Let Nick trade the ETH/BTC ratio while you watch from the sidelines

BTC/ETH Pairs Trader tracks how far the ETH/BTC ratio has drifted from its recent average every six hours, then has a model confirm the move is a genuine divergence, not just a market-wide swing, before rebalancing your paper portfolio.

Crypto

BTC/ETH Pairs Trader

Every six hours, this strategy pulls BTC and ETH price history, your paper portfolio, and the stored ratio history, then computes a z-score for how far the ETH/BTC ratio sits from its 20-period average. A model reviews that signal alongside RSI on both assets and rejects it outright if both legs look correlated and overbought or oversold together, since that is a market-wide move, not a real pairs divergence. Only when the model approves with high confidence does Nick size the trade at five percent of the paper portfolio and place it. You get a Telegram alert either way, with the ratio, the z-score, and the reasoning behind the call.

How it works

Step 1

Track the ETH/BTC ratio

Every six hours, Nick pulls BTC and ETH price history and your paper portfolio, then computes the current ETH/BTC ratio against its recent mean and standard deviation.

Step 2

Score the divergence

A z-score measures how far the ratio has drifted from its 20-period average. A large positive or negative z-score signals a potential pairs trade; a z-score near zero signals it is time to close out.

Step 3

Rule out a market-wide move

A model checks RSI on both BTC and ETH. If both legs are correlated and overbought or oversold together, that is the whole market moving, not a genuine ETH/BTC divergence, so the model rejects the trade.

Step 4

Trade on approval, alert either way

When the model approves with high confidence, Nick sizes the trade at five percent of the paper portfolio and executes it. You get a Telegram alert with the ratio, the z-score, and the reasoning, whether it traded or skipped.

The workflow

Every step in BTC/ETH Pairs Trader is a real NickAI node. Here is the compact view of how they connect.

Every 6 HoursBTC Price DataETH Price DataPaperNick PortfolioLoad Pairs HistoryZ-Score & Signal EngineQuant Risk AnalystEXECUTE & Confidence ≥ 7?Prepare Order ParamsPaperNick Market OrderBuild Trade RecordBuild Skip RecordSave Trade RecordSave Skip RecordTelegram: Trade AlertTelegram: Skip Alert
Every 6 Hours
BTC Price Data
ETH Price Data
PaperNick Portfolio
Load Pairs History
Z-Score & Signal Engine
Quant Risk Analyst
EXECUTE & Confidence ≥ 7?
Prepare Order Params
PaperNick Market Order
Build Trade Record
Build Skip Record
Save Trade Record
Save Skip Record
Telegram: Trade Alert
Telegram: Skip Alert

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It trades the relationship between two correlated assets rather than either one outright. Here, Nick watches the ETH/BTC ratio and trades when it drifts far enough from its recent average to signal a genuine divergence between the two.

A model checks RSI on both BTC and ETH before approving any trade. If both are overbought or both are oversold at the same time, that is the whole market moving together, not a real pairs divergence, so the trade is rejected.

No. BTC/ETH Pairs Trader runs on PaperNick, NickAI's paper trading account, so you can watch it size and execute pairs trades against live prices without putting real capital on the line.

Every six hours. It rebuilds the ratio history each run, recalculates the z-score, and only trades when the signal clears the model's confidence bar.

Yes. Clone the template inside NickAI and it runs on its own schedule, with no code required. You can adjust the position size or the schedule from the workflow builder.