Unlike the stock and foreign exchange market, the cryptocurrency market is new and super-volatile. As a result of such volatility, over the past five years, there has been an increase in crypto trading bots that help overcome losses and protect profits.
The cryptocurrency market is a global market that does not sleep. It is active 24 hours a day, 365 days a year, and simply does not turn off, so there is nothing worse than falling asleep to wake up and find that there was a lot of movement while you were sleeping.
For this reason, most people are looking for a crypto trading bot that allows you to trade faster and more efficiently than with a manual trader.
A Crypto trading bot is a program that directly interacts with the exchange using an application programming interface (API). With access to exchange data, the crypto trading bot can place buy and sell orders on behalf of a trader, relying on information interpreted by the market (price movement, volume, time, and much more).
Cryptocurrency bots lend themselves to individual customization for a trader by his preferences.
Cryptocurrency bots allow traders to successfully trade and monitor their positions using customizable parameters without the need for constant monitoring of market movements.
With the right settings, a crypto trading bot can provide numerous benefits for the trader, including:
Despite the advantages, crypto trading bots are not without their disadvantages:
Trading bots in cryptocurrency markets generally require certain skills to use them, open-source trading tools require knowledge of programming languages, and the interfaces are generally very advanced.
There are many crypto trading bots currently on the market. They all differ significantly from each other in terms of functionality, quality, cost-effectiveness, and usability.
Bitsgap is one of the trading bot platforms that has been operating since 2018. The platform allows users to connect via an interface to over 25 cryptocurrency exchanges and trade between pairs of over a thousand cryptocurrencies such as Bitcoin, Ethereum, Litecoin, and Ripple.
Bitsgap offers three contract plans, so you can choose the one that best suits your transaction volume, and also offers you the option to use its services for free for a period during which you can move with real or fictitious money. This option can help you get to know the platform better before spending money on a data plan.
CryptoHopper is an advanced cryptocurrency trading platform that provides fast and automated trading and portfolio management. This platform allows you to manage over 200 digital assets on major exchanges such as Bitcoin, Ethereum, and Litecoin.
This crypto trading bot is a world-class automated system that allows you to copy the trading portfolio of other traders to develop your trading strategy.
Among its main services:
CryptoHopper’s technology allows you to track up to 75 currencies simultaneously and scan all of them based on the selected goals, indicators, and profit parameters.
If you don’t know much about these trading patterns and indicators, you can simply check out their Market Place. There you will find trading signals and trading strategies to help you fully automate your business. In this sense, CryptoHopper is fast, secure, and reliable.
The platform supports the following exchanges: Huobi, Binance, Poloniex, Bittrex, Coinbase Pro, Kraken, Bitfinex, Kucoin, and Cryptopia. All you need to do is get API keys from your exchange and set up your account in the CryptoHopper dashboard.
3Commas is a multifunctional cryptocurrency trading bot that allows you to create your trading strategies, automate your trading or simply follow the main signals of other traders.
This platform is considered one of the most reputable trading bots available today and has a sophisticated Bitcoin-based bot system that innovates in the field. As of the end of 2019, 3Commas had over 120,000 registered crypto traders, a daily trading volume of $60 million, and 23 supported exchanges.
Key features of 3Commas:
3Commas bot configuration allows newbies to constantly explore the state of the cryptocurrency market through a simple interface that helps traders configure a trading bot with a single click easily. It also allows you to create wallets with any number of currencies and manage your trading portfolio. You can create a trading portfolio that only trades 0.2 BTC, for example, while your 5 BTC main account is set up to copy the most successful trader or multiple traders.
You can balance your trading portfolio with specific currency ratios, view portfolio returns over time, and copy and edit the currency ratios in your portfolio.
3Commas compatible exchanges Binance, Bittrex, Coinbase Pro, BitMEX, Bitfinex, Poloniex, Bitstamp, Bybit, Cex, Kraken, KuCoin, OKex, Huobi, Exmo, Gate.io, HitBTC and YoBit (also Binance DEX, Binance Jersey, Binance US).
Crypto trading bots, can be an extremely useful tool for traders when used correctly. You shouldn’t consider them as a passive income tool. Bots are effective if they are regularly monitored while adjusting settings and choosing the right trading strategies. In a globally growing market, there are undoubtedly many opportunities for traders to take advantage of. This will require composure and careful market monitoring. Both are inherent in cryptocurrency bots.