How to generate a high profit with Cryptorobotics?
The cryptocurrency market is known for its high volatility, with the cost of digital coins fluctuating even in a few minutes. Also, cryptocurrency trading is a very dynamic process that requires investors to participate in the cryptocurrency trading process continuously. Collectively, all these aspects prevent traders from effective cryptocurrency trading.
First, in many instances, traders don’t have the opportunity to respond promptly enough to price movement to get successful and profitable trades. The deceleration of exchanges and transactions time militates against this even further. Second, traders don’t have enough time to give due attention to cryptocurrency trading for obtaining the best results in it. As to do so, it would be necessary to monitor crypto exchanges 24 hours a day.
Thankfully, a huge number of traders can solve these problems due to automated tools that start trades and execute transactions instead of real traders. One such solution is crypto trading bots. Trading bots provide traders with automated buying and selling cryptocurrency that is based on key technical indicators. Bots are capable of implementing different crypto trading strategies and bringing to traders a high percentage of profitable trades.
This guide enables you to find out more information about algorithmic trading and introduces you to the best crypto trading bots currently available in the Cryptorobotics terminal.
What are trading bots?
A crypto trading bot is software that interacts directly with crypto exchanges and places buy or sell orders on your behalf based on market data. Bots make these decisions by tracking price movements in the market and reacting according to a set of predefined and preprogrammed rules. Typically, a trading bot analyzes market actions such as volume, orders, price, and time. Moreover, they can be programmed according to your taste and preferences.
Types of the crypto trading bots
Nowadays, a huge number of cryptocurrency trading platforms provide traders with a wide range of crypto trading bots that can ensure an efficient trading process. Let’s take a closer look at the types of bots and their features.
- Trading bots. It is the simplest type of bot. They earn money by buying and selling cryptocurrencies. In order to make a decision, these types of bots use indicators of technical analysis such as SMA, RSI, MACD, etc.
- Advanced crypto trading bots. Such bots are intended for advanced users, and they don’t have an established strategy. Advanced bots can be configured from scratch on their own according to your requirements.
- Market-making bots. Market making bot is an automated tool that implements an investment strategy and is used to ensure liquidity due to filling up the order book with buy and sell orders. This helps market participants execute their orders at any time.
- Crypto signal bots. This type of crypto trading bot helps collect predictions from TradingView, social networks, blogs, media, Telegram channels, and other sources. They send signals about changes in the market or create trading recommendations that are based on the received data.
- Arbitration bots. They make money on the difference in prices between a certain pair or different pairs on the same exchange. They also make money on rate fluctuations between exchanges.
- Crypto bots with the support of statistical arbitrage. The main task of the system is to identify the price correlation between coins. Each coin is assigned a rating and depending on whether it is low or high, the currency is either shorting or longing.
It is worth noting that there is no perfect bot that does everything for you. A deep understanding of the cryptocurrency trading bot’s actions is required and the ability to configure it correctly. Therefore, it is better for you to initially try to trade with the robot in Demo or Test mode on the trading platform in order to understand its functioning and whether it is worth using it.
Advantages and disadvantages of the cryptocurrency trading bots
Advantages of the Crypto Bots
- The speed of decision-making. Even experienced traders take some time to analyze the market situation. Beginners do it even more slowly. As a result, a trading opportunity may be missed. In order to avoid such situations, many traders prefer to use crypto trading bots. They analyze everything much faster and make decisions faster than real traders.
- The ability to analyze an unlimited number of crypto pairs. If we compare a bot with a human in this parameter, the advantage is again on the side of the first. A person is simply not able to analyze a large number of assets and make a reasonable decision. Therefore, a lot of traders are trying to provide this task to bots, using only ready-made results from the work.
- No errors in the algorithm. A person in the process of market analysis can make mistakes. This is due not only to the level of training but also to the psychological state of the trader. Crypto bots work well within the algorithm. If there is a signal, he will use it.
- 24-hour trading. A person needs rest. Many people cannot devote more than two hours a day to trading. The crypto trading bot, on the contrary, works around the clock, which ensures a continuous process of cryptocurrency trading on exchanges.
- Lack of emotion. A person is subject to various psychological states. He is adventurous, may feel fearful or depressed. This affects the trading results. The cryptocurrency trading bot does not feel any emotion. He is not characterized by excitement. It works only within the framework of its own algorithm.
- Discipline. Traders often make one serious mistake. They do not know how to manage capital properly. A bot for the cryptocurrency market will operate according to an algorithm pre-installed in it. For example, if you set a $10 trade size limit, the bot will never change it on its own.
