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Crypto Trading Bots

Author: Andrew Bowman
by Andrew Bowman
Posted: Dec 23, 2019
trading bot

Cryptocurrency trading is becoming bigger than any of us could have imagined. In this article, you will find white hot answers about cryptocurrency bots, who needs them, how they work, the pros and cons surrounding their use, and lots more. To keep abreast of the latest happenings in the market and get more information about bitcoin trading bots, stay in touch with us!

What is a Crypto Trading Bot?

I’d assume if you’re reading this, you have probably attempted to use a trading bot, or at least are contemplating doing so. A crypto trading bot works pretty much like a robot — it is a programmed system that automatically make trades for you. Let’s say you’re caught up in some activities outside of trading — you want to spend quality time with friends and family or even go on a date, but at the same time. It would be a big mistake if you missed out on mega-valuable opportunities that could hit the crypto market at any time. How do you go about this? In a 24/7 run market like the crypto space, it only makes sense to likewise have simple fixes that work all day and all night. Thanks to cryptocurrency bots, as they are the only one of such fixes there is at the moment.

However, the key to making tangible profits while using a crypto trading bot is mastery. Using bitcoin trading bots is not as intuitive as you might wish — some level of savvy is needed. For novices or incompetent users, it’s sad to say, there’s no guarantee of cashing in big while self-trading. Any new person taking on trading with crypto bots is advised to do so along with some sort of training or under the watchful eyes of an experienced provider or trader. It is fair to say, this is what we are best at doing. As the best cryptocurrency trading platform. we have penned down a description of how providers work. You do the needful by clicking here.

Why are Bitcoin Trading Bots so Popular?

It seems more crypto traders are jumping onto the crypto bot bandwagon. A few reasons as to why would be:

  1. Time management: Managing your trades on your own requires your physical presence. This means you have to sit patiently for hours, painstakingly monitor market trends at all times. You’d agree that combining multiple tasks at once simply kicks in stress. With a bitcoin trading bot, your trades are seamlessly taken care of and watched over. This option affords you time to go on pleasure holidays or even manage a sideline business without hassle.
  2. Round the clock trading: It’s no news that the crypto market runs on a 24/7 and 365 day a year basis. Having a bitcoin trading bot’s intelligence that efficiently purchases altcoins for you, evaluates growth percentage, and goes back to the BTC is the deepest wish of every trader. Cryptocurrency trading platforms have already been built on these principles.
  3. A beginner’s convenience: A starter’s pitfall is thinking he can learn all the trading secrets overnight — a miracle that defies common sense, and has likely never happened. People who are not yet adapted to cryptocurrency trading should consider using a bitcoin trading bot. They can earn passively and make less obvious mistakes altogether.
  4. Smart trading: Cryptocurrency trading bots are based on Artificial Intelligence, which translates into automatic upgrades and higher trading efficiency.
How do Tradebots Work?

A Crypto trading bot actively supervises financial markets. The bot optimizes sales and subsequently places them on such money markets on behalf of the client. In the same way, bots are able to crack the codes of market movements and pricing secrets. By taking note of these movements and prices, and acting in the order of some predefined rules, bitcoin best trading bots can bump users into the higher tiers of crypto earnings.

Bitcoin trading bot systems function in various ways — some through browser plugins, OS clients, trading servers, or those infused in cryptocurrency exchange software. A good number are free, while the rest can either be purchased or rented. With regard to trading strategy, most bots use the Exponential Moving Average (EMA) as the starting point. EMAs work by keeping tabs on the market flow over a certain span of time. Bitcoin trading bots, on the other hand, either decide what to do according to what price changes may have occurred, or act when price changes take on a particular shape or pattern.

Advantages of Using a Crypto Trading Bot

When on the verge of using a crypto trading bot, it’s expected that questions about its benefits — essentially how it makes trading easier for you - will come up. Discover 4 advantages of trading with the best cryptocurrency trading platform:

  1. The speed of information processing: Taking breaks, needing rest, wanting to rechannel focus - in humans, is almost inevitable. If the same yardstick was applied in the analysis of price movement forecasts, transaction histories, market observations - the result would be more time allocation. If there’s anything one should avoid while trading, it would be wasting time. Robots make these steps a whole lot faster by running on a 24/7 uninterrupted mode. They are equally able to decide the feasibility of such transactions.
  2. Comprehensive tracking: Monitoring prices as they rise and fall across a large number of assets and across several trading platforms at once makes it possible to pinpoint critical situations as soon as they appear. Similarly, tight corners can be escaped in time with only minimal losses. What about analyzing monster-size information? How easily can this be done by you and I? You already have the answer. Again, a crypto trading bot is a fast-paced program designed to work at the maximum possible speed — something humans can’t do.
  3. Procedural techniques: Do not forget that robots are simply dummy machines built to adhere to some given sets of strategies. They listen to humans and replicate our intelligence. The positive aspect of this is that best crypto trading bots are not subject to the effects of emotions. Sometimes novice traders, when analyzing the market state, can panic and shut down potentially lucrative deals or, at worst, make grievous mistakes when trading by succumbing to market sentiments and pressure.
  4. Defined accuracy: How accurate the calculations of a program are is determined only by the specified user parameters. While using bitcoin trading bots, mathematical errors are almost never a thing. Conversely, a person may miscalculate parameters or possibly analyze price charts without detailed attention. Both instances are high trading risks, and if care isn’t taken, significant cash loses could occur.
Disadvantages of a Trading Bot

Good traders know better to measure the worst case scenario before jump-starting an unfamiliar position. It’s an expert practice, and probably one that applies well to the real world too. So, what could the worst experience of using a crypto trading bot look like?

