Cryptocurrency Trading News & Updates: Latest Info from Blockonomi

Binance: Reputable Exchange with High Liquidity

Binance is the largest cryptocurrency trading exchange in daily trade volumes. The exchange offers investors full access to trade over 600 crypto assets.

The renowned platform also features a well-detailed learning curve and advanced trading tools that support well-experienced traders and investors looking to learn how to buy different cryptos. Although Binance features a user-friendly interface that facilitates a great user experience, it is more suited for well-experienced traders.

Read: Our Full Binance Review Here

Binance has a minimum deposit of $10. This enables investors to kickstart their investing journey with low fees. Investors can also initiate deposits through seamless payment methods like wire transfers, credit/debit cards, peer-to-peer (P2P) payments, and other e-wallet solutions.

Binance Website

Binance deposits come with a fee that varies based on the payment method used. For instance, the global exchange charges a standard fee of up to 4.50% for all deposits made with a debit/credit card.

All investors enjoy very low fees when trading on Binance, as it charges a standard trading fee of 0.1%. For investors that buy using Binance token (BNB), a discount of 25% on trading fees will be applied.

In addition, investors can rest assured that their funds and data are well protected whenever they trade on Binance. The broker features top-notch security measures like two-factor authentication (2FA), cold storage to keep most coins, whitelisting, and advanced data encryption to protect funds and data. Binance functions effectively in over 100 countries and has a spin-off regulated platform (Binance.US) that tends to US-based traders and investors.

Pros

Trading fees at 0.01%
High liquidity
Wide range of payment methods
600+ crypto assets in library

Cons

Interface is suited for advanced traders
US-based customers cannot trade most coins via its subsidiary

Coinbase: Simple & Easy to Use Exchange

Coinbase is also a great option for investors looking for how to buy the crypto seamlessly. The US-based crypto trading platform enables users to buy, sell, and stake cryptocurrencies with zero complexity.

Coinbase integrates a user-friendly interface that simplifies crypto trading. The crypto trading platform supports well over 10,000 blockchain-based assets.

Read: Our Full Coinbase Review Here

The exchange’s signup and verification process take less than 10 minutes. For traders looking to invest easily, Coinbase is a great alternative to Binance.

Coinbase has a minimum deposit of $2, the lowest minimum deposit in the market presently This exchange also offers a wide range of deposit methods like automated clearing house (ACH), Wire transfer, debit card, and e-wallet solutions, as well as cashouts in local currencies like USD, GBP, and EUR. Coinbase charges up to 3.99% for debit card deposits.

Coinbase Website

Investors enjoy a 4% cash back reward whenever a Coinbase debit card is used for crypto purchases.

For fees, Coinbase charges a competitive fee of 0.5% - 4.5% depending on the payment method, cryptocurrency type, and transaction sizes.

Coinbase has evolved from a traditional exchange to a versatile platform with great services dedicated to retail and institutional investors, such as an in-built exchange wallet, self-issued cash back visa card, staking, derivatives, asset hubs, ventures, and many more.

Furthermore, Coinbase has in-built security practices like 2FA verification as an added security layer to investors’ usernames and passwords, crime insurance that secures digital assets from theft and fraud, and many more.

Also, Coinbase is licensed by the Securities and Exchange Commission (SEC) and regulated by top financial authorities like Financial Conduct Authority (FCA), Financial Crimes and Enforcement Network (FinCEN), and the New York State Department of Financial Services (NYSDFS).

Pros

Beginner-focused
Licensed and reputable platform
Insurance in case of hacks
Low minimum deposit

Cons

High fee compared to competitors
No credit card deposits for US customers

Visit Coinbase

KuCoin: Exchange With Lots of Listings

KuCoin is one of the world's oldest and most popular crypto exchanges. The Seychelles-based broker is one of the most notable names in the market for traders who desire access to derivatives products to speculate in the market.

Currently, KuCoin provides access to over 600 cryptocurrencies. Besides trading and investing, the exchange allows investors to save, stake crypto, and even participate in Initial Exchange Offerings. With KuCoin, investors have an all-encompassing crypto hub.

Read: Our Full Kucoin Review Here

Like many brokers in its class, KuCoin could appear too overwhelming for beginners. The exchange is more suited for advanced traders who want to speculate and trade sophisticated products. So beginners might have some difficulty making use of it.

Despite this, investors could gain many benefits from trading with KuCoin. The broker has a low minimum balance of $5, with deposits available via major fiat currencies, peer-to-peer (P2P) transfers, and a few credit card options.

Kucoin Homepage

As for trading fees, KuCoin users pay 0.1% in fees. But the fees could decrease based on an investor's 30-day trading volume and ownership of the company’s KCS token.

Security on KuCoin is also impressive. The system uses bank-level encryption and security infrastructures to protect users’ coins and data. KuCoin also has a specialized risk control department to enforce strict data usage policies.

Pros

Discounts available on trading fees
Extensive staking functionalities
Quick P2P trading system
Anonymous trading available
Low minimum balance

Cons

No bank deposit option

Visit Kucoin

Gate.io: Solid Platform With Lots of Coins

Gate.io is a cryptocurrency trading site that aims to offer its members an alternative to the exchanges currently dominating the market.

The site has been in operation since 2017 and aims to capture a portion of the cryptocurrency trading market by offering its users hassle free access to a number of hard to find coins and up and coming projects.

The site is also designed to help investors find specific information related to both their preferred coins and overall market trends.

Read: Our Full Gate.io Review Here

Trading mostly takes place on a web-based trading platform that is similar to most cryptocurrency exchanges. The site incorporates a number of functional features such as an order book, trading history, and charting.

Gate Website

Pros

A wide range of currencies
A low fee structure
Simple registration process
Functional platform with a mobile app available

Cons

Unregulated
The team is not very transparent
No fiat currency transfers

Visit Gate

What is Optimism?

Optimism is a layer-two scaling solution native to the Ethereum blockchain. The tool makes it easy for developers to build on Ethereum while avoiding scalability problems.

To understand Optimism, it is also important to examine Ethereum. Arguably the most popular blockchain, Ethereum has become a hub for decentralised application (dApp) developers looking to build across multiple fields – from NFTs to decentralised finance (DeFi) to blockchain gaming.

However, with this popularity also comes an issue. The influx of developers and apps has made Ethereum unscalable, with transaction fees rising and latency becoming a more prominent issue. This has led to the rise of alternative blockchains like Solana and Avalanche, many of which have higher performance metrics and can handle even more transactions per second than Ethereum.

Looking to solve this problem, the Ethereum Foundation is working on Ethereum 2.0 – an upgrade to the blockchain that will see it shift to proof-of-stake and introduce concepts like sharding to improve scalability. In the meantime, layer-two blockchain protocols have also been launched. These protocols are essentially blockchains that work on the Ethereum mainnet.

Optimism is a low-cost and lightning-fast Ethereum L2 blockchain.

Optimism is one such protocol. Built on the Ethereum blockchain, Optimism is powered by Optimistic rollups – a technology that bundles large amounts of transaction data into small batches. Optimism handles transactions on its system as a layer-two chain, while transactional data gets posted to the Ethereum mainnet for validation.

Optimism launched its OP token in May 2020 after moving into a fully decentralised working module. The token gives holders the right to participate in The Optimism Collective – a two-tier governance system that houses the Citizens’ House and the Token House. The Citizens’ House governs most public funding decisions, while the Token House handles technical decisions related to Optimism. OP holders vote in both houses, making the token highly functional.

Optimism Wallets

Digital asset storage is as important as investing in digital assets. To store digital assets, crypto investors use crypto wallets. However, selecting one out of the multiple available options largely depends on the user’s needs and portfolio size.

Below, we briefly explain the types of crypto wallets and their use cases:

Software Wallet

Hot wallets, also called software wallets, are one of the most popular cryptocurrency storage options. They are always online, hence the affiliation with the ‘hot’ tag. Investors can easily get a hot wallet once they open an account with a crypto exchange. This allows them to store and manage their private keys, which prove their ownership of their assets to the blockchain network. Hot wallets are usually more convenient for everyday crypto transactions and can be custodial or non-custodial.

Hot wallet

A custody wallet is responsible for storing assets to an exchange or a third-party platform. The user only places an order for a transfer or receipt, and the exchange signs off on the transaction, much like the traditional banking system. Meanwhile, a non-custodial or self-custody wallet gives the full responsibility to the end-user.

Hot wallets are usually free, but they are largely considered less secure due to their constant internet connectivity. An instance of a hot wallet is the Binance Wallet.

Hardware Wallet

A Hardware wallet is a device which has been created to provide an extra layer of security when interacting with your various cryptocurrency wallets.

