I came across the phrase "Crypto Trading Bot" whilst doing some google searchs on Crypto. I had never heard of a trading bot before, and I was curious to learn more, and whether it is a scam or a useful tool.
What does a Crypto Trading Bot do?
This was my first question, and one that was easy to answer.
A Crypto Trading Bot will perform automated repetative trading tasks based on a set of logic parameters.
They can interact with Crypto exchanges to analyse trading data and the trading bot can then use this information to place buy or sell orders. The bots act on a predetermined and pre-programmed set of rules to monitor activity in the markets which may either be preinstalled trading strategies or customisable by the user according to your own preferences.
There are now many Crypto trading bots available. Some are better than others, and some are free whilst others charge a fee.
Why is a Crypto Trading Bot any good?
Three good reasons :
- Crypto Trading Bots works on data and trends. It does not work on emotion, impulses, greed, or desire. This means it is more impartial, and therefore likely to return better results over a longer period.
- Crypto Trading Bots don't need any sleep. Then again, that's what traders say too :-) ! But that means they can continuously check markets 24/7 for fluctuations, adjust strategies real-time, and manage global time zones.
- Crypto Trading Bots are machines. Not only do they not need sleep, they can process calculations a lot faster than humans. This means a bot can keep check across multiple Crypto markets, across multiple timezones, and perform more calculations than a human ever could. Information is at your (bots) fingertips for buying and selling decisions.
Using a Crypto Trading Bot
I will freely put my hand up here and say that I have never used a Crypto Trading Bot. Why? you ask? That's because I haven't yet ventured into trading.
I would like to dip my proverbial toes into the water soon and start trading. It will only be *very* small amounts, so I don't know if a bot will be useful or not. I'm hoping that I can find a basic bot - to buy or sell a specific Crypto when market conditions are good - so that I don't have to be online the whole time or let it interfere with my day job.
Does this type of bot exist? If you have found one, let me know in the comments below.
Crypto Trading Bots
Having done a bit of research the Crypto Trading Bots below are the ones I am going to try first. My only criteria was that they must have a "free" account available (some have paid "pro" accounts after that). I have included links to them should you also wish to sign up to them (some are referral links if you would like to help me out at the same time!).
Quadency
Quadency says that it is a trading terminal that securely connects with all major crypto exchanges, so you can trade from one place. Exchange accounts can be connected to Quadency using API keys.
The free "Lite" account has simple bots and smart orders, 2 live bots, unlimited exchange accounts, and up to $100,000 monthly trading limit
https://quadency.com?r=3971c3fc36bd941f8f507bd5
Coinrule
Coinrule allows you to set up your own automatic trading strategies based on the “If-This-Then-That” principles without requiring any coding skill. The rules will run 24/7 so that your portfolio management will become more safe and efficient. Coinrule also allows you to backtest your trading rules and strategies prior to launching them.
The free starter account let's you have 2 "live" rules, 2 "demo" rules, 7 template strategies, 1 connected exchange, and up to $3k Monthly Trade Volue.
https://coinrule.com/
Trality
Trality says that they are a platform for anybody who wants to profit from algorithmic trading without giving up the day job. The code works on Python, but you don't need programming experience to create rules.
The free starter account let's you have 1 Live Bot, 1 Virtual Bot, a 60 minutes tick interval, and up to 5,000 EUR Monthly Trade Value
https://www.trality.com/
Pionex
Pionex is a Cryptocurrency exchange, but with an automated built-in trading bot.
Pionex says with the free automated crypto trading bot on Pionex you can take your emotion out of the trading equation. You can earn more profit and lower the risks automatically. Auto buy and sell Bitcoin, Ethereum and other cryptocurrencies. It also has mobile applications for Andriod and iOS.
https://www.pionex.com/en-US/sign/ref/HJ69iRsF
Anyone with any experience of the above trading bots please feel free to share your thoughts in the comments box - it will also help me on my journey!
