Most people think crypto funds print money, but for a
$BTC trading desk, squeezing out even 10 basis points (0.10%) of extra return can feel like winning the lottery.
Thatโs the frustrating part many traders donโt see. When youโre managing real size, the game isnโt about catching a 50% pump. Itโs about grinding tiny edges without blowing up from slippage, liquidity gaps, or crowded trades.
Algorithmic funds trading
$BTC face a scaling problem. A strategy that works beautifully with $100k often breaks when you push it to $10M. Enter a position too fast and you move the market. Exit during volatility and spreads widen. Suddenly that 0.20% theoretical edge disappears into fees, slippage, and competition from other bots hunting the same inefficiencies.
It gets worse in liquid pairs like
$BTC or
$ETH where thousands of algorithms are competing for the same microโopportunities. Even in fast ecosystems like
$SOL , once a strategy becomes popular, the edge compresses quickly. What looked like a clean signal in backtests can turn into a negative trade once real liquidity and latency hit.
So the real risk isnโt just picking the wrong coin. Itโs assuming a profitable strategy will keep working after it scales.
Curious how others think about scaling trading strategies in markets like
$BTC . Does size eventually kill every edge?
#CryptoTrading #BTC #AlgoTrading