Normally you would use your private key to move funds, the problem is though, if your computer has been compromised with malware or a virus, it is possible for your private keys to be captured and used to steal your funds.

Hardware wallet

With a hardware wallet, the private keys are stored on the device and never exposed to your computer, which means even if you are infected with such a program your private keys will remain safe. These options are safest way to store your crypto if you have more than a small amount.

Popular examples of cold storage offerings are the Ledger and Trezor line of hardware wallet solutions, read our reviews:

Mobile wallet

A mobile wallet is essentially a hot wallet on a smartphone device. They offer users an even more convenient way to use their coins for daily activities. Mobile wallets store and manage users' private keys while enabling them to pay for things they love with their digital assets.

Mobile wallet

These wallets are usually free and always online for transactions to be processed. Popular mobile wallets are eToro Money Wallet and Coinbase Wallet.

Desktop wallet

A desktop wallet is a PC version of a hot wallet. It is essentially software that an investor downloads into their personal computer or laptop for easy interaction with their digital coins. They also offer a browser extension which allows users to interact using an extension instead of downloading the entire software. Desktop wallets are also hack-prone due to their online nature. A popular example is the Exodus Wallet.

Paper Wallet

The paper wallet is arguably the oldest form of crypto wallet. They are no longer common in the modern crypto industry. It contains users' public and private keys. The paper wallet is the least secure type of wallet as it can easily be lost, stolen, or torched.

Best Optimism Wallet

Users often wonder what the best crypto wallet is for storing their digital assets. This is largely a subjective issue. Depending on an investor’s unique needs, they can pick any option that suits them.

However, our top pick for storing digital assets is the Binance Wallet. The platform is a crypto wallet solution from the world’s largest crypto exchange by trading volume.

The Binance Wallet

Binance Wallet has impressive features, including support for 600+ coins and direct access to the burgeoning Binance ecosystem while storing assets using state-of-the-art security processes. This includes two-factor authentication (2FA), backup recovery phrase, and address whitelisting.

For convenience, Binance Wallet is a great choice as users can easily complete crypto transactions within seconds as against using a hardware wallet.

How To Buy Optimism

After exploring where to buy and the coin’s use cases, the next thing is to explore how to buy it for your portfolio. Binance is our recommended exchange, so we'll explore how to purchase the asset using Binance.

Step 1: Sign Up

Go to the Binance home page and click on “Register”.

Binance signup

Binance allows investors to register using their mobile phone, email address, or Google account. Most users choose the first two options and provide their phone numbers, emails, and desired passwords. A link will be sent to their registration channel of choice, and investors can click on it to authenticate their accounts.

Step 2: Verify Your Identity

Like many other regulated brokers, Binance requires that investors verify their identity before commencing their purchase.

To complete the process, visit the “Identification” tab. Investors will have to share personal information, their proof of residence, and a government-verified means of identification. This process should take no more than a few minutes to complete.

Step 3: Deposit Your Funds

Next, investors will have to deposit into their Binance wallets. The exchange makes deposits possible using payment processors, wire transfers, bank deposits, and direct crypto transfers. And its required minimum deposit is $10.

Deposit on Binance

To make a deposit, go to the “Payment” section and click “Add a new payment method” to enter payment details. Alternatively, investors can click the “Buy Crypto” button to select a payment method and complete their transfer.

Step 4: Buy

With a funded wallet, investors are ready to make a your purchase. Head to the “Buy Crypto” section and enter the desired amount. Click on “Continue” after reviewing the terms, and the wallet should be updated immediately.

Conclusion

Ethereum scaling solutions are becoming increasingly important due to the role they play in relieving the PoW network’s transaction load. They are fast, low-cost, and more user-centric than Ethereum. In a highly competitive space, Optimism stands head-over-shoulders among its peers and is the most popular scaling solution only behind Polygon.

Binance remains our top choice to buy Optimism OP. The platform offers the lowest trading fee in the industry at 0.1% and offers huge crypto liquidity. It also comes with advanced trading tools and derivatives trading suited for advanced traders.

Optimism OP FAQs

Where can I buy Optimism?

Traders can buy Optimism from the Binance platform. You can easily sign up for an individualized account on the Binance website, upload a copy of their driver’s license or official passport, and deposit a stipulated minimum of $10 to buy the OP token.

Does Optimism have a token?

Yes, Optimism has a utility token that powers most of its operations. The digital asset is utilized for voting on network proposals, staking, and network fees.

How do I invest in Optimism?

Investors can easily open a new trading account on any of our reviewed crypto brokers, verify their accounts, and deposit a stipulated minimum to buy OP.

How high can Optimism coin go?

Given that crypto assets are volatile by nature, this is largely unknown. However, the digital asset has made a strong showing this year. It surged to $4.57 in May. With crypto and DeFi adoption rising, the digital asset may rise with the broader crypto market.

The post Where to Buy Optimism OP Crypto: Complete Guide appeared first on Blockonomi.

3Commas Review: Bitcoin & Cryptocurrency Trading Bot Platform

Eugene Kem — Tue, 16 Jan 2024 01:39:03 +0000

As the cryptocurrency world continues to mature, crypto traders are being presented with an ever increasing range of services designed to help simplify the trading process, and help traders of all experience levels to record consistent gains.

3Commas is a comprehensive cryptocurrency trading platform that allows its users to make use of automated trading bots as well as follow and copy the actions of successful traders and to create and track top portfolios.

In addition, users are able to engage in smart trading and customize their own trading strategies, and set up stop loss and take profit commands.

3Commas at Glance

Price	Free Trial / $29 / $49 / $99 Per Month
Payment Options	PayPal / Apple Pay / Credit or Debit Card / Crypto
Exchange Support	Binance / Binance Jersey / Binance US / BitMex Bittrex / Bybit / Coinbase Pro / Huobi / OKEX
Cloud Based	Yes
Signals	Marketplace of Free & Paid Signals
Strategies	30+ Indicators / 90+ Candle Patterns

3Commas Overview

The 3Commas cryptocurrency management platform provides access to a number of tools designed to improve overall trading efficiency and effectiveness. The team behind the project aim to help minimize investors’ risks, and limit their exposure to losses, while also maximizing their profits.

Central to the service provided is the 3Commas trading bot which operates as a web-based service and works in conjunction with a number of devices and exchanges. The trading bots are pieces of computer software that continuously execute trades based on pre-determined parameters set by the trader.

There are currently over 33,000 traders using the service, and the platform handles over $10m of daily trading volume and the trading bot currently works with approximately 12 exchanges including Coinbase, GDAX, Binance, Bitfinex, and Huobi.

As a result, by using 3Commas traders can keep up with various orders on different exchanges, develop more informed trading behaviour, and make use of effective stop losses or take profit trading strategies.

Key Features

Functionality – 3Commas utilises a web-based platform, and features an easy to use and intuitive user interface that includes a wide range of functions and detailed analytics. Users can make use of short, simple, composite, and composite short bots, and set stop loss and take profit targets, as well as customise their own trading strategies.
Technology – Automated trading takes place via API integration with cryptocurrency exchanges and the bot works around the clock with any device and users can access their trading dashboard on desktop and laptop computers. The team have also developed mobile apps for both Android and iOS
Range of Tools – The platform provides a good range of trading tools and in addition to the automated bots and performance analytics, users are able to create, analyze and back-test crypto portfolios and monitor the best performing portfolios created by other users. In addition, users can engage in social trading and follow and copy the actions of other successful traders.
Exchange Integration – The 3Commmas team provide automatic trading bots for 12 exchanges including Bittrex, Bitfinex, Binance, Bitstamp, KuCoin, Poloniex, HitBTC, Cex, GDAX (Coinbase Pro), OKEx, Huobi and Yobit.
Customer Support – The platform is available in English, and Russian, and a support team is available to deal with any issues 24/7. Users can contact the team by submitting a request in the Help Centre, and the team can also be contacted via their Twitter account, Telegram group, and Facebook There is also an FAQ page in the Help Centre that addresses the most common issues, as well as a number of clearly written Guides that help users to navigate the platform.

How to Get Started on 3Commas

Creating an account is a straight forward process, and the main page has a green “Create an Account” tab at the top of the page.

1) Create an Account

Visit the 3Commas website and enter an email address and password in order to register. After confirming your account via clicking the link in the email sent, you will gain access to the dashboard.

2) Choose the bot type

There are four types of trading bots, short, simple, composite, and composite short bots, and a simple trading bot only involves one trading pair and is the most straight forward to set up.

3) Connect an exchange

The simple trading bot feature only works with Binance exchange when you start out, and you can connect a Binance account here. Make sure your account is connected via API and holds BNB and has BNB fee payment feature turned on. After this, you can move on to naming your bot.

