What Is A Trading Bot?
The post is aimed at people interested in cryptocurrency trading, who want to trade smarter and make more profit even when they’re not around. It also intends to reach out to current crypto traders who are longing to automate their trading but are not sure of the Best Trading Bots for crypto trading.
Many people believe that cryptocurrency trading is a very lucrative business to be in. However, it may not always be this way for all traders especially those who are new to the game. Many traders go to bed at night and only wake up to notice that their assets have plummeted overnight; some will also miss moves that could have generated lots of money for them.
Most of today’s seasoned crypto traders who do not miss out on any opportunity, no matter when such opportunities present themselves, do automate their trading with Crypto Trading Bots. Trading Bots for crypto also make it possible for them to save a lot of time while they continue to balance other aspects of their lives.
When automating cryptocurrency trading, always be careful of which crypto trading bot you’re using. There are plenty of bots out there; some are safe and others aren’t. Some might even be from hackers, so it is important to keep watch and make sure to use the right one.
This post will explore what crypto trading bots are and provide you with more information on the benefits, as well as the drawback of using trading bots for crypto. It will also give a breakdown of the 5 best trading bots for crypto automated trading.
This article is not offering any financial advice. It’s simply for general information and educational purposes.
What Are Crypto Trading Bots?
Cryptocurrency trading bots are automated software programs that can trade on a person’s behalf. They are programmed to perform certain actions, such as buying or selling at a particular time, or certain intervals, or when the price meets a certain threshold. While some people use them to generate profits, others use them to hedge against losses.
Crypto Trading BotCrypto traders have to make a lot of decisions every day. They need to decide what coins to buy, when to buy them, when to sell them, and so on. Sometimes it’s overwhelming just thinking about all the things they have to do. That’s where crypto trading bots come in handy! These programs can help you automate many of these decisions and take some of the burdens off your shoulders.
A crypto trading bot can help you execute trades automatically each time the set criteria are met. You won’t need to be sitting in front of your computer all day, this will continue as opportunities keep coming. Remember that cryptocurrencies can be volatile and swing up and down, so don’t risk it all on a hunch.
Crypto trading with a bot is smart, easy, and exciting trading which you can do even while you are sleeping.
When trading with a crypto trading bot, you will need to connect it to your cryptocurrency Exchange account. This can be done using the API. The API is what provides the bot access to your account and without it, there won’t be any form of trading from the bot.
It might seem a little scary to give a computer program access to your trading account, what if the crypto trading is from a hacker? This is the more reason why you must be careful when choosing a Crypto Trading Bot. There are great benefits to trading with a bot.
Pros and Cons of using a Crypto Trading BotWhat Are The Pros & Cons Of Using A Crypto Trading Bot?
Pros:
- The major benefits of using crypto trading bots are that; unlike you, they trade 24/7 and can continue to do this even whilst you sleep. This means you never have to miss out on any potential trading opportunities no matter when or where they arise. Isn’t this cool?
- The best thing about using trading bots for cryptocurrency trading is that they can only buy and sell when the specific criteria you set are met. This way you won’t ever lose money because of an unprofitable trade.
- Crypto Trading bots will help you to take away trading emotions. If a day trader trades with fear, it’s one of the worst things that can happen to him or her. Fear and panic during trading are very common with beginners, so don’t worry: it’s not just you alone! In as much your eyes are fixed to the screen there may come a time when you need to make quick decisions that could contradict what you intended. This can happen to professionals too.
- There are many crypto trading bots (or algorithms) on the market that have a back-testing feature, which is very useful to utilize when you want to test any new methods before implementation.
- Crypto Day Trading is made simple by using a bot. You can use only one device to monitor crypto trading and it takes away the stress of having to look at a bunch of monitors or different indicators. Even if you don’t have a lot of experience in trading, a bot will help you trade profitably like other traders.
- There are many other benefits of using a crypto trading bot. One can still mention the fact that a bot will never forget to execute a trade, and it is able to execute trades in the blink of an eye. With a Bot, you are able to scale up your crypto trading and make more money from the market.
