Bitcoin (BTC) and cryptocurrency markets, characterized by high volatility and uninterrupted operation, present challenges for psychological management that go beyond technical or fundamental analysis.
Historically, The most difficult barrier for operators to overcomeWhether you’re a beginner or an experienced player, it’s not about reading charts; control one’s own impulses. Fear of losing (FUD), greed, and fear of missing out (FOMO) often lead to negative decisions about portfolios that would have been successful under a logical, mechanical strategy.
Decisions based on foreboding and panic in the face of a sudden drop in Bitcoin are factors in settlements. Given this scenario, technology attempts to remove the visceral element from the equation.
At LABITCONF 2025, which was recently held in Buenos Aires, CriptoNoticias spoke with BOTFX Director Newton Ng. A trader with over 30 years of experience suggests that the solution to this human dilemma lies in the integration of tools such as artificial intelligence (AI).
Declining human element in trading
For Newton Ng, who started his career in financial markets trading on the Hong Kong Stock Exchange in 1984, the evolution to digital is natural, but fundamental issues remain.
When asked about his technology’s contribution, he said, “First of all,[AI]solves a very big problem of emotion and fear.”
According to experts, the use of algorithms and machine learning (machine learning) allows us to process data without the emotional bias that people suffer from when looking at changes in capital.
“We get the most out of technology by eliminating emotion. Because what’s the first problem for a trader? Emotions. ‘Get out,’ ‘That’s not true,’ ‘This means, get in here,’ ‘Get out of there,’ ‘This is what you have to do,'” he explained.
But Newton makes it clear by emphasizing that: AI is not a magic solution or a complete replacement for human intelligencebut rather acts as a capacity enhancer.
“There is one simple reason why artificial intelligence is not smart. Look, think of artificial intelligence as Google on steroids. That’s it.” If you don’t train it and give it prompts, the right guidelines, you won’t get results.
Newton ng, botfx directives.
“Smart money” and market makers
A key aspect of market analysis in both the digital asset sector and traditional finance is understanding the flow of institutional capital, colloquially known as ‘.smart money«. Newton Ng argues that although the term seems like a recent fad, it is based on the ancient fundamentals of quantity and money.
“Oh, the smart money that’s trending now is a very old concept. Volume and money, that’s it. Why? Because without capital and volume, the market won’t move,” Ng explained.
The goal of modern analytical tools is to identify where the money is hidden.This allows retail investors to follow the flow of large capital rather than against it. This inevitably leads to the following discussion. market maker (Market Maker), an often controversial figure within the ecosystem.
For example, CriptoNoticias reported the opinion of Spanish analyst Carmelo Aleman, who asserts that market indicators are manipulating the market. However, Newton Ng is less critical of these ecosystem actors. “If there are no market makers, then who is going to provide liquidity to the market? (…) If there is no bigger person to say, ‘Well, I’m going to spend a few dollars to buy this,’ then there is no liquidity,” Ng argued, adding that although they are sometimes demonized, they are a “necessary evil.”
“If we can know how they think and where they move, we can be on the front lines. This is very important because there is always a flow of money and where it goes has to follow that. “This is smart money, simple,” Newton added.
The future of trading: manual or artificial intelligence?
When Newton Ng predicts the future of trading activities, he envisions a scenario in which automation and speed of data processing will be prioritized, and manual trading will be significantly reduced.
“Manual trading as we know it will not disappear within three years, but it will be minimized,” he predicted. This is because, as he explains, the ability to analyze news and basic data in seconds has advantages that cannot be replicated by the human eye.
“Before reading the news, you waited for it to happen and searched. Now you don’t need to do that anymore. With our platform, you can search all the news 24/7, and the platform analyzes it in 4 seconds,” commented Ng, urging users not to be afraid of these advances. “Artificial intelligence is just another tool. By becoming? To take advantage of it.
Bitcoin as digital gold
Beyond short and medium term trading, Newton Ng’s views on Bitcoin are consistent with the theory of store of value. A self-confessed maximalist who entered the market when prices were around $3,000, his stance on volatility and speculation is clear.
“Bitcoin for me will be digital gold in the future and now. Why? Because it is limited to 21 million people,” he asserted.
For veteran traders, Bitcoin’s technical infrastructure is robust in the face of theoretical future threats.
“I strongly believe that even with the advent of quantum computing, this blockchain system will not go away. You know why? It’s simple: we add zeros to the code. To put this in simpler terms, Newton argues that we can eliminate this risk by updating the code to be quantum computing resistant.
Focusing on discipline in trading
Despite the increasing sophistication of AI tools and changing market structures, Ng’s final advice goes back to investors’ core values. Technology can process data, but the attitude towards learning is human.
“As an old trader, my best advice as a friend is to have discipline and patience and something very important: never overlook anything (…) The day I stop learning is the day I die,” he concluded.
The convergence of artificial intelligence and Bitcoin markets seems inevitable, promising an environment where data efficiency seeks to curb the irrationality of human emotion.
(Tag Translation) Interview
