The stock market may take the weekend off, but the bitcoin market is always open. In addition, due to its volatility, traders must avoid missing out on lucrative trades. As a result, they need to set up a method for keeping an eye on the market all the time. They need help of crypto trading bots since they can’t move fast enough to take full advantage of price changes in the market and hence can’t trade efficiently.
To make the most profitable deals, crypto traders must stay alert throughout the day and be prepared to trade at any time. Again, the slowdowns in certain trading exchanges and transaction times may cause certain traders to miss out on lucrative trades. Investors are increasingly turning to crypto trading bots to help them overcome these challenges.
This essay will explain what crypto trading bots are, their advantages and downsides, and how they operate, as well as that, we’ll also highlight some of our favorites.
What are crypto trading bots?
Using a range of technical indicators, crypto trading bots aid you, as a trader, in conducting trades and performing transactions. You can design your bitcoin trading bot to execute trade orders on your behalf based on specified factors.
For instance, if the price of a certain currency lowers from $15 to $12, you can tell your bot to buy that money at $15 and sell it back to you at $12. The types of accounts available and the cryptocurrencies accepted will vary each bot service. The use of trading bots has become a hotly debated topic in the bitcoin industry. Even while there are proponents who argue that it should be legalized, there are also some who say it should be prohibited. Anyway, here are a few uses of it:
- Traders can save time by using bots to automate their trades and focus on other activities.
- They are used by financiers to profit from the crypto market, which is open around the clock.
- Bots have a significant advantage over human traders due to their speedy reactions in the market.
- A special type of robot called an arbitrage bot takes advantage of pricing disparities between markets.
How do automated trading bots work?
There is still debate amongst some bitcoin investors as to whether or not trading robots should be allowed on the bitcoin market, but some traders have begun using them nevertheless. There is specific hardware and software requirements for each bot. Some bots can be used without paying anything, while others require costly monthly payments.
The creator of a trading bot is usually approached by traders who have found it to be useful in order to receive the bot’s source code. Now the investor can follow the directions to set up the trading robot on the chosen platform.
Investors still have to make their own buy and sell calls, even with the help of bots. For those looking for easy money, a crypto trading bot is not the way to go. It’s not a magic bullet for making money in the markets once you’ve mastered it. If you want to become extremely successful in your trading, you must keep putting in the time, effort, and study that it takes to get there.
Advantages and Disadvantages of Utilising a Bot
Detachment from feelings is a must when trading on the bitcoin market. Consider employing a trading bot if you find yourself making impulsive purchases and selling. Let’s look at why using a cryptocurrency bot makes sense.
Automated trading
An automated cryptocurrency trading bot can help you avoid making rash investments. A trader can lose money due to “FOMO” buying and selling even if they utilise a bot. Using a trading bot, you can prevent all of these feasible sources of financial loss.
Efficient and Fast
Cryptocurrency trades can be executed quickly and efficiently with the help of a trading bot. One trade could take several hours to complete if done manually. The speed of a bot, though, is unparalleled, and it can also help you spot opportunities more quickly.
More time for you
Since the bitcoin market is accessible throughout the clock, keeping track of transactions does not necessitate a nighttime vigil. To counter this, a crypto bot can help you participate in the bitcoin market around the clock. Because of this, you may effectively spend a great deal of time in the market without actually being there.
Using a trading bot comes with advantages as well as drawbacks. Here are a few illustrations of these disadvantages:
Monitoring required
Many bots, even when functioning properly, can only generate minimal income, making constant oversight essential. A constant eye on the market is essential if you don’t want to lose money investing in today’s very unpredictable market.
Unregulated field
Due to the lack of oversight in the market, many crypto trading bots are badly made.
Knowledge needed
A thorough familiarity with the bitcoin market and a reliable investing strategy are essential for effective bot operation. Although several bots supply default approaches, layouts, and configurations, mastery of these tools is still required for optimal results.
15 Best Crypto Trading Bots for Automated Trading
After learning how to set up a trading bot, some traders realise they no longer need one. However, the following bots can be utilised with the exchanges they support if you wish to automate your transactions and improve your productivity.
1. Coinrule
Coinrule is a leading trading bot since it offers the greatest options for predefined trading strategies. It offers more than 150 trading templates that may be customized and then automatically put into action when predetermined market conditions are met. Long-term holding strategies, stop-loss setups, and accumulation are just some of the templates that have recently been added to Coinrule’s platform.
If you sign up for a paid subscription, you’ll get access to more templates than if you go with the free option. Even while the free plan contains seven free template methods, the paid plans feature access to advanced charting tools, an infinite number of template uses, and even one-on-one trading tutorials and training. There are a number of different exchanges to choose from, including Coinbase Pro, Binance, Bitstamp, Bittrex, Poloniex, Kraken, BitMEX, Bitfinex, Bitpanda pro, Liquid, Okex, Binance US, and HitBTC.