4) Choose trading pair and set base trade size

You can select the trading pair you want your bot to trade from the drop-down menu, and you can then tell your bot just how much of your preferred currency you will be use during your initial trade.

5) Set target profit

Before doing this, it’s a good idea to set a safety trade size, as you can make purchases after any dips in a more controlled way. If a trading pair of ETH/BTC is chosen, and if after buying ETH the price drops below the original purchase price, then safety trades allow you to buy more ETH with the amount of BTC that set in the safety trade size.

Afterwards, you can set that target profit which informs the trading bot when to sell according to percentages. If a target profit is set for 3%, then the trading bot will automatically execute a sell order once this profit has been realised.

6) Choose take profit type

There are two take profit options, which are a percentage from base trade or a percentage from the total volume.

7) Set max safety trades count

This informs the trading bot how many safety trades it can make before stopping, and the max active safety trades count tells the trading bot the quantity of active safety trades it can conduct at any given time.

8) Set price deviation to open safety trades

This tells the trading bot when it can begin executing safety trades, and is set as a percentage. If set to 3, when the price of the chosen currency drops by 3% below the initial trade price, then the trading bot will start to execute safety trades.

9) Set trade start conditions

This informs the bot of when to make the initial trade, and there is a choice of TradingView Signal Buy or Strong Buy, TradingView Signal Strong Buy, Manually, or Open New Trade ASAP.

By following these steps, a trading bot can be configured in just a few minutes, and the entire process is simple enough for more novice traders to follow successfully. The platform is still detailed enough to also attract more experienced traders.

How to Profit from Using the Automated Bots

After a bot is set up, users can begin to carry out long and short trades, for short trades, a price rise in the currency selected will result in the execution of the sale of the underlying cryptocurrency once the designated profit level is reached. In the event of a price reversal safety orders can be placed to ensure that the bot also makes purchases at a given percentage increase.

The 3Commas team have outlined both long and short algorithms that enable the contrary strategies of selling higher and buying lower to be used to generate profits.

Long – buy lower, sell higher

The bot opens a new deal according to one of the conditions that are available for selection during the creation. After that, it immediately puts a coin for sale. If the price rises and the order gets filled, the profit goal is achieved. In case of a price fall, the bot places safety orders below the purchase price every x%. Every filled safety order is averaging the buy price, and it makes possible to move the TakeProfit target lower and close the deal without losing profits on the first price bounce. Buy one coin at $10 then sell it at $11. It makes a profit from the difference in prices as you get more after the sell. $11 got against $10 spent.

Simplified algorithm:

Buy initial part of coins.
Place a sell order.
Place safety buy orders.
In case of safety orders get filled update sell order.
Cancel safety orders and calculate profits after the sell if finished.

Short – sell higher, buy lower

It’s a reversed version of “Long” algorithm. Sell one coin at $10 then repurchase it at $9. It makes a profit from the difference in prices as you spend less to repurchase. $9 spent against $10 got.

Simplified algorithm:

Sell initial part of coins.
Place a buy order.
Place safety sell orders.
In case of safety orders get filled update buy order.
Cancel safety orders and calculate profits after the buy if finished.

How Smart Trading Works

3Commas incorporates a Smart Trading feature that uses TakeProfit and StopLoss commands to help users maximize their trading profits. Traders can customize their portfolios with commands to buy or sell at a given price point. The commands work as follows:

Trailing Take Profit – The Trailing Take Profit feature has been designed to help traders realise the most gains. If a user purchases multiples of ETH at $500 each and sets a standard take profit order at $550, then they would make a profit of $50 per ETH.

However, if the price of ETH continues to rise above $550 then the Trailing Take Profit allows you to sell at the highest part of a trend by selling at a percentage of the highest value. As a result, if you set a Trailing Take Profit order of 10% and ETH hits $600 before falling, then the sell order is activated when the price falls by 10%, or below $540.

Trailing Stop Loss – This works in the same way as a standard Stop Loss order as they both allow you to minimize your exposure to losses when prices decline. A Trailing Stop Loss order differs slightly as it is percentage-based and automatically adjusts to price fluctuations, whereas a Stop Loss order is set manually at a fixed price threshold.

As a result, if multiples of ETH are purchased at $500, with a Stop Loss order set at 10%, the stop loss order will execute automatically, if the price of ETH falls below $450, and sell your ETH at that price. If the price of ETH increases over the day, a Trailing Stop Loss order automatically adjusts to the price change, and if ETH increases in price by 15%, the Trailing Stop Loss order triggers when the adjusted price drops by 10%, resulting in a 5% gain. This differs from a standard Stop Loss order which will only execute when the price falls below 10% of the original buy-in price.

Is 3Commas Safe?

The team don’t go into too many details regarding the security protocols that they choose to employ, however, it’s worth remembering that you don’t actually hold any funds on the platform and your trading bots are not able to make withdrawals from your linked accounts.

Similar to other trading bot platforms, your trading bots connect with your exchange accounts via API and then proceed to carry out automated trades on your linked exchanges. While this process takes place, users aren’t required to make any cash/crypto transfers to external accounts and simply need to provide their API keys which are generated by their exchanges.

These keys provide the trading bots with restricted access to user accounts strictly to conducts trades, and do not grant the bots with any withdrawal rights.

This also means that if your account becomes compromised, and nefarious actors were able to gain control of your trading activity, they still wouldn’t be able to directly access your exchange accounts in order to make withdrawals.

However, the standard personal security rules of crypto still apply, as they could still have a detrimental effect on the funds held in your exchange accounts. Hackers have been known to obtain API access to exchange accounts, and commander the bots to purchase high quantities of low value coins that the hacker’s have already previously purchased.

After artificially inflating both the demand and price of said coins, the hackers then sell off their personal holdings for a profit, leaving the compromised account owners holding funds in the low value coins.

As a result, in order to mitigate these risks, users are advised to enable the available security options such as two factor authentication (2FA) and notification alerts. Notifications can be enabled which alert users of every log in on their account, and the platform also makes use of new IP detection, with verification emails being sent out when a user logs in from a new destination.

In order to gain access to their account, the user will be required to enter a one off code number or click the link provided in the verification email.

The 3Commas team do state that they are committed to data security and the protection of their users’ personal data and all data is protected by security integrated safeguards. These vary in approach and include the use of secure areas, and technical measures such as encryption and secure servers.

The team also outline that in the event of a security breach, they would implement their Incident and Breach Response Plan, which includes sending notifications to individuals as soon as possible.

Is 3Commas for beginners?

The platform is generally quite easy to navigate, even for new traders, and the trading bots are easy to set up. Various features are easy to access from inside your account, and connecting to an exchange, and setting up smart trades and bots can be done at the click of a button. The Dashboard is also well laid out, and the side panel allows users to quickly select their preferred tabs and features.

In addition, features such as bot analytics which details the best performing bots and trade pairs, and the marketplace are well executed and simple to understand. While the portfolio creation, tracking, and social trading features suit both new and more experienced traders.

You can search through and analyze a variety of portfolios from inside your account while also monitoring their performance and keeping an eye on them by following any portfolios of interest. You can also copy a portfolio if desired; although you will need to have the same exchanges linked in order to fully utilize this feature.

The trader’s diary is another feature that benefits traders of various levels as it provides a concise report of all the trades made on your linked exchanges, and allows you to easily identify any profits or losses incurred on a particular trade within a set period of time.

This helps you to gauge the performance of your trading bots, and works in tandem with the ability to set up a range of notifications whether in browser, for mobile, or by email and notifications can be configured from the Settings tab in your account.

Another major plus is the wealth of resources made available on the platform, and the Support Section contains a number of guides, and FAQs that help people get to grips with the most important issues.

Furthermore, the team maintain a blog that details a number of key concepts for newer traders, and also provide further assistance via their Telegram group, YouTube Channel, and other social media channels, and members can gain access to the 3Commas Discord from inside their accounts.

Most importantly, on top of being easy to navigate, and incorporating a range of trading tools, 3Commas is also free to try, and anyone can make use of the free trial to test out the platform and play around with its various features.

3Commas Pricing

While 3Commas is free to try, there are a number of monthly membership packages that incorporate various features.

The Beginner package costs $4 a month*, and includes:

Smart Trading terminal
No limits for trading
Errors and cancellations notifications

The Pro package costs $37 a month*, and includes:

Smart Trading terminal
No limits for trading
Simple bots
Personal signals TradingView

The Expert package costs $59 a month*, and includes:

Smart Trading terminal
Simple, Composite bots and Bitmex bots
Personal signals TradingView
Full portfolio management

3commas Pricing Plans

* It’s important to note that users who commit to longer subscription periods receive reductions on their monthly fees, and a 6 month subscription receives a 15% discount, while a year’s subscription receives a 25% discount.