Disadvantages of Crypto Bots
While cryptocurrency trading bots are very useful for the trading process, they are not suitable for everyone. Some of the disadvantages associated with using these features:
- Prior knowledge. Despite the fact that a huge number of cryptocurrency trading bots are provided with predefined settings and templates, every trader should have knowledge of how to customize such bots and how they function. If you set up your bot incorrectly, this can lead to fast losses.
- Requires monitoring. If you launch your trading bot, it doesn’t mean that you have to forget to control your bot after customization. The crypto market is volatile, and crypto bots can bring losses during periods of high volatility. If you don’t have enough knowledge to control the market, a crypto trading bot may not be the best option for you.
How to choose cryptocurrency bots?
There are many criteria for choosing a crypto bot for trading. Let’s take a look at the main ones:
- Strategies that can be implemented due to the crypto bot (available editing parameters, support for certain technical indicators, and market information).
- Easiness of settings and using a crypto trading bot. Some crypto trading bots can be set up in a couple of clicks by choosing the desired strategy, while others are required to program. The choice depends on your knowledge and skills.
- Exchanges on which the bot can trade. As a rule, all crypto trading bots can trade on almost all famous and popular exchanges. However, there are exceptions to the rule, so it is advisable to pay attention to this factor.
- Demand and efficiency of a crypto trading bot. It is necessary to monitor the reviews of people who have already used this bot in their cryptocurrency trading. Thus, you will have the opportunity to understand whether it is worth using and whether it will bring you profit.
- Price. The cost of a crypto trading robot is a very important factor when choosing it. In order to start using some of the trading bots, you will need to buy a subscription while others are free, but they charge a fee for every trade.
- Profitability. Before using a trading bot, you must calculate how profitable the trading process will be by using a crypto trading bot. When calculating, you need to take into account the payment for the services of the trading platform.
- Security. In order to protect your data and funds, you need to pay attention to what the developers say about the security measures taken on the trading platform. Moreover, you need to make sure that the team of the platform is real, so you should check the website to get information about the project developers.
What are the best crypto trading bots in the Cryptorobotics terminal?
Today, Cryptorobotics is one of the best crypto trading platforms that provides traders with various tools for the trading process. These tools help traders implement various strategies, increase the chances of making a profit and minimize the risks of losing funds. On the list of the best algorithmic tools of Cryptorobotics is the crypto trading bots. The Cryptorobotics team has developed three types of trading bots: Optimus, Cyberbot, and Crypto Future which are capable of trading 24/7 and instantly making deals on exchanges at the best prices.
Crypto trading bots, which are presented on the CryptoRobotics platform, are designed for algorithmic trading and are able to independently analyze price fluctuations in the market as well as make a decision about entering or exiting a transaction.
Optimus is a cryptocurrency bot created to trade in the flat markets. This bot trades only on positive price fluctuations and exits the transaction according to the established algorithm based on a number of oscillators and indicators.
Cyberbot is a type of crypto trading bot that is designed to trade on positive market trends. This type of crypto bot doesn’t enter the trades against the market trends. Thus, it makes the trading process completely safe and prevents traders from losing huge sums of money.
How to set up Optimus and Cyberbot crypto trading bots?
These 2 types of crypto trading bots are equally configurable, so if you decide to use one of them in your trading, you should follow this instruction.
To configure and start the crypto trading bot, go to the Algotrading tab → Trading robots → My robots. After that, you will be able to select the bot that you are interested in.
Then, click on the Manage button, and you will be in the control panel.
In the upper left corner, you can choose one of two modes: Testing or Working mode.
In case you do not know whether a particular bot is suitable for your cryptocurrency trading, you can try using the Test mode. The testing mode allows traders to investigate crypto trading with the help of the bot in real-time and using real quotes; this mode does not consider only the volumes in the order books. Signals for entry and exit points are identical to the working mode.
This mode is intended for studying different strategies and settings.
To customize the crypto trading bot, you have to select the Work Mode and press the Settings buttons in the upper right corner.
To configure your account settings for using a cryptocurrency trading bot, you should select the following points:
- Crypto exchange;
- API key;
- Main currency;
- Currency pairs;
- Trade balance;
- The amount of the transaction.
This function allows the robot to stop on its own if the loss on all trades is equal to or slightly less than you set.
Repurchase the same digital currency
Due to this setting, you can repurchase the same cryptocurrency, in case there are already open orders for it. This function contributes to increasing the number of open orders by the crypto trading bot.