Cons
There is no doubt that a good crypto trading bot comes with loads of benefits, and will also help you scale up your crypto trading activities and make more profits, It still has some drawbacks:
- Crypto trading bots do not come cheap. Be careful when you have a free offer of trading bots. Take this as a warning, please!
- The crypto trading industry is a shady one and it’s important to be cautious when buying trading bots for cryptos. There is a high chance you could be scammed or charged high costs for something that isn’t what it seems. To avoid these issues and other ones like them, do your research first before committing to anything.
- Trading profitably with a crypto bot would require constant twerking or interventions every now and then. You may have to manually intervene once in a while, especially to suit the prevailing market conditions; else, you may not make good profits especially when you compare the amount invested in buying the bot.
- If you’re looking for a crypto trading bot, it’s important to know that many are poorly-coded. You may not see any meaningful profit using them or even waste your time. We don’t want that to happen to you!
- Not all bots work on all Cryptocurrencies Exchanges, some are unique to certain exchanges. This means you have to make good research to find out what really works with the exchange you plan to synchronize your crypto bot with.
Crypto trading bots can be really helpful if you want to trade profitably. Even if you’re just a beginner, they help simplify the process. They do require manual interventions every now and then, so take this into account before you start using them.
Make sure you do your due diligence when it comes to buying a reliable Bot for your crypto trading. Think of how many bad reviews are out there for certain software vendors and how that can affect you as well. You don’t want to fall into the hands of cybercriminals. We wouldn’t want that to happen to you either!
How to Choose the Best Trading Bot for Your Needs
The market for trading bots is growing exponentially. There are a lot of different bots for crypto trading out there. There are many factors that you should consider before making a decision on which bot to use. For example, do you want a trading bot that trades automatically or one that requires manual intervention? Is it important for you to trade in multiple exchanges or just one? Do you want a bot with open-source code or not?
You should also look at the background of the developers too, as well as their reputation in the crypto community. It’s also important to double-check if they have a functioning bot before you buy.
We will go over the most popular and best crypto trading bots, and how to choose the one that suits your trading needs. Each has its unique features and functionalities, so it is very important to understand your needs before you decide which crypto trading bot to use or a particular one to buy.
The Best Five (5) Crypto Trading Bots Of All Time
Now that you’ve gotten the gist of what a crypto trading bot is, it’s important to know that the cryptocurrency community is now overflowing with many. A lot of these bots don’t have good reviews or are scams entirely.
Let’s quickly run through the Best 5 and most profitable cryptocurrency trading bots and their compatible exchanges. You can use these bots to make your crypto trading more effective and profitable. Experiment with each to find which one works best for you.
Please do note that these crypto trading bots are Editor’s picks and opinions because they have been tested and trusted. They don’t however, imply or represent any financial advice
(1) 3 COMMAS
This is the best crypto trading bot that enables traders to make maximum profits from cryptocurrency trading. The platform was launched back in 2017, since then it has attracted over 220,000 users from all over the world and is supported in more than 23 Exchanges. By December 2021, this was rated as the best Crypto trading bot.
3Commas trading bot mostly relies on Dollar Cost Averaging to tackle the volatility in crypto trading. It also has a trailing stop feature that keeps your position open and is triggered when profits are made and closes automatically when the asset starts declining.
3Commas is a beginners’ friendly crypto trading bot that supports more trading pairs than any other crypto trading bot. It will help you execute trades much faster and with much ease.
Supported Exchanges:
Binance, Huobi Global, Poloniex Kucoin, » Check out the table below.
Subscription Fees:
- Free Package: $0 Forever (But limited to One Active Smart Trade, One DCA Bot, One Grid Bot, One Option Bot, and Unlimited Scalper Terminal).
- Starter Package: $174 per year (at $14.5 per month.)