There is also an enterprise package available which includes priority support and custom features, and the price of this service is available upon request.

The team are also quite flexible with regards to payment options and subscriptions can be paid in either cryptos or fiat, with credit card payments and transfers via PayPal and advcash also possible.

Conclusion

The majority of trading bots are either difficult to use, especially for new traders, or don’t operate in the way expected. 3Commas appears to have solved these problems by producing a trading bot that is both easy to set up and use and also performs reliably when compared to many of its competitors.

The system is well integrated and works on number of leading exchanges such as Binance, Coinbase, and Huobi. The 3Commas trading bot allows both novice and more experienced traders to maximize their trading potential by taking part in a twenty-four hour market without fear of any potential areas of inefficiency.

The Dashboard is easy to navigate and users are able to select a number of options with regards to configuring their trading bots, in addition there is a good amount of instructional information available, as well as detailed analytics on the bots’ performance.

Furthermore, the incorporation of features such as portfolio creation and tracking, and social trading make 3Commas a solid option for anyone interested in adding automated trading to their cryptocurrency trading protocols.

The post 3Commas Review: Bitcoin & Cryptocurrency Trading Bot Platform appeared first on Blockonomi.

Cryptohopper Review: Cryptocurrency Trading Bot Guide

Eugene Kem — Tue, 16 Jan 2024 01:18:50 +0000

Cryptohopper is a cryptocurrency trading robot designed to help simplify the crypto trading process, and help traders of all experience levels to make the most of their trading opportunities, maximize their profits and reduce the chance of losses.

While there are a number of cryptocurrency trading bots currently available such as 3commas, Cryptohopper aims to empower traders by providing an easy to use and fully featured service that allows its users to easily trade multiple cryptocurrencies while removing human frailties from their trading process.

The Cryptohopper Homepage

The semi automated bot doesn’t guarantee profits and simply allows traders to make more intelligent trades based on algorithmically programmed trading approaches and external signals.

Cryptohopper at a Glance

? Price	Free Trial / $19 / $49 / $99 Per Month
? Payment Options	PayPal / Bank Transfer / Crypto
? Exchange Support	OKEX / KuCoin / Bitvavo / Binance / Binance US / Coinbase Pro Bittrex / Poloniex / Kraken / Bitfinex / Huobi
Cloud Based	Yes
? Signals	Marketplace of Free & Paid Signals
? Strategies	30+ Indicators / 90+ Candle Patterns

Cryptohopper Overview

The Cryptohopper website states that the project was started by two brothers: Ruud Feltkamp & Pim Feltkamp one a soap opera actor turned successful day trader, and the other, a brilliant web developer.

The two merged their ideas, skills, and experiences to create a bot that trades automatically for the user, works 24/7, and trades a variety of coins, while also being compatible with a number of cryptocurrency exchanges via an Application Programming Interface (API).

The platform is owned and operated by Cryptohopper BV which is based in Amsterdam, The Netherlands, and the cryptohopper.com domain was registered in July 2017.

The official site houses the semi-automated trading bot that allows traders to remove human tendencies and emotions from the trading process and instead rely on technical based trading algorithms and programmed trading approaches.

Users can also subscribe to external signals and the manipulatable trading solution is aimed at cryptocurrency traders of all experience levels and the team have announced that they have over 75,000 users.

Cryptohopper is compatible with up to 75 cryptocurrencies and nine major exchanges including Binance, Bitfinex, Bittrex, Coinbase Pro, Cryptopia, Huobi, Kraken, Kucoin, and Poloniex.

Cryptohopper Features

Functionality – Cryptohopper operates as a web-based solution, and features an easy to use and intuitive user interface that includes a wide range of functions. Users can configure the bot to trade automatically 24/7 and make use of both algorithmic and social trading. Trading strategies can be derived via various technical indicators or by following the actions of third party trading experts.
Technology – The semi-automated trading takes place via API integration with a range of cryptocurrency exchanges and the service can be utilized on any device connected to the internet such as a desktop, laptop, tablet, or mobile phone.
Range of Tools – The platform provides a good range of trading tools and incorporates features such as a bot backtesting tool, configurable and saveable templates, trailing stops, and customizable technical indicators. Users can also rely on indicators such as Stoch, RSI, Bollinger Bands and MACD.
Exchange Integration – Cryptohopper is currently compatible with nine exchanges including Binance, Bitfinex, Bittrex, Coinbase Pro, Cryptopia, Huobi, Kraken, Kucoin, and Poloniex. Support for BitFlyer, Bitstamp, CEX.IO, Cobinhood, and HitBTC is scheduled to arrive soon.
Customer Support – The platform incorporates a support team that is available to deal with any issues. Users can contact the team by submitting a support ticket in the Support Section, and they can also be contacted via their Twitter account, Telegram group, and Facebook The website also contains a number of FAQs in the Support Section, as well as a number of Tutorials that help users to navigate the platform. In addition, the team have also produced the Cryptohopper Academy video library.

Cryptohopper Account Signup

Creating an account is a simple process, and the main page has a green “Signup” tab at the top of the page.

1) Create an Account

Visit the Cryptohopper website and enter a name, email address, username, and password in order to register.

You can then confirm your email account by clicking the activation link in the email sent, and gain access to the dashboard.

2) Setup your Account

From here you can simply follow the wizard as it will help you to quickly configure your hopper. You just need to select an exchange and configure the bot via your preferred exchange’s API keys and also set up basic hopper configurations. The process is very straightforward and there are links to tutorials and additional useful information on each step.

From here you can immediately start using your hopper, and once you have used the wizard and set up your account, you will be able to access a host of features from the dashboard. You can subscribe to signals, configure templates, and begin backtesting your bot, as well as set up two factor authentication on your account.

3) Signup to Signallers on the Marketplace

Cryptohopper allows users to sign up to integrated professional external signals, and the signaller service is provided by experienced traders who look for positive signs of an upward move. There are both free and paid subscriptions available and bots can be configured to follow signallers in just a few clicks.

Signallers have easily accessible performance reports and their profitability can be tracked, they also make use of cloud computing and machine learning algorithms to consistently monitor numerous technical indicators across a range of digital currencies.

It’s possible to combine both buy signals and technical analysis indicators at the same time, in addition to setting up stop limits and trailing stops.

Cryptohopper Pricing

There are three main pricing plans available; however, Cryptohopper also allows members to make use of a free trial for 7 days, known as the “Pioneer Plan”

Users can simply sign up and begin using the service without having to submit any payment details. When the trial month ends, the hopper is automatically disabled, and users can then opt to purchase a full subscription.

The plans for anyone who chooses to sign up are as follows:

Pioneer Plan: Free Trial for 7 Days

80 positions
Max 15 selected coins
Max 2 triggers
TA with 10 min interval
1 Simulated Trading Bot

Explorer: Starter package ($19 Per Month)

80 positions
Max 15 selected coins
Max 2 triggers
TA with 10 min interval
1 Simulated Trading Bot

Adventure: Trader Plus Package ($49 Per Month)

200 positions
Max 50 selected coins
Max 5 triggers
TA with 5 min interval
1 Simulated Trading Bot
Exchange arbitrage

Hero: Pro Trader Package ($99 Per Month)

500 positions
Max 75 selected coins
Max 10 triggers
TA with 2 min interval
All coins for signals
Market Arbitrage
Market-Making
1 Simulated Trading Bot

It’s possible to pay per month or to purchase the service for a whole year, it’s also important to note that Cryptohopper doesn’t provide any refunds and users should make the most of the free trial before committing to a subscription.

How Beginner Friendly is Cryptohopper?

While many trading bots are best reserved for more experienced traders, Cryptohopper includes a number of features aimed at newbies. These include the Hopper Academy which is available to all members and allows everyone to access a video library that explains just how Cryptohopper works and the best ways to use the service.

Cryptohopper has also developed an active community, and for new entrants to cryptocurrency trading this should prove to be immensely useful. There are active Discord and Telegram groups, in addition to a special forum for members that is available in English, French, Spanish, Dutch, and Portuguese.

As a result, new users are able to converse with and learn from more experienced users from around the world, and continue to learn around the clock.

The platform has also been designed to be easy to use, and doesn’t require any professional programming experience or advanced technical knowledge or skills.

In addition, Cryptohopper also allows for comprehensive backtesting, and beginners can easily check if their configurations are working accurately by playing around with and testing their setup.

Users can see how much they would have earned in the past and adjust their bots to gain a greater understanding of just how everything works while still learning the ropes.

