If you want to trade Bitcoins or any altcoins, you can use more than just manual trading. With the help of spot bots you can do it automatically.
Cryptocurrency exchanges are constantly moving
Unlike traditional exchanges, crypto exchanges never stop moving. Trading is continuous 24 hours a day, in every country. This is almost impossible to monitor manually.
If you don’t want to let go of control, you need to use a well-programmed trading robot. It can help you trade your various investment instruments much faster and more efficiently. It is easy, for example, to become distracted from other activities and not pay enough attention to evaluating market developments. A spot robot gives us the opportunity to trade profitably even if we are not yet experienced enough in this area.
Of course, there are many different types of trading robots. One of them is the spot bot presented here.
How does a spot bot work?
Like other automated merchant programs, it makes purchases and sales on our behalf. These transactions can be executed either for intraday trading or intraday. We can configure in detail which actions to take for which inputs. You can specify at which exchange rate to initiate sales or at which price to buy. You can even diversify these settings. It is possible to set up any number of trades.
If we program in a set of rules to suit our strategy, the software will trade for us in a fully automated way.
Take care of your money!
When we set up our trading strategy, we also need to decide how much of our invested capital we will make available to our spot bot.
You can also set up a GAP. By using such a GAP, we can determine which exchange rate frame we do not want to participate in. And that’s not all!
By setting limits, we can add another layer of protection to our trading. We can set them at a rate level that suits us according to our risk tolerance level. We can limit our purchases with them, but unlike stop loss trades, we do not give them a specific transaction instruction. The system will not sell or buy when the limit is reached.
Other functions
The trading software also gives us the option to enable trailing up and trailing down functions. These will help us to follow the different price movements on the stock exchange. In addition, we do not need to check this data manually, as the system works automatically here too. If you want, you can turn them on yourself.
Passive trading
Not all traders like frequent sales. Many prefer a buy and hold strategy. In crypto trading, this is also known as the HODL strategy. The spot bot will also help you with this. If you want to make use of it, you just need to set a good buy point in the system and you can make the sales manually.
As you can see, the spot bot makes it much easier and more efficient to execute your trades.
