1/3 📢 Hummingbot v2.17.0 is released! 🥳🔥🚀 A leaner Gateway API, six new Condor agents, Meteora DAMM v2 + Orca upgrades, and the Agent Builders Cup finals start Oct 6. 📰 hummingbot.substack.com/p/hu…

Why Is My Bot Selling and Still Losing Money? "If our position is below the break-even price and we are selling, it's like we are realizing the loss." "Every time that you sell below this break-even price, you're realizing the loss." "But obviously, if you are not selling, you're also taking the position risk — and if the market goes down, you are losing more."

What Even Is Cointegration? Our CTO @cardosofede explains: "Imagine two drunk people walking down the street, each taking random steps. On their own, their path looks random, non-stationary. But if they're holding hands, they never drift too far apart — they stay together in the long term, even though they're both stumbling around." "That 'holding hands' idea is cointegration." "If they are not holding hands, they'll probably diverge. If they are holding hands, they might have different movement in the middle, but overall in the long term, they're going to go together down the same path."

The Hummingbot community keeps delivering! 🦅 Condor is hitting incredible retention numbers (~25% of installs are active users) because it genuinely makes workflows smoother. Massive props to @cardosofede for leading this. Haven’t tried it yet? Now is the perfect time. Give it a spin 👇

How does a grid make money on chop? Our CTO @cardosofede shares: “This is how the grid works. It is taking profit slowly, but taking profit. And at each movement that happens is like buying, selling, buying and selling. You will make profits of the buy and sell.”

Clock = stale quotes and getting picked off. ⏰ Distance = adaptive and capital efficient. 📏 In crypto, especially with emerging FX pairs like BRL, distance-based refresh is the only way to survive live. Amazing breakdown, Fede!

Where should a small trader look first? Our co-founder @fengtality shares that: “For smaller traders — whether you use Hummingbot or not — the easiest way to make money in crypto is just farming some new exchange at the point when they’ve launched. There’s always a one-to-three-month window where the points you accrue are worth the investment.” “The best opportunities are always in the new markets… Prediction markets feel like perpetual exchanges five years ago.”

TVL is lying, hunt idle liquidity Our co-founder @fengtality shares that: “This pool is an example of what I would consider an attractive pool, where the TVL does not tell the whole story.” “TVL is $67,000 and the fee is 0.43%. For a really high-volatility pool that does not seem attractive. But even though there’s $68,000 locked, there’s actually not a lot of liquidity at the current price.” “My range is only $3,800 — less than 1/20 of what’s in the pool — and in most of these bins I’m 50–90% of the liquidity. When this pool is used, pretty much all the fees are going to me.” “Find pools where TVL is really big, but the liquidity centered within 10% of the current price is less than 10% — or even 20%. That means a lot of liquidity isn’t being used, and you can get a much higher yield.”

What is the Job of a Market Maker? Our co-founder @fengtality shares that: "As a maker, you're providing an essential service that someone needs — the exchange or the token issuer — so there's usually some reward.” "The market maker's job is to provide liquidity for that initial period after the token has been created — and help it trade better.”

Who Runs Bots? 🤖 Our co-founder @fengtality shares that: "A lot of the large market firms like Citadel, even Jane Street started as a single individual algorithm trader, who grew into a team, and eventually a proper trading firm.” "The line between retail and institutional is getting smaller because crypto lets more people access the same APIs that institutional market makers use."