Cryptohopper Marketplace

Your Cryptohopper dashboard will give you access to their marketplace, this is a feature that a lot of trading platforms are including these days. The marketplace allows you obtain trading strategies for your bots – some of these are free and others are paid. This is great for beginners as it essentially allows you to “plug & play” your chosen strategy created by more experience traders and test it out on your account.

If you an expert in creating trading bots, this could also be a source of income for you by creating and selling your own templates on the marketplace.

Is Cryptohopper Safe?

The project is very active on social media and boasts a large number of users, and new members can also browse Reddit posts in order to interact with past users and gauge the general sentiment regarding the project.

However, there is limited information available about who’s behind the project, although the company has made its Dutch company information public and is registered as Cryptohopper BV, Johan van Hasseltweg 18A 1022 WV, Amsterdam, The Netherlands.

As with all trading bots, users aren’t required to transfer any money to an account controlled by the bot developers, as the bots usually work via an API that allows them to execute trades on linked exchanges. It is necessary to provide your API keys which are generated on your preferred exchanges, and these keys give the bot restricted access to your account for trading purposes.

Furthermore, the bots do not obtain withdrawal rights, and in the event of a hack or data breach, nefarious actors would not be able to directly access your funds. The team at Cryptohopper have also developed working relationships with some of the industry’s leading exchanges and users can also set up two factor authentication (2FA) in order to further secure their accounts.

Cryptohopper Summary

Cryptohopper is an automated trading bot that trades on your behalf using trading algorithms. Once you connect a hopper to a cryptocurrency exchange, you can select a number of strategies that the bot will implement in order to try and make a profit.

The online dashboard allows users to easily monitor their performance as well as the reports of signallers and to subscribe to the best signals.

Users can also keep a track of their stats and trading history, as well as the price movements of around 75 cryptocurrencies. Although the service is simple to set up and easy to use it also incorporates a comprehensive range of trading features including:

Trailing stop-loss
Trailing stop-buy
Dollar Cost Averaging
Shorting
Trailing stop-short
Config pools
Triggers
Backtesting
Walletscrubber
Auto synchronize
Reserve funds
Manual buy and sell

Conclusion

Cryptohopper has been engineered to provide the general cryptocurrency community with a viable solution that helps traders to generate profits on a more consistent basis. The mix of technical indicators and third party trading experts or signallers provides traders with increased options as do the template and backtesting features.

While Cryptohopper is essentially an algorithmic trading bot it is easy to configure and use and suits newer traders as well as more experienced practitioners. The team have put considerable effort into developing a platform that is beginner friendly and new users are also able to access an extensive education and community led resource sections.

The inclusion of the Cryptohopper Academy video series and multi-lingual Hopper forum are extremely beneficial to anyone still getting to grips with either trading cryptocurrencies or learning just how to use trading bots.

With its comprehensive list of features, general user-friendliness, and support for 75 different cryptocurrencies and nine leading exchanges, Cryptohopper has a lot going for it and does well to stand out it a market full of competing trading bots and cryptocurrency management platforms.

To remain safe, it’s best to set up 2FA on your account, and to make full use of the free trial run, as well as make a modest financial commitment to start off. It may also be a good idea to connect the bot with a live account that contains a moderate amount of funds as there is less to risk if the bot underperforms or the signals do not generate the expected results.

It’s also important to note that while trading bots do not have withdrawal access, if they become compromised malicious actors can take advantage of a bot’s API access to purchase extremely low value coins that are then “pumped and dumped”. This has happened in the past, and it’s a security concern that needs to be addressed by both trading bot developers and cryptocurrency exchanges.

Furthermore, users have reported that the free third party signals are of a low quality, especially in sideways or bearish markets as the notifications arrive too late, and expose the trading bot to sudden downturns. As a result, users should devote some time to researching signallers and look into subscribing to the more reliable paid signal services.

With that being said, with the market starting to pick up, newer traders may look at the Cryptohopper platform as a simple way to get acquainted with the markets and learn how to trade cryptocurrencies before we experience a new bull run.

The platform is well positioned to serve both new and more experienced traders and incorporates a number of features that all its members can look to benefit from. It is well designed, easy to use and has developed an excellent reputation over the years and as such we recommend you check them out.

The post Cryptohopper Review: Cryptocurrency Trading Bot Guide appeared first on Blockonomi.

3Commas vs Cryptohopper: Which is The Best Crypto Trading Bot Platform in 2023?

Nicholas Say — Tue, 16 Jan 2024 01:18:45 +0000

Automated trading platforms or ‘bots’ have become a popular way to trade cryptos. Instead of having to watch the crypto markets, and look for entry and exit opportunities, crypto trading bots do most of the work. Cryptohopper and 3commas have emerged as two of the most popular trading bots in the marketplace, and they both offer great tools for trading cryptos.

Cryptohopper and 3commas offer many similar tools and both charge a fee to use their services. If you want to see a quick rundown of the similarities and differences between the two platforms, just skip down to the next section.

It is impossible to say which platform is better in an objective sense. Both Cryptohopper and 3commas give users a range of automated tools to choose from, and both will make trading crypto a lot easier.

Have a look at what Cryptohopper and 3commas do, and see if either one would make a good addition to your trading toolkit.

Also take a look at our complete Trading Bots guide where we go into more detail about how these platforms work and provide some more options.

Cryptohopper vs 3Commas

Cryptohopper and 3commas both work from an API key that will allow the platform to make transactions on your behalf at a number of popular crypto exchanges.

Both platforms have a lot in common and will provide the following features:

Cloud-based platform for 24/7 connectivity
Fee-based service
Work with a range of crypto exchanges via an API key
Automated trading options
Long/short trading with limit orders
User-friendly trading interface
Marketplace for Purchasing third-party bots & signals

Cryptohopper: The Rundown

Depending on how you choose to define a trading bot, Cryptohopper may or may not fit that definition. Cryptohopper is a great trading platform that offers advanced trading tools, as well as signaling and backtesting tools that professional traders use regularly.

Read: Our Full Cryptohopper Review

Cryptohopper lets its clients use a cloud-based platform that can manage numerous crypto positions on 8 major crypto (officially supported) exchanges. The exchanges that officially support Cryptohopper are:

KuCoin
Binance
Coinbase Pro
Bittrex
Poloniex
Kraken
Huobi
Bitfinex

Cryptohopper supports 75 tokens according to its website, so clients won’t have any trouble finding a token pair to trade.

How Cryptohopper Works

Cryptohopper will allow its clients to use a range of semi-automated trading tools on supported exchanges. Once it is configured by a user, the Cryptohopper bot will trade automatically on exchanges with a client’s account.

The platform also features trading signals that can help you decide if you want to enter or exit a position. In addition to automated trading, Cryptohopper also has social trading functionality that will let traders work together to profit.

Cryptohopper Tools

Cryptohopper will allow you to set up buying and selling parameters on any of the crypto exchanges that support its platform. The triggers that you decide to use can be configured to work in any market conditions, but the platform doesn’t really offer a fully automated trading algo.

Cryptohopper Dashboard

Cryptohopper has the following order types/trading tools:

Trailing Stop Loss – When a position moves in your favor, it can be a good idea to use a stop loss order that adjusts itself to the market, so that some of the gains will be a sure thing. A trailing stop loss does this for you, and Cryptohopper has it as a standard feature on its platform
Searching for Targets – One of the reasons why traders use automated tools is because they simply can’t be at a trading terminal 24/7. Cryptohopper will be at every exchange, all the time, looking to open or close a position when the market moves to a level that you determine. This is extremely handy for traders who aren’t able to make trading a full-time job but have a good idea of the positions they want to take.
Reserved Funds –If you want to make sure there is always something saved-up in your account, Cryptohopper has a reserved funds tool that lets you set aside a given amount of tokens. This may or may not be a useful feature for your individual style of trading, but it is a nice tool to have available.
Scalp Trading – Scalp trading (or ‘scalping’) is a way to make money quickly off of small market movements. Cryptohopper has automated the scalping process, and the platform will scalp on your behalf along parameters you decide.
Positive Pair Trading –The trend is your friend, and Cryptohopper has created a positive pair trading tool to help find the best opportunities for making a winning trade. Cryptohopper’s positive pair tool will look for any tokens pairs that have been performing well over the last 24 hours, and enter those markets.
Triggers – The crypto markets can move quickly, and Cryptohopper’s triggers allow you to get in on the action. You can set up triggers to buy or sell short any of the tokens that Cryptohopper supports, and make a trade when the market moves in the direction you think it will take.
Short Selling – Selling a token short means that you will be able to profit from a fall in its value, and Cryptohopper has created the ability to sell a token short when a trigger point it hit. You can also set up a level where the position would be closed, and your profit locked-in.
Dollar Cost Averaging – When you buy a larger position in smaller increments, the amount that the overall position cost to buy changes. This is called dollar-cost averaging, and Cryptohopper has built a dollar-cost averaging tool into its trading platform. There are many ways to use dollar-cost averaging, and you can learn more about it on Cryptohopper’s website.
Signalers – Cryptohopper allows third-party traders to act is signalers as a part of its social trading network. You are able to see the kind of trading track record that a signaler has, and trade your tokens with them. Of course, past trading success is no guarantee of future returns, but it is a nice option if you want to use the insights of other traders to potentially profit!

