Bitcoin Latest Updates: Alpha Arena: DeepSeek’s Well-Balanced Leverage Approach Surpasses Competitors
- DeepSeek Chat V3.1 outperformed five AI models in Alpha Arena, generating 35% returns on a $10,000 crypto portfolio via balanced leverage and strict stop-loss rules. - Competitors like Qwen3 Max (-0.25% return) and Gemini 2.5 Pro ($6,650 loss) struggled with narrow strategies or poor market timing during the Oct 17-20 test. - The experiment highlighted AI's potential in crypto trading but emphasized risks, as leveraged strategies and volatile markets invalidated past performance guarantees. - Post-test o
During a three-day live trading challenge called Alpha Arena, DeepSeek Chat V3.1 surpassed five other top AI models by achieving a 35% gain on a $10,000 crypto perpetuals portfolio. Hosted on Hyperliquid, the event evaluated each model’s trading skills in
Held from October 17 to 20, 2025, the competition exposed significant performance gaps. DeepSeek’s portfolio grew to $13,502.62, while GPT-5 and Gemini finished at $7,264.75 and $6,650.36, respectively—Gemini’s loss largely due to a failed BNB short during a price rally. Claude Sonnet 4.5 and Grok 4 also trailed, posting 28% and 30% returns. Qwen3 Max, which only traded BTC, ended down 0.25%, highlighting the dangers of a narrow focus, as previously covered by BeinCrypto and SuperEx.
DeepSeek’s victory was driven by careful risk distribution and prudent cash management. The AI kept positions in all six coins, using 10x to 20x leverage, and avoided excessive risk. Its unrealized gains included $747 from ETH, $643 from SOL, and $445 from BTC, with $4,900 held in cash to cushion against price swings. By sticking to a strict set of rules—avoiding overtrading, never removing stop-losses, and holding positions unless invalidated—DeepSeek steadily increased profits without reacting to every market move, according to BeinCrypto and SuperEx.
Latest on-chain data from CoinBob indicates ongoing AI-led trading. Over the last four hours, models like GEMINI and GPT have shifted their strategies, with GEMINI moving entirely to a BTC short near $107,800. At the same time, QWEN3 and CLAUDE re-entered long positions in ETH and BTC after being stopped out, showing changing risk attitudes in the crypto sector, as analyzed by
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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