2. WunderTrading
Mirror trading and crypto portfolio management are two of the automatic tools offered by WunderTrading, a cryptocurrency trading platform. Users can build completely automated trading bots in the cryptocurrency market with TradingView PineScript, get passive income by following the trades of expert traders, or trade cryptocurrencies manually with the sophisticated Trading Terminal.
WunderTrading stands apart from the competition because to the extensive trading options it provides. The Trailing-stop and Swing-trade features are available on the WunderTrading platform. To further fortify your trading strategies, you can make use of advanced trading options like Stop-loss and Take-profit. Thanks to TradingView, you can incorporate many trading algorithms and technical indicators into a single bot. You may also use their one-of-a-kind Terminals to develop DCA and spread trading plans.
With WunderTrading, you can control many trading accounts with a single interface. Once you’ve connected your exchange accounts via API, you can copy trades across all of your accounts with a single mouse click. Traders can monitor their progress and keep tabs on their profits thanks to the comprehensive data provided by the platform, all of which is compiled and displayed in a dashboard.
3. HAL
A group of knowledgeable quants have developed automatic crypto trading strategies, and HAL makes them available to investors. Put your strategies to work while you keep tabs on progress with a dashboard. It’s one of the first platforms of its kind to give users direct access to the crypto trading strategies employed by an in-house team of experts. Thanks to HAL’s all-encompassing platform and educational information, users have access to every nuance of strategies, how they function, and their outcomes.
Utilising a combination of human knowledge and cutting-edge AI and ML technology, HAL’s automated trading strategies and indices supply the required hedge. Trading strategies such as Long Only, Long Short, hourly, daily, and weekly trading are all available. Start by connecting your exchange(s) with API keys and settling on a strategy. Now that it’s done, you can sit back and relax while the techniques do their thing and you get reliable data. Binance, Kraken, FTX, and Bitfinex are all trading platforms that feature HAL. At just €19.90 per month, Coinshares, Europe’s largest crypto asset management fund, offers one of the market’s best deals.
4. Bitsgap
Bitsgap is a top-tier bitcoin trading bot because it simplifies the process of managing crypto assets and building bot strategies. Up to 10,000 possible crypto pairs can be analysed by this program in order to determine which ones hold the most potential. Bitsgap gives you the option to review your trades on a chart, simulate trades with practice data, and download the program for offline use.
Many other cryptocurrency exchanges exist, including Kucoin, Livecoin, CEX.IO, Poloniex, Bittrex, Coinbene, Coinex, Huobi, Bitstamp, Liquid, Gemini, Bit-Z, Yobit, DDEX, HitBTC, Bithump, Bitfinex, Bibox, Exmo, OKEX, BigOne, Binance, and Kraken.
5. Gunbot
When it comes to automated trading software, Gunbot is among the most advanced options. Since its beginning in 2016, the program has undergone continuous development and improvement, to the point where it can now fully automate the crypto trading needs of more than 250,000 consumers.
Gunbot is intuitive, easy to set up, and provides a wide variety of customisable trading strategies for investors of various experience levels and tolerance for risk. They also offer a marketplace where you may locate profitable “plug and play” tactics for free. Regular competitions hosted by Gunbot provide its players with an opportunity to supplement their income.
Gunbot’s entry price to the trading market is a low $9.99. Gunbot, in contrast to many of its rivals, requires only a one-time payment rather than a recurring membership fee.
There are more than a hundred different exchanges where you may buy and sell Binance tokens, including Binance US, Bitmex, Bitfinex, Bitmex Testnet, Coinbase Pro, HitBTC, Huobi Global, OKEx, OKCoin, Bitstamp, KuCoin, Poloniex, Cex, Bithumb, Kraken, Bittrex, Coinex, and Binance.
6. Pionex
Pionex is a cryptocurrency exchange that features automated trading bots, and it provides users with free access to a total of 12 different training bots. With the help of trading bots, you can forego regular market monitoring and instead rely on an automated trading strategy.
If you’re a frequent trader who uses a mobile device, you should definitely consider this software. While Pionex does allow for manual trading and cryptocurrency-to-cryptocurrency transfers, its core feature is its selection of trading bots. A trader’s buy and sell orders can be automatically executed by this bot in response to predefined market conditions.
Pionex’s pricing model is based on the “maker-taker” principle. This means that you will only incur fees for “creating” and “taking” liquidity from the market as a result of your trades. An additional fee known as the “maker charge” may be incurred if your trade is not immediately matched by an outstanding order. It is your responsibility to pay the taker fee if your order is completed. There are several different exchanges, including Binance, Huobi Global, and Pionex.
7. Tradesanta
To help you save time and money, Tradesanta is a cloud-based trading bot. It’s easy to set up, so you can create a bot to automate trading on multiple exchanges with the parameters you deem most advantageous. Tradesanta allows you to build an endless number of bots to scale your trading.
On top of that, it is accepted at the vast majority of current Bitcoin exchanges. HitBTC, Bittrex, Huobi, BitMEX, Bitfinex, OKEx, UPbit, and Binance are examples of exchanges you may use to buy and sell cryptocurrency.
