How do AI agents learn and improve over time?

AI agents improve through machine learning, a process where they analyze past data to identify patterns and make better predictions. In cryptocurrency, AI agents learn from historical price movements, trading volumes, and market conditions. They use this information to optimize trading strategies, adjusting parameters like entry and exit points. The more data they process, the more accurate their models become. However, AI agents have limitations—past performance doesn't guarantee future results, and unexpected market events can catch them off-guard. Most successful AI trading systems combine multiple learning approaches and include risk management safeguards to prevent catastrophic losses.