

Case in point: Let’s say a Master Trader has 10 BTC in their account but they enter a long position with only 1 BTC. In typical copy trading, a Follower who has 1 BTC in their account will automatically copy the trade with the whole 1 BTC, which exposes their entire portfolio.

However, with the Smart Copy Mode, a ratio calculated based on the available balances in the Follower’s and the Master Trader’s accounts will be exposed for copy trading. In this case, if the ratio is calculated to be 10%, the Follower’s copy trade amount will be 0.1 BTC instead of their full balance of 1 BTC. Such a feature is beginner-friendly since it helps to significantly minimize users’ risk exposure. 

Bybit CopyGuard

Another amazing feature of the Smart Copy Mode is the Bybit CopyGuard which is designed to limit losses by adding an extra layer of protection for Followers. While most Master Traders strive to consistently implement successful trading strategies, it’s not uncommon to find some trades that will incur losses.

In such instances as a copy trader, you will incur losses similar to the Master Trader.  That’s where the Bybit CopyGuard feature comes in handy.

With CopyGuard turned on, all of the Follower’s trades are optimized in the sense that the entry will always be at an optimal price not worse than that of the Master Trader. If an optimal price is not attained, the trade won’t be copied. However, note that at the point of trade execution, slippage may occur, causing the final execution price to be at times slightly worse than that of the Master Trader. 

Therefore, Bybit’s copy by ratio and CopyGuard features work together to ensure that Followers have an extra layer of protection against losses when copy trading. 

Smart Copy Mode vs. Advanced Copy Mode: Which Is Better?

Bybit’s Copy Trading settings allow you to choose between the Smart Copy Mode or the Advanced Copy Mode. While both provide an avenue for you to successfully copy a Master Trader’s strategy, there are several differences between the two that may make you opt for one over another. They are:

• Setting up – You only require a few steps to get started on Smart Copy Mode compared to the numerous steps you’ll need to set up Advanced Copy Mode. As such, Smart Copy Mode is ideal for both beginning and advanced traders who want to avoid the hassle of activating the parameters on the Advanced Copy Mode.

• Copy By Ratio – As mentioned, the Smart Copy Mode has a copy by ratio feature that lets the Followers automatically copy the Master Trader’s margin based on a calculated ratio. In contrast, when using the Advanced Copy Mode, a Follower will need to spend some time and effort to manually set the fixed margin for each copy trade.

• Leverage – Margin trading can be risky especially if you’re new to trading as you are borrowing funds to trade, which may lead to high losses. When using the Smart Copy Mode, a Follower’s leverage settings mirror those of the experienced Master Trader. However, for the Advanced Copy Mode, you’ll need to choose between three leverage settings — Follow Trader’s leverage, Fixed or Custom leverage. As such, there’s a high risk of overleveraging for some overzealous traders.

  

From the above comparison, it’s highly recommended to go for the Smart Copy Mode if you are a beginner to crypto or copy trading since it provides you with loss-limiting features before you learn your way around the field. For advanced traders, you can go for the Bybit Advanced Copy Mode or stick to the Smart Copy Mode.

Final Thoughts

The upgrades to Bybit’s Copy Trading system have made it easier to make gains from copy trading. Regardless of your status as a beginning or advanced trader,you can have the assurance of a safe trading experience even with margin trading as all the risks are mitigated for you through the Smart Copy Mode.

Compared to the Advanced Copy Mode, the copy by ratio and CopyGuard features on the Smart Copy Mode help limit losses through reduced risk exposure. The enhanced automated settings on Smart Copy Mode are sure ways to successfully copy Master Traders without fear of wiping out your account. So, try out the Smart Copy Mode for your copy trading now and earn profits the secure way!