Cryptohopper Pricing

Cryptohopper has a three-tiered pricing model that also allows you to demo the lowest tier for a week at no cost.

Cryptohopper Pricing

Pioneer Plan: Free Trial for 7 Days – The Explorer hopper plan is free to use for seven days.
Explorer: Starter package ($19 Per Month) – The starter packagae will cost $19 USD per month. This plan will give you the ability to manage 80 positions chosen from up to 15 tokens, with technical analysis applied every 10 minutes. You will also be able to set-up 2 triggers with this plan.
Adventure: Trader Plus Package ($49 Per Month) –The Adventure Hopper plan is Cryptohopper’s mid-range plan, and it will cost you $49 USD per month. This plan boosts the number of positions to 200 and lets you trade in 50 different tokens. You will also get technical analysis applied every 5 minutes, and be able to use 5 triggers.
Hero: Pro Trader Package ($99 Per Month) – The Hero Hopper plan is the top-of-the-range offering from Cryptohopper. It allows you to manage up to 500 positions selected from 75 tokens. You will be able to use 10 triggers and receive technical analysis every 2 minutes, and it costs 99 USD per month. The Hero Hopper plan also adds altcoin signals to the rest of the features.

If you want to learn more about Cryptohopper, please check out our in-depth review right here.

Is Cryptohopper a Better Platform?

If you are looking for a platform that can manage your crypto trading, Cryptohopper could be a good choice. It does offer a range of automated trading tools, that once configured are more or less automatic. Building your own trading algos might sound difficult, but Cryptohopper’s platform is very intuitive.

One area where Cryptohopper shines is the sheer number of positions it allows its customers to keep open. Even the most basic plan will allow you to trade up to 80 positions, which is a large number for any single trader. The cost to try Cryptohopper on a medium-term basis is also reasonable, and it can be paid for on a month-to-month basis.

Cryptohopper is a very capable automated trading platform, and it is a great fit for anyone who wants to be connected to the crypto markets all the time. Whether or not it is superior to 3commas is a subjective question, and would be answerable only on a case-by-case basis. Let’s look through what 3commas does, and get a feel for what it offers its clients.

3Commas: The Rundown

3commas offers its clients a range of automatic trading options. Unlike Cryptohopper, 3commas does have fully automated trading bots that will operate without being configured by the client.

3commas also allows the use of simple trading tools to create custom bots, and also has simple automated trading tools for simpler trading strategies.

Read: Our Full 3Commas Review

3commas will operate with the following crypto exchanges (supported features given according to 3commas website and reproduced verbatim):

Bittrex (Smart Trade, Portfolios, AutoTrading Bot)
Poloniex (Smart Trade, Portfolios)
HitBTC (Smart Trade)
Coinbase Pro (GDAX) (Smart Trade)
OKEx (Smart Trade, AutoTrading Bot)
Bitmex.com (AutoTrading Bot)
Kraken (SmartTrade)
Bitfinex (Smart Trade)
Binance (Smart Trade, Portfolios, AutoTrading Bot)
KuCoin (Smart Trade)
Bitstamp (Smart Trade)
Houbi Global (Smart Trade, AutoTrading Bot)
Gate.io (SmartTrade)

As you can see, the functionality of 3commas is highly dependent on what exchanges you feel comfortable using. For a deeper look into what each of these tools allows you to do, keep on reading!

The Tools

3commas has a flexible structure that allows traders to use mostly automatic trading bots, create automated trading sequences, or just use automated buying and selling tools.

This may be one area where 3commas is a better fit for some traders, as it has algos that are basically automatic once some simple parameters are created.

3Commas Dashboard

Smart Trading – The smart trading feature allows you to set up trade parameters that will be automatically executed by 3commas cloud-based platform. These tools are similar to the ones that are offered by Cryptohopper and will allow you to stay on top of the market without being lashed to a trading terminal. Both long and short trading is supported by the platform, as long as it is allowed by the exchange.
Auto Trading Bot – The Auto Trading Bot that 3commas is basically automatic. All you have to do is choose a token pair, and enter some basic trading parameters. Once the bot is active, it will work on your behalf to make profits. You can fine-tune the bot you use by choosing a long, short or composite strategy for the token pairs you want to trade, and the bot will basically do the rest.

Like everything on 3 commas, there are some variables you can tweak, and try to ramp up your gains. The composite bot tool allows you to mix long and short positions over a variety of token pairs, to take advantage of more complex trading strategies.

There is also a list of the top bots from the last 24 hours, in case you want to try and jump on a willing trend. All of these tools create the potential for profit and are almost totally automated. Of course, once you set the bot loose, you will be responsible for any losses, so starting small is probably a good idea.

3commas Pricing

3commas has three plans that offer more to traders as they climb the pricing ladder. Unlike Cryptohopper, 3commas does offer a 3 day free trial if you signup for their pro plan.

3Commas Pricing

The Starter Package – For $22 USD per month, 3commas will give you access to the Smart Trading terminal with no trading limits and include errors and cancelations notifications. Due to the fact that most of the crypto exchanges only support the Smart Trading terminal, this plan would probably be a good place for most traders to start.
The Advanced Package – For $37 USD per month, 3commas gives you everything from the Starter Package and adds access to simple bots, as well as personal signals provided by Trading View.
The Pro Package – The Pro Package from 3commas will set you back $75 USD per month and adds both complex and Bitmex bots to the offering, as well as full portfolio management. There are also deals for customers who sign up for longer periods of time with 3commas.

If you want to read more about 3commas, please check out our in-depth review right here.

Which Automated Trading Platform is Better?

It is fair to say that both Cryptohopper and 3commas are great in their own regard. There are many overlapping features between the two platforms, and if you are looking for simple automated trading tools (not a trading bot), either one should be able to fulfill your needs.

One advantage that Cryptohopper has over 3commas is that the platform can be used without cost for a week, which is great for people who have never used an automated trading platform, and aren’t sure if it will be a good fit. Where 3Commas offers a 3 day free trial if you signup for their top “Pro” plan.

3commas is nice for people that want to have access to a fully-automatic trading platform, which will trade along parameters that are created by the client. Both offer marketplaces where you can purchase pre-built bots or trading signals and both work with a variety of the most popular crypto exchanges.

Cryptohopper’s starter plan is $19 per month and 3Comma’s is $22. But Cryptohopper’s top plan is $99 per month and 3Comma’s is $75 so it might make sense to go with 3Commas if you need more positions and Cryptohopper’s if you are just starting out.

We recommend you at least try out both free trial periods to see which one suits your needs best.

A Word on Safety

One of the biggest concern that surrounds automated trading platforms is how well they keep client funds safe. While both Cryptohopper and 3commas use industry-standard safety protocols, whenever you generate an API key for your account, you are putting funds at risk of theft.

Every trader will have to decide for themselves whether or not the risk of loss via theft is worth using an automated trading platform, which will trade real assets on their behalf. The upside is access to the markets on a nonstop basis, and the risk is that some crafty hackers will figure out a way to take advantage of a platform’s unforeseen security shortfall.

These safety risks aren’t specific to 3commas and Cryptohopper, which have done a good job in designing platforms that have adequate safety precautions.

It may be a good idea to start using automatic-trading with a small amount of tokens, and see how it goes. If you like the platform you choose, and the returns are good, it is always possible to add funds and increase the position sizes.

The post 3Commas vs Cryptohopper: Which is The Best Crypto Trading Bot Platform in 2023? appeared first on Blockonomi.

Best Bitcoin & Crypto Trading Bots: The Ultimate Guide

Andrew Norry — Wed, 10 Jan 2024 02:13:36 +0000

Unlike the stock markets, the cryptocurrency market never closes and never sleeps, which can be a highly stressful scenario for traders and even casual investors in the industry.

Users familiar with crypto investment will also be familiar with the (joyful or sinking) feeling of waking up in the morning to be greeted by a pleasant or unpleasant surprise when they check their portfolio and see large gains or losses.

