built a system that scrapes crypto news (coindesk, cointelegraph, decrypt, reddit etc) and scores each coin from
-10 to +10 based on the overall sentiment.
i use it to adjust my grid bot – high confidence bullish signal means bigger position sizes, bearish means reduce
or skip.
tested it against actual market moves over the past day:
– called BTC correctly (bullish, market +1.6%)
– called SOL correctly (neutral/hold, market +4.3%)
– missed on ETH (said reduce, market went +2%)
3 out of 4 isnt bad for automated analysis imo. way better than my gut feeling lol.
anyone else doing something similar? what data sources work best for you? im finding RSS feeds + reddit gives a
decent picture but im sure theres more out there
Anyone automating their DCA with news sentiment analysis?
byu/SouthSchedule8832 inCryptoMarkets
Posted by SouthSchedule8832
4 Comments
Nice! I’ve built quite a similar wevsite but with built-in risk management
[removed]
You posted yesterday in r/FreeKarma4You: [**need some karma to post in crypto subs**](https://nr.reddit.com/r/FreeKarma4You/comments/1r31sxh/need_some_karma_to_post_in_crypto_subs/)
This can make some say that this makes your post today look like it’s meant to function as a funnel or advertisement. I would never say this, but some might.
Also, didn’t you already make [this exact same post here yesterday](https://nr.reddit.com/r/CryptoMarkets/comments/1r31n1t/anyone_automating_their_dca_with_news_sentiment/)?
This method is counterproductive since Dollar Cost Averaging is a systematic investing method, where you invest a fixed amount at regular intervals regardless of market conditions. You buy high, you buy low, you buy when you want, or when you can , based on your own conviction.
Setting it according to market sentiment amounts to trying to time the market which is exactly the opposite of what a DCA is for.