Can AI trading Bots really help you make money? Two industry pros have spoken the truth.

Recently, AI trading Bots have become popular in the crypto world, and many people think that they can just hand it over to the Bots and earn money effortlessly. However, Brett Singer from Glassnode and Nodari Kolmachidzé from Cindicator recently poured cold water on this idea during a podcast on Cointelegraph—AI trading Bots are not as miraculous as they seem.

The true value of AI is not in “decision-making”, but in “finding data”

Singer said a big truth: the superpower of AI in trading is not some black magic decision-making, but super-fast data processing capability. Machines can scan massive amounts of historical data in seconds, finding patterns that human eyes can never detect. Glassnode's Claude MCP server is used this way - it's not trading coins for you, but helping you sort out complex problems.

But there's a big pitfall here: most AI Bots can't outperform the market in real situations. Many Bots use cheap backtesting data or single signal strategies, which are far less rigorous than those of professional quantitative funds.

ChatGPT cannot trade coins, this is common sense

Kolmachidzé directly pointed out an absurd phenomenon: don’t expect chatbots like ChatGPT to help you make money. Those are trained on massive amounts of text, and the training data does not include complex market microstructures. He is right— even top hedge funds find it difficult to achieve stable profits, and you expect a chat tool to do that? There is a problem with this logic.

The most heartbreaking fact: the market is changing, and Bots will become ineffective.

Even well-trained models can suffer significant losses once the market structure changes (such as a reversal in volatility patterns or market sentiment). It's like autonomous driving encountering a snowstorm; no matter how advanced the algorithm, it won't help.

So what is the correct usage of AI trading Bots?

Both point to the same conclusion: AI should be the assistant or intern of the trader, capable of working 24 hours a day, but the final decision must rely on humans. Its role is:

  • Quickly filter data
  • Identify potential opportunities
  • Reduce the burden of repetitive analysis
  • but can never replace human judgment.

Bottom line

Don't be brainwashed by the marketing of “AI auto profit.” The truly useful AI trading tools are not some magical device, but rather efficiency-enhancing assistants. If someone is selling you an AI Bots that claims to generate stable profits, ask yourself: why are the smartest funds in the world still losing money?

Want to learn more? Cointelegraph's full podcast is now available on Apple Podcasts and Spotify.

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