As a result of the volatility of the market, trading bots have become increasingly popular among traders by allowing them to remain in control of their trading at all times, with the bot not sleeping even while the trader is. In addition, a correctly specified bot allows trades to be executed faster and more efficiently than the trader would be able to do manually.

The explosion of popularity in cryptocurrency has also resulted in a big increase in the number of crypto trading bots available, either for free from open-source platforms or licensed to users in exchange for flat fees.

However, it is difficult to ascertain which of them work as intended and which of them are an absolute waste of time. This post will consider the background to what exactly trading bots are and whether they work for Bitcoin & Crypto trading (and more importantly, for your Bitcoin trading).

We have rigorously tested each bot on this list, you can click through to each one to view our detailed reports and findings and this post is constantly updated with any new options that come on the market.

Top Trading Bots

If you are in a hurry, here’s our pick of the top 2 bot platforms on the market right now.

Cryptohopper	3Commas

Integrations Binance Bitfinex Bittrex CEX.io Coinbase Pro Cobinhood Cryptopia HitBTC Huobi Kraken KuCoin Poloniex	Integrations Bittrex Bitfinex Binance Bitstamp Kucoin Poloniex HitBTC CEX.io Coinbase Pro OKex Huobi Yobit GDAX
Price From $19 Month	Price From $24 Month
Software Type Cloud-Based	Software Type Cloud-Based
External Signals Yes	External Signals Yes
Review Read	Review Read
Visit	Visit

Best Crypto Trading Bots

In this section we will take a look at some of the popular and publicly-available bots you can use. In most cases these bots will offer more than automated trading. Some of the platforms give clients advanced trading tools, as well as access to numerous crypto exchanges.

Cryptohopper

Cryptohopper is one of the most established players in the auto trading scene for several reasons. Firstly, they run entirely on the cloud, so no installation is required making 24/h trading possible. They also have an incredibly intuitive dashboard, and only require a 5 minute set up to start trading.

Next to this they are the only bot to embed external signalers, allowing new traders to subscribe to a growing list of professional analysts from around the world. Many use machine learning, intelligent algorithms and employ teams of mathematicians to target rising coins. Signals are sent directly to the users bots which buy and sell when they receive them.

Signaler dashboard where you can subscribe

The bot allows you to take advantage of bull markets with a trailing stop-loss, and has full technical analysis features from Stoch and RSI to Bollinger Bands and MACD.

Cryptohopper has a very nice modern dashboard area where you can configure and monitor everything and comes with a config wizard or pre-created templates for the popular exchanges – Binance, Bittrex, Poloniex, GDAX and Kraken.

Traders with more experience can incorporate their favorite technical indicators, triggers and use tools that are handy in bear markets, such as DCA & shorting features.

Unlike many other bots, Cryptohopper does not charge any trading fees, and is one of the few bots to offer a free trial for a month with the ability to upgrade to Bunny ($19 p/m), Hare ($49 p/m) and Kangaroo ($99 p/m).

We have completed an Indepth Review of Cryptohopper here.

3Commas

3Commas is a popular trading bot which works with a number of exchanges including Bittrex, BitFinex, Binance, Bitstamp, KuCoin, Poloniex, GDAX, Cryptopia, Huobi and YOBIT. The bot works 24 / 7 with any device as it is a web-based service so you can monitor your trading dashboard on mobile as well as desktop and laptop computers.

It allows you to set stop-loss and take-profit targets and also has a social trading aspect which allows you to copy the actions of it’s most successful traders.

Another interesting feature is it’s ETF-Like crypto portfolio feature which allows you to Create, analyze and back-test a crypto portfolio and Choose from the best performing portfolios created by others.

We have completed an Indepth Review of 3commas here.

Mizar

Mizar Trading Platform

If you’re looking for a platform that will not only help you make money but also offer the best crypto trading bots, Mizar is the place to go. The platform offers the latest in cryptocurrency trading tools and services for both experienced traders and those just getting started.

Visit Mizar

WunderTrading

WunderTrading is an automated crypto trading platform with a trading bots and copy-trading tools. Users may create completely autonomous cryptocurrency trading bots with TradingView PineScript, earn passive cryptocurrency income by following highly skilled traders or trade manually with the sophisticated Trading Terminal.

We have completed an Indepth Review of WunderTrading here.

Visit WunderTrading

Quadency

Quadency is a digital asset management platform that provides automated trading and portfolio management solutions for both retail and institutional traders.

Quadency Review

The platform incorporates a comprehensive range of features designed to streamline the process of trading and investing in cryptocurrencies. These include a variety of trading bots that come pre-configured or can be customized as desired, advanced charting, and portfolio analytics.

These features all combine to enhance the crypto trading experience, and Quadency supports automated trading on Binance, Bittrex, Coinbase Pro, Kucoin, Liquid, and OKEx.

Check out our full Quadency Review here.

Visit Quadency

Coinrule

Coinrule is one of the newest trading bot platforms on the market which has some great features and is suitable for beginners and more advanced traders alike. It supports the most popular exchanges like Binance, BitMEX, Coinbase Pro, and Kraken and can be accessed for free by using a Starter account.

Paid subscriptions range from $29.99 to $249.99 per month with the differing account tiers designed to cater to traders of differing experience and activity levels.

Anyone interested in using the platform can always sign up for a free Starter account and test it out in order to figure out if opting for a paid subscription will be beneficial.

You can check out our full review of Coinrule here.

Visit Coinrule

Exchange Valet

Unlike many of the other trading bots on this list, Exchange Valet is more of a trading toolset and crypto portfolio management platform. Most crypto exchanges don’t give traders a ton of tools to use. Exchange Valet is filling in the gaps with commonly used trading tools like simultaneous stop loss and take profit orders.

If you are used to using a trading platform like MT4 or MT5, the ability to set simultaneous stop loss and take profit orders is taken for granted. Many exchanges don’t support either order type, or allow traders to use both at the same time.

Exchange Valet lets you set both stop loss and take profit orders at the time time, which is extremely useful for active traders.

Let’s say you want to open a position in BTC, but your expectation is that it will rally for another 10%. If you are wrong about the direction of the BTC market, there is no need to stick around and watch your trading capital get eaten up by a nasty downward price movement.

Exchange Valet’s platform would allow you to open up your BTC trade with both a stop loss and take profit order at whatever price level you like. If you are correct, and BTC rallies by 10%, Exchange Valet will lock in that profit by selling the position. If you got it wrong, your stop loss will keep a volatile market from blowing up your trading account.

Handy Portfolio Management Tools Too!

Exchange Valet also allows you to keep an eye on all your positions, and rebalance them almost automatically. The platform will display all of your crypto holdings on a pie chart, and allow you to buy a specific percentage of your portfolio’s total value in a single crypto.

Let’s say you want to hold 40% of your total portfolio’s value in ETH. Exchange Valet will give you a simple input field that will let you buy whatever percentage of any crypto that you like. This is an easy way to make sure you maintain the balance of cryptos that you like, without doing a ton of work.

Exchange Valet also has solid communication tools. All of your orders can be delivered via Telegram (they call it Speedtrade), and other information will be emailed to you if you like. Portfolio info can also be delivered with Telegram, or by using the platform’s proprietary chatbot.

Exchange Valet Lacks Some Features

If you are looking for an automated trading platform, Exchange Valet isn’t going to be a good choice for you. While it does offer super useful trading features, it really isn’t a trading bot. It is also limited to Binance and Bittrex. This may or may not be an issue, but it is something to consider.

Exchange Valet is also costs cryptos to use. The platform offers new users a 14 day free trial, but after that it will cost you $29 USD per month, $75 USD for three months, or $250 USD if you buy a year’s worth of service.

If you are an active trader with a big portfolio these prices could make sense, although there are other platforms that give you more features for a similar price.

Two areas where Exchange Valet shines are security and connectivity. The platform meets ISO 27001, ISO 27017, and ISO 27018 standards for data security. It also offers a lot of information via Telegram, which is great if you want to keep an eye on your portfolio when you aren’t in front of a computer.

Worth Learning More About

If you prefer to trade your own account, Exchange Valet could be a great tool for you. While it does lack algo-based trading features, it does offer traders all the tools they would find on a conventional trading platform.

Exchange Valet takes your security seriously, which is great to see. The communication tools that Exchange Valet built are also useful. If you are looking for a platform that fills in the gaps that exchanges left open, Exchange Valet is worth a deeper look!

Read our full review of Exchange Valet here.

Visit Exchange Valet

CryptoTrader

The CryptoTrader bot is a cloud based trading bot that provides users with fully automated trading solutions while not requiring them to install the bot on their own system. CryptoTrader features a strategies ‘marketplace’ that allows users to buy their favorite trading strategy, or alternatively to sell strategies developed by themselves.

