All you need to know about Bitcoin Trading bots

Cryptocurrency market is a lot more volatile than the fiat investment market. It’s common to end your day with a lot of money to your name only to wake up and find that your assets aren’t worth half as much anymore. The volatility of the crypto market is something that all investors and traders tread carefully around. But since the market is open round the clock, traders have to be vigilant all the time. This is not possible manually, which is why trading bots are proving so popular in this field. Also, read about 비트코인마진거래.

What are Trading Bots

Trading bots are software that interacts with the market and makes decisions on your behalf. These bots have their own pre-configured rules according to which they act. You can also set rules for your personal habits and needs. The idea behind using a bot is that even when you are away from your station, your bot can make sound crypto investment decisions on your behalf. Bots use different strategies to help their user get the best possible experience in trading. Using a bot enables you to be at the fore of cryptocurrency trading 24 hours a day. There are a few strategies which bots use to boost the user’s asset values. The first is the arbitrage technique which uses the difference in the price of cryptocurrencies on different exchanges to help the user earn a profit. The bot buys altcoins on one exchange and sells them on the other, giving you a profit based on the difference. The second technique is market making, where the fluctuations in the buy and sell price in an exchange are utilized to make profits by constantly placing buy and sell orders near the limit. Both these strategies can help you make profits, but they aren’t as good as they used to be. The price difference of coins between exchanges used to be profitable for traders in the past, but that’s not the case anymore. The same can be said for market making. So the usefulness of your bot is heavily dependent on the techniques and strategies you use.

The Best Bitcoin Trading bots

The cryptocurrency market has kept pace with the latest tech in the investment market. Despite the young age of this market, trading bots are available to users for free or lesser price than fiat trading bots. However, choosing an authentic and useful bot is an arduous task. Many of the bots are there to just trick users and earn money through their subscriptions, while there are some that actually look to help users. Some of these are listed below.

Gunbot

Gunbot is an automated crypto trading bot that offers several individual trading strategies for the user to customize in order to fit their trading style. Gunbot integrates with Bittrex, Binance, Poloniex, Bitfinex, Cex.io, GDAX, Kraken and Cryptopia offering trading on all the major exchanges and the ability for users to have access to a large number of trading pairs. Three different pricing tiers are offered to users, the main difference between them is the number of exchanges that a trader can trade on at any given moment. The starting price for the standard edition is 0.106฿ and currently, on offer for 0.056฿, this will allow a user to trade on 1 exchange from the aforementioned available crypto exchanges while also giving them access to CryptoSight and free support. The top tier pricing plan also allows for integration with Tradingview, using an add-on. Users have access to all the available trading strategies (TSSL, Stepgain, Ping Pong, Ichimoku, etc.) on all the pricing plans.

Crypto World Evolution

CWE is ranked top in the list of auto-trading Bitcoin bots because of its efficiency and its risk-free approach. With CWE, you are in charge. The bot will not have access to your funds directly so it cannot make withdrawals. The trading strategies are made to help traders get good profits using the bot. You can set the limit of trading for the bot, which usually opens trading and keeps a trade open until it reaches 1% or more. The bot will keep opening trades for the altcoins you specify in the beginning until you put a stop to it. This puts you in charge.

CryptoTrader

CryptoTrader is a great option for people foraying into the bitcoin trading field and who want to utilize a bot. It is a cloud-based solution which means you don’t have to download and install the bot in your system. There are free trading strategies with CryptoTrader, and there are paid strategies as well which you can purchase in the marketplace. The marketplace also allows you to sell your own strategy. It is a great bot for auto-trading in bitcoin. It is linked with most of the prominent exchanges, allowing you to trade on them using the bot.

Zenbot

Although this trading bot requires you to have some knowledge of coding, it is one of the only bots that can perform high-frequency trading. In addition to this, Zenbot can manage multiple assets at the same time. To use it, you can download the source code and edit it yourself. The code itself is in continuous development and is currently in its third phase.

BTCRobot

BTCRobot was one of the first bitcoin trading bots to appear. It amassed a large user base with its sound trading strategies which allow users to generate good profits and its ease of usage. While the user interface is definitely one of the best and the bot is one of the easiest to use, there is growing scepticism about its ability to land profits. Many people complain that the returns are meager, to say the least. Users have to pay a subscription fee between $149 and $199, which only discourages them even more. However, BTCRobot has a good track record, a large user base, and offers a no-risk 60-day money back guarantee. It is definitely one of the better auto-trading bots available in the market.

Gekko

Gekko differs from other trading bots in that it is a completely open source solution. With Gekko, you know exactly how it works and has the flexibility to change its working according to your needs. You can also devise your own marketing strategies and code them into the bot. Of course, doing this requires market knowledge and coding experience, but it’s still something that others bots don’t always offer. Gekko is pretty simple to use and offers a host of useful metrics. It is linked to 18 prominent bitcoin exchanges and is one of the best auto-trading bots available.

Conclusion

Many people are still undecided when it comes to whether they really need a bot or not. This has a lot to do with the uncertainty regarding how useful can bots be. People are right to be suspicious and careful, since bots do not offer any guarantee, and they do play with your assets and funds. While you can program the strategies into bots, not everyone is capable of doing so. The custom strategies that bots use aren’t always as sound as you might think them to be. Also, these bots cannot take into account the external factors that drive the price of altcoins up or down. So while trading bots help you stay in the game 24X7, they don’t always give you the results you want. A little research into the bot that best suits your needs and some market analysis will go a long way in helping you make the best decision regarding which bot to choose. There are a lot of Bitcoin trading bots available, but not all of them are useful. Even the popular bots are not always useful for people’s particular needs. This is why the right way to go about it is to research about the bots and understand how they fit with your trading practices and strategies.