8. Cryptohopper
The functionality of this cryptocurrency trading bot is entirely cloud-based. As a result, it can help you get back on your feet after temporary setbacks that led to a drop in revenue. Furthermore, the bot never goes offline, and it constantly updates without ever stopping your trades or freezing your account. The functionality of your Cryptohopper account will continue even if you are not currently connected to the service.
Neither a credit card nor platform installation is needed to activate this bot’s user-friendly setup wizard. Okex, Bitvavo, Bitpanda Pro, Huobi, Poloniex, Kraken, Bittrex, Bitfinex, Coinbase Pro, KuCoin, Binance, HitBTC, and a number of other exchanges are available.
9. Botcrypto
By using this tool, you may automate your cryptocurrency trading and gain more time. You can create and manage trading robots to implement your strategies, and you don’t even need to know how to code to use this software. Botcrypto is a no-cost exchange for trading robots that includes graphical editors and round-the-clock support. You may use Botcrypto with both Kraken and Binance.
10. Axioncrypto
Create advanced automatic trading indicators and algorithms with the help of this cutting-edge, user-friendly cryptocurrency trading bot. Use the AAxioncrypto bot with any of your favorite cryptocurrency exchanges, and craft your own trading strategy with the help of the built-in Code Editor. Prices are from $15 to $90 each month.
Using a trading view or the manual system, you may instantly transmit signals, as well as do historical testing on trading strategies and ideas. There is no requirement for users to download and install the platform because the bots run in the cloud over the company’s private network. Binance, Altrady, FTX, Bybit, Kraken, and KuCoin are examples of exchanges.
11. 3Commas
By letting you choose from twenty or more distinct trading indicators, this bitcoin bot is among the best for maximizing profits. With 3Commas, you may copy the settings of other bots, consolidate your buying and selling, and reduce your exposure to risk.
In order to maintain corn ratios and earn a profit while maintaining a stable portfolio, you can use this program. Whether you prefer mobile, desktop, or email, this crypto trading bot has you covered. It is available for iOS and Android and has beginner, expert, and professional tiers.
You may buy and sell cryptocurrencies on websites like Binance DEX, Bitfinex, Bybit, Bilance Futures, BitMEX, Bittrex, Coinbase Pro, Exam, Bitstamp, Huobi Global, KuCoin, HitBTC, Kraken, Poloniex, OKEx, YoBit, and Binance.
12. Trality
Anyone interested in designing highly original and complex algorithms in a supportive, collaborative environment is welcome to join this platform. For both new and seasoned crypto investors, Trality is one of the most popular trading bot platforms available.
Trading algorithm programmers have access to Rule Builder. It’s a cutting-edge GUI that lets you build your trading bot’s logic by dragging and dropping indicators and strategies.
Their browser-based Code Editor is the most advanced of its kind, and can be used by anybody with Python coding knowledge. Developers may quickly and safely build complex strategies using their knowledge of code, all inside the confines of the Code Editor. They have both free and paid tiers of their software available. Bitcoin, Litecoin, Ethereum, and Bitcoin Cash may all be traded on websites like Binance, Coinbase Pro, Bitpanda, and Kraken.
13. Cryptohero
Unique in its combination of a website and a mobile app, this platform also provides a superior user experience. There are few drawbacks to using the Cryptohero app, as it is easily accessible, does not cause your phone to overheat, requires little storage space, and launches rapidly. They provide both a freemium (basic) and paid platform for their subscribers.
A beginner’s guide on creating a trading bot is included in their mobile app. You may view your open orders, win/loss ratio, realised gains, and total transactions in the Active page, while Completed tab displays your closed deals. Binance, Kraken, and Kucoin are examples of cryptocurrency exchanges.
14. Hodlbot
Hodlbot ranks highly among the best bitcoin trading bots because of its user-friendly UI. Building and customising a portfolio of over 350 coins is a breeze with this program. This bot makes it cheap ($3 a month) and easy to rebalance your investments.
Your cryptocurrency holdings will be managed mechanically by this bot. This bot uses SHA-256 encryption and makes it easy to generate marketing indexes. Binance, Kraken, KuCoin, and Bittrex are all examples of cryptocurrency exchanges.
15. Streak
This bitcoin trading robot is helpful for making strategic trades, doing backtests, and deploying the strategy. Streak bot can be used by retail traders without the need to learn how to code. This automated trading bot uses a simplified algorithm to facilitate repetitive Bitcoin transactions.
For traders, it tracks market fluctuations to help them pick the best entry and exit positions. Streak offers a no-risk 7-day trial period. Binance, Deribit, HITBTC, Okex, Huobi, Kraken, Coinbase Pro, Coinbase, ZB, and BitMEX are just a few of the exchanges out there.
Concluding Remarks
As the cryptocurrency market grows, traders will find it easier to implement crypto trading bots to improve their trading strategy. You, as a crypto trader, still need a sound trading strategy to conduct lucrative transactions even if bots can help traders execute deals and take advantage of price differences between exchanges.