- Advanced Package: $294 per year (at $24.5 per month)
- Pro Package: $594 per year (at $49.5 per month)
Yearly Plan
Monthly Plan
(2) CRYPTOHOPPER
This trading bot is perfect for people who are just starting to trade in the cryptocurrency market. It offers great features that are easy to understand by newbies, and will help you get started without any struggles.
Cryptohopper came out in 2017, it was developed by two Dutch brothers Ruud & Pim. It is a cloud-based crypto bot that offers automated speedy trading, this has made it gain popularity and has over 200,000 active users worldwide and still counting.
Cryptohopper trading bot supports more than 100 cryptocurrencies and Crypto Exchanges too. Additionally, in a key way that differentiates it from many other crypto trading bots around, you can copy other traders on Cryptohopper’s platform. This will allow you to trade like a pro.
Supported Exchanges:
- Binance
- Kucoin
- Houbi Global
- Poloniex
- Binance US
- com
- Kraken
- Bitfinex
- Coinbase Pro
- BITTREX
- HitBTC
- Btcpanda
- Bitvavo
- OKEx
- EXMO
Subscription Fees:
Monthly subscription below:
- Pioneer Package: $0 (Free)
- Explorer Package: $19.0 per month (A starter pack; also comes with a 7days free trial)
- Adventurer Package: $49.0 per month (ideal for more experienced traders)
- Hero Package: $99.0 per month (For Pro traders)
Yearly subscriptions below:
- Pioneer Package: $0 (Free)
- Explorer Package: $198.96 per year (7days free trial)
- Adventurer Package: $498.96 per year.
- Hero Package: $999.0 per year.
(3) SHRIMPY
Shrimpy crypto trading bot was launched in 2018. The main goal of the creators, according to them, is to provide a very affordable yet effective crypto trading bot that would outperform other bots used for crypto trading. In Shrimpy, a lot of features are offered for free and the goal is to attract traders who could not afford those bots that are more expensive.
One fine feature that the Shrimpy Crypto bot or platform has is that it permits social trading. This feature allows newcomers and novices to follow and copy pro crypto traders and benefit from their expertise. This is a great way to help you trade profitably even as a beginner.
Exchanges That Are Supported:
Shrimpy trading bot is compatible with the major cryptocurrency exchanges like: Binance, KuCoin, Huobi Global, Poloniex, Bittrex Global, Coinbase Pro, Kraken, Gemini, Bibox, BitMart, HitBTC, OKEX, Bitstamp, etc.
Pricing Of Shrimpy Bot:
Monthly Plans:
- Starter Package: $19.0 (Best for Newcomers)
- Professional Package: $79.0 (For more experienced traders)
- Enterprise Package: $299(Ideal for those who are into portfolio management)
Yearly Subscription Plans:
- Starter Package: $15
- Professional Package: $63
- Enterprise Package: $299
(4) GUNBOT
Gunbot (Also called Gunthy) Easy to use and powerful crypto trading bot software compatible with all popular operating systems, like Mac, Linux, Windows and finally, ARM.
It is a popular trading software that has been around for a while. It has a lot of features that make it easy to use and profitable.
This popular trading bot for cryptocurrency, can be purchased and run on a trader’s system with little to no programming knowledge. Gunbot provides an automated trading system with built-in strategies that analyze the market and make calculated trades when the time is right.
This trading bot can be acquired with cryptocurrencies like Bitcoin, Ethereum, Litecoin, and Dash.
Five (5) Simple Steps To Start Using Gunbot:
- Step 1 is to download and unzip the Gunbot software, thereafter, simply install and run it on your computer. This will grant you access to the Gunbot interface in your browser.
- Then connect it to your cryptocurrency trading account. This can be done by entering your API and ‘Secret’ keys which you created at your exchange account. Gunbot only stores the API key on your computer or server; this is a security measure. The API key is only allowing Gunbot to read and execute trades on behalf of your account. It will not allow withdrawals.
- The next step to take is to come up with a trading strategy. There are, however, preset strategies you can choose from, or you can create your own custom strategies that help define when the cryptocurrency bot buys and sells.