Minimum profit for a sell signal
This parameter is based on the algorithm and provides traders with the signal for a sell. The algorithm makes it possible to be in a trade and track changes in indicators that give an exit signal. If the cryptocurrency in which the robot opened a deal is growing, then the bot does not sell this coin. When a signal for a changing trend is received, the crypto trading bot closes the deal for this trading pair.
Stop Loss and Take Profit
These functions are designed to eliminate the risks associated with the loss of funds and increase the chances of making a profit. To enable these features, you just need to configure them.
How to launch a crypto trading bot?
After completing all the settings, you need to launch your crypto bot. To do this, you need to click the Edit robot and Start button.
The launched crypto bot will be displayed in the list of your bots in green, and the status is launched.
How to stop the operation of the Optimus and Cyberbot trading crypto bots?
If you want to stop the operation of these crypto trading bots, you need to click the Stop button. After that, a drop-down menu will pop up with a hold of possible options: Stop, Stop buying, and Stop and sell. You should choose one of them as you see fit.
This type of cryptocurrency trading bots appeared in the Cryptorobotics trading terminal quite recently, however, they have become very popular among traders. Crypto Future trading bots are capable of trading cryptocurrency in both long and short positions. Therefore, their advantage lies in the fact that they bring profit both in a growing market and in a falling market, as well as the trader can also choose leverage for trading. There are three types of such crypto trading bots available in the terminal, they differ in risk management. Let’s take a closer look at each of them.
Types of Crypto Future trading bots
This type of Crypto Future is designed to trade 10 major trading pairs. This automated system trades on futures exchanges and provides signals for long and short positions. Such a bot includes a conservative level of Stop Loss and the percentage of the balance drawdown, which are set by the trader.
This type of Crypto Future trading bot uses 20 major crypto trading pairs for its trading. It includes moderate risk management of Stop Loss and a percentage of the balance drawdown, which is customizable by the platform user.
This type of Crypto Future trading bot uses 30 major cryptocurrency trading pairs to trade. The system includes a risky level of Stop Loss and a percentage of balance drawdown. Just like other types of Crypto Future bots, it also trades on the futures exchanges.
How to use Crypto Future trading bots?
In order to start using one of the Crypto Future bots, you need to follow these steps:
- Pass the registration in the Cryptorobotics terminal.
- Click on the Algotrading button.
- Choose the section of crypto trading bots.
- Select one of three types of Crypto Future trading bots.
How to customize the Crypto Future bots?
When you have decided on the choice of the Crypto Future trading bot, the settings options will be available to you.
First of all, you need to select one of the two: Test or Work modes.
It is worth noting that if you have not used these types of crypto trading bots in your trading yet, you need to select a Test mode to check how this trading bot functions. In this case, the bot will trade in real-time, considering the order book, but this doesn’t affect your balance. Сrypto Future trading bots are very easy to customize and are intended for professional traders and newbies in this field of action.
To run this crypto trading bot in the working mode, it is necessary to select the Settings and configure your Crypto Future trading bot:
- API key.
It should be mentioned that you have an opportunity to use multiple accounts.
- Main currency.
- Balance for trading.
- The amount for the trades.
It is advisable not to use large leverages as it can result in additional risks.
In the case of unexpected fluctuations in the market, which can result in a strong drawdown of your deposit, you can specify the percentage of loss to minimize this risk.
Therefore, if you start to lose your funds below the indicated interest rate, you can choose the following points in the Risk management section: stop and sell everything or stop buying.
Next, you need to press the “Save and Start” buttons. You can see all these settings in the Dashboard.
If you want to see all the statistics for a running robot, you should go to the ‘Statistics” section. Here you will have access to the following information:
- Profit/non-profit orders;
- Average profit/non-profit;
- Profit/non-profit balance;
- Open orders;
- Open balance.
Crypto trading bots with their algorithms can protect novice traders. At the same time, users who have not worked with bots before can make serious new mistakes. For this reason, it is recommended that you study the selected system better.
By the way, newbies should consider the fact that not all crypto bots will be the best choice for them. For instance, to run some crypto trading bots are required the ability to write scripts and set up them from scratch. These crypto bots will suit experienced market participants who are familiar with the basics of programming.
If traders can figure out how to configure a cryptocurrency trading bot properly, this algorithmic tool can help mitigate some of these risk factors and get a profit. Unlike humans, bots will only make deals based on data and trends. Moreover, emotions are excluded from the decision-making process.
Bots can also work around the clock. Thus, the user can continue trading even when he is sleeping or doing something else. The trading bots have the advantage that they can be faster and more efficient than people who trade manually.
These crypto bots can analyze data and transact across multiple exchanges and cryptocurrencies.
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