  1. Developer errors: Let's start with the fact that tradebots are just programs written by people and may contain developer errors. They can freeze, fly at the most inappropriate times while trading, and often require updates. Setting up a robot for profitable trading is a complex process that involves finding a compromise between program parameters. Sometimes the selection of optimal parameters is made according to the trader’s subjective opinion. The result of the bot trade will indirectly reflect the qualifications of the person who set up the program.
  2. Transaction frequencies: One of the main drawbacks of using a robot is how often transactions are carried out. As a result, the exchange commission for opening/closing positions may exceed the income from transactions. Of course, in good robots, this parameter may be adjusted. The regularity of transactions is one of the important indicators that must be selected in practice for each strategy separately.
  3. Scam bots: You might be taken aback by how easily cryptocurrency trading platforms can become scams — one minute it looks dependable and real, the next, it comes crashing down. This is a particular problem with cryptocurrency trading bot invested in the forex space, but these days it’s not uncommon to find them in the cryptocurrency space. The best crypto trading platform should offer the most complex and customizable program capable of generating profit, and, as a rule, only in typical situations that are amenable to technical analysis. Sometimes large market players are entering the market and run the risk of referring scam bot providers. In the worst case scenario, this can cause major losses.
How Can You Know You Will Gain Profit With The Help of a Crypto Trading Bot?

Bottom-line - the chances of getting 100% is too good to be true. Why? The reasons are quite simple - as we already pointed out in the advantages and disadvantages sections, the crypto trading bot is just a program. Some cryptocurrency bots present you with report signals. These reports show you the instant results of gains and losses you have made. However, cryptocurrency bots from the best cryptocurrency trading platform are the ones that are designated to specific providers. This can be very helpful for a new user trying to get accustomed to the cryptocurrency world. These best trading bots crypto work directly on the signal providers, which, of course, is safer in principle. Plus, the provider can help tackle all bot-related matters in case something goes wrong or is unclear.

Can Crypto Trading Bot Programs Scam People?
  • Yes, yes, and you are absolutely right.’’ Unfortunately, fake or scam robots, as they’re often called, exist. Scam crypto trading bots are singularly created to steal users’ funds. We know the all too familiar drill: an unsuspecting user gets a subscription (ostensibly to trade with a bot) and grants the program access to personal information in order for the exchange to occur. The scammer/bot owner, in turn, takes advantage of the situation and uses the provided information to manipulate or to steal.

Popular scam cryptocurrency bot trading, like the Crypto Robot 365, top the list of the most fraudulent software. The fact that thousands of innocent victims have been misled and have fallen for this scam robot’s deceits is unbelievably devastating, all in a bid to cash in on a "legitimate’’ automated crypto app. Unfortunately, this fake system comes highly recommended even by the best cryptocurrency trading platform that acts as a de facto affiliate marketer and earns substantial commissions for customer referrals (which, in this case, is you). Our duty is to help spot the ’’bad eggs’’ in the business. Again, as the best cryptocurrency trading bot, we have done our research and have come up with a few crypto robots to look out for so that you don't fall prey. Some of the raunchy get-rich-quick crypto scams responsible for wrecking lives and businesses across the globe include the Bitcoin Loophole, Bitcoin Code, Crypto Edge, and BTC Robot.

Conclusion

Although there’s a growing demand for more computer-based programs like the best trading bot crypto, and the odds are increasing that robot-like figures could take the place of cryptocurrency managers, partially or fully - until then, crypto traders must not sleep on their duties.

You should know that a crypto trading bot does not have an exclusive mind of its own — it still needs you and the parameters you give it to work just right. It’s a typical trait amongst scam bot providers to promise clients passive income trading — when in fact such terms never exist. The most real and practical use of crypto bots consists of setting specific parameters with which they will sell for you. These parameters first need to be backtested and adjusted before you can fill them in.

Since the cryptocurrency market is always growing and evolving, trade strategies, in turn, need to be refreshed and remodeled into forms that suit new niches. However, crypto traders, particularly the newbies, must realize that a crypto trading bot is by no means a ‘set it and forget it’ solution. Instead, bot users are encouraged to trade only in small capitals because of the higher degree of uncertainty and the risks surrounding trade-bots as opposed to self-trading.

For crypto freshmen, familiarizing themselves first with the strategies of cryptocurrency trading, understanding signals, market trends, and the necessary moves to be making, will take them closer to moves that are better realized with the help of the best cryptocurrency trading platform - and that is us! Want to gain more accurate insights on best crypto trading bots? Stay in touch with us!

Read original here: https://safetrading.today/bots/crypto-trading-bots/

About the Author

Hello, my name is Drue, I work in custom software development company Zfort as a highly professional magento developer. Zfort Group is a web and mobile app development company providing software development services since 2000.

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Author: Andrew Bowman

Andrew Bowman

Member since: Oct 23, 2019
Published articles: 5

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