- Next is to select your cryptocurrencies trading pairs. You can select as many trades as you want and run these at the same time.
- The last step is to launch the bot and watch as it generates profit for you.
Supported Exchanges:
Gunbot is compatible with the most popular cryptocurrency exchanges. They include: Binance, Huobi KuCoin, Poloniex Global, Bitfinex, Bitmex, Bybit, Bittrex, Coinbase Pro, FTX, HitBTC and Kraken etc. New exchanges that Gunbot supports are being added on a regular basis.
Pricing For Gunbot Packages
Gunbot doesn’t have a recurring expense after your first payment. All payments are one-time only, and users can make payments in Bitcoin, altcoins or stable coins. You can also pay with PayPal if you don’t have any other form of currency.
- Gunbot Starter: 0055BTC
- Gunbot Standard: 01375BTC
- Gunbot Pro: 020625BTC
- Gunbot Ultimate: 034375BTC
(5) TRADESANTA
TradeSanta is also an automated cryptocurrency trading software that is hosted and runs on the cloud. Because it is cloud-hosted and runs 24/7, so this crypto trading bot ensures you can monitor or execute trades even if you’re offline.
Supported Exchanges
At the time being, Tradesanta only supports a few cryptocurrency exchanges like Binance, Huobi Global, Bittrex, HitBTC Bitfinex, and Upbit…The team are still working on adding more soon.
There are over 118000 active Tradesanta users. This crypto trading bot is known for being suitable for beginners, who can start to use it without any previous experience or for old traders that want to try automation with bots.
Tradesanta is also a great choice for professional traders in the cryptocurrency market who have trading strategies they wish to automate. It can also be used to automate the making of trading strategies for pro traders.
Subscription Plans and pricing:
TradeSanta has a variety of relatively affordable subscription plans.
- Basic Plan: $14 (per month)
- Advanced Plan: ($20 per month)
- Maximum Plan: ($30 per month)
When you are done with the signup process for any plan or free trial, next is to setup your cryptocurrency exchange account and connect it to Tradesanta using the API key
Almost anyone can quickly trade cryptocurrencies through Tradesanta by linking their exchange account. Select the currency pairs you prefer to trade and then pick a trading strategy that will fit the current conditions of the market. The bot will do the rest by making profits for you.
Conclusion: Start Using A Trading Bot Today To Automate Your Crypto Trading & Make More Money
The crypto trading bots have been around for a long time, but they are only now becoming popular among crypto traders.
It is important to understand what a bot is before you start using one. Trading bots allow you to trade cryptocurrencies without having to constantly monitor the markets or be an expert in programming. They are not perfect, but they can help your trading immensely by executing trades on your behalf and freeing up time in your day for other tasks.
We hope you have found value from this article. We love to know your opinion or views about Bots for crypto trading. Kindly leave us a comment in the comment box below.
Please share this article to your friends and loved ones using the social sharing icons below:
Referral Links
In case you have decided to purchase a bot for crypto trading, we shall be glad if you sign up using any of our referral links. (We will earn small commission if you sign up with any of our referral links; this will not be of any extra cost to you. More details on Our Affiliate Disclosure Page)
- 3COMMAS » https://bit.ly/3commas-josh-fleming
- CRYPTOHOPPER » https://bit.ly/cryptohopper-josh-fleming
- TRADESANTA » https://bit.ly/tradesanta-josh-fleming
- Binance>> https://accounts.binance.com/en-NG/register?ref=25660385
- Houbi Global>> https://www.huobi.com/en-us/topic/double-reward/?invite_code=9wumc
- Kucoin>> https://www.kucoin.com/ucenter/signup?rcode=auKstJ
More Read:
- Introduction To Bitcoin
- Welcome To The Era Of Bitcoin And Cryptocurrencies
- Beginners Guide To Bitcoin Trading?
- Best Exchanges For Cryptocurrency Trading