Cryptotrader supports most of the major exchanges for both backtesting and live trading, with the backtesting tool allowing users to review how their strategies would work under different market conditions.

CryptoTrader offers five different subscription plans, with fees ranging from 0.006 BTC to 0.087 BTC per month (Bitcoin is the only payment method accepted). The separate packages include a number of differences, including the number of bots operating on the user’s behalf as well as the maximum equity limit.

Although though some knowledge of coding is beneficial when setting up strategies in the CryptoTrader bot, there are a number of free and paid strategies available for users that are not experienced / interested in coding.

The CryptoTrader bot also has a wide level of interoperability, with the service offering email and text notifications to alert users on important market events or changes in trends.

Read our Indepth Review of CryptoTrader.

Visit CryptoTrader

Haasbot

Created in 2014 by Haasonline, Haasbot trades Bitcoin and many other altcoins,

Although Haasbot is probably the most complete of the trading bots that are currently available, doing much of the labour with relatively minimal input required from the user, in order to provide this service it is pretty expensive, with costs ranging from between 0.04 BTC and 0.07 BTC for a three-month period.

At those prices, it is clear that anybody willing to take a chance on it should be knowledgeable about what they expect to get out of the platform and be committed to doing so.

Haasbot is an outgrowth of HaasOnline Software, which was started by Stephan de Haas in the 1990’s. The same company is also behind HaasOnline Trade Server (HTS), which is a automated system that is designed to trade cryptocurrencies.

The Haasbot platform operates on Windows, MacOS, and Linux, and allows traders to choose from more than 10 different ‘bots’. The more you decide to spend, the more bots you will have access to on the platform.

Given the prices involved in using the bots, it is a good idea to do some research on the returns they have generated in the past.

Read our Indepth Review of HaasBot here.

Visit Haasbot

Zignaly

Zignaly is a trading terminal with cryptocurrency trading bots that lets you trade automatically with help from external crypto signal providers. For the moment the platform costs just $12 per month.

The platform is incredibly easy to use and can be utilized as a passive income machine. Zignaly lets you easily connect with a TradingView account, so you can use it with your favorite indicators. Alternatively, you can use the Zignaly trading terminal to create your full strategy at once.

Because Zignaly is still pre-launch, the number of exchanges that it operates with is limited. The development team says that once the full version is live, KuCoin, Coinbase Pro, Poloniex and Bittrex will be added to the platform. The company also plans to offer its clients unlimited currency pairs without any additional cost.

One of the nicest things about Zignaly, besides the price, is the developers’ commitment to transparency. The full development teams’ info is available online, and anyone who wants to learn more about the founders can find their personal information on their social media profiles.

Read our Indepth Review of Zignaly here.

Visit Zignaly

Apex Trader

Apex Trader is another newer platform which offers and easy intro into trading automatically use bots. The platform features trading bots that can be used to employ a number of trading strategies, and work via API connections to popular cryptocurrency exchanges including Binance, ByBit, Kraken, and KuCoin.

Apex Trader is highly configurable and provides over 100 technical indicators which means that anyone can create their own automated trading strategies and then deploy them to run 24/7 on a wide range of trading pairs.

Apex Trader Homepage

The platform’s free 7 day trial period also allows you to get a feel for Apex before committing to a paid monthly subscription.

We have also reviewed Apex Trader here.

Visit Apex Trader

Cap.Club

Cap.Club is a simple way to gain access to advanced trading features. The platform was designed in Russia, and currently works on Binance and Bittrex. The platform offers traders automated buying and selling algos, as well as advanced order types.

One of the first things that you will probably notice about Cap.Club is the simplicity of both its website and interface. If you are just getting into automated trading, or have little coding knowledge, this simplicity could be a big plus for you.

The platform comes in two versions.

The free version will give you all of the trading strategies that the full platform features, but you will be limited in how many can run at once. The free account is also limited in communication. The full version will send you alerts via both Email and Telegram, but the free one is only going to contact you with Email.

If you want to use the platform for free, it is ready to go. For those that want to upgrade, it currently costs $30 USD per month, or can also be bought on a yearly basis for a discounted price of $300 USD.

Simple to Use, Lots of High-End Features

Don’t let the simplicity of Cap.Club’s interface fool you, it delivers some high-end trading tools. In addition to limit and trailing orders, Cap.Club offers it users three trading programs:

Smart Sell (long)
Smart Buy-Sell (long)
Smart Sell-Buy (short)

These algos seek to make money automatically for Cap.Club’s clients. There aren’t a ton of reviews out there for how effective the algos are, but they are all 100% free to use with the basic package.

The platform that Cap.Club put together offers a lot of value, and also is a nice compromise between an algo-driven trading platform, and a trading platform that gives you some of the normal trading tools that are lacking on most crypto exchanges.

Cap.Club also includes a visual strategy editor with both the free, and premium package. If you understand how trading strategies work, but can’t put them into code, a visual strategy editor could be a good fit for you.

Instead of having to write your own algo in code, you can use a visual strategy editor to lay it out with symbols. Once you have the strategy together, it is simple to run. You may find that your strategy ideas are profitable, and they could help you outperform the market.

Cap.Club Gives You a Lot

The fact that Cap.Club allows you to use its platform for free is great. While you will be limited in how many strategies and APIs you can run at once, it will help you to figure out if the platform makes sense for you.

For frequent traders having some sort way to use limit and trading orders is almost necessary. Buying and selling at market rates isn’t ideal. Trailing stops and take profit orders can help you to ride a winning position, which makes it possible for a single position to make the entire subscription worthwhile.

The big downside to Cap.Club is the fact that it only supports two exchanges.

If you don’t want to trade with Binance or Bittrex, then Cap.Club isn’t going to be of much use to you. That said, it is really easy to set up Cap.Club with Binance and Bittrex, which makes opening a new account at one or both of the exchanges worth thinking about.

Easy Set-Up and Support

Once you open up your Cap.Club account, all you have to do is go to the exchange of your choice, and generate an API. You will get a new API, and a secret code. Just go back to Cap.Club, and enter the info into the fields it provides you with. The process is super simple, and should only take you a few minutes.

Cap.Club also has a deep support section online. If you need help connecting your exchange account to their platform, or figuring out how to use any of the tools, you should be able to find any information you need. The support is included with both account types, which is a great feature.

Overall Cap.Club looks like a capable automated trading platform that also gives traders some useful tools, as long as you use one of its two supported exchanges.

Visit Cap.Club

Signal Groups

Signal is a platform that is made specifically for Binance. Signal does give traders on Binance some badly needed tools, and a high level of connectivity. If you want automated trading, or to use another exchange, this platform isn’t for you.

Much like Exchange Valet, Signal gives traders the tools they would find on a trading platform like MT4. In addition to simultaneous stop loss and take profit orders, it also allows traders to program laddered buying, as well as trailing stops.

Most of the features that Signal offers are extremely useful for traders. While a platform like Signal isn’t really going to be useful for a crypto investor who is looking to HODL for the long-term, the tools that Signal delivers will help traders who are used to fully-featured trading platforms.

Signal is Built for Binance

If you trade on Binance and are looking for advanced trading tools, Signal could be the right platform for the job. As mentioned above, being able to use stop loss and take-profit orders simultaneously is a must for traders.

In addition to adding simultaneous stop loss and take-profit orders, Signal gives you the ability to buy into a position over a period of time. This is called a laddered buy, and it cab be handy if you think there is a big move coming in a token’s price.

Instead of buying your entire position at one, you can automatically set Signal up to do the buying for you. This can also be good for larger traders who want to spread their orders out, and reduce the chance they will influence the market price of a token noticeably.

Signal also offers two interesting tools that some traders might find useful.

The platform allows users to sell existing coins, and also has a ‘targets’ tool. The sell existing coins tool allows Signal users to sell specific coins, and the targets tools lets traders set levels where positions can be sold. Both tools may be handy for advanced traders.

Great Connectivity

Signal offers a simple set of tools, but it can be accessed from almost any device. Many of the other platforms on this list have to be run on a computer, and won’t work on iOS or Android.

Connectivity is one area where Signal shines. You can use the platform from just about any device, including the two most popular mobile operating systems. If you are looking for a fully-featured trading platform for Binance that you can use almost anywhere, Signal is a good fit.

The platform will also notify you via SMS when your orders are executed, which can be handy if you need to stay on top of the market. It also gives you the ability to track your trading performance over time, which can be very handy if you are trading frequently.

Not Built for Everyone

Signal isn’t going to be a good fit for every crypto trader out there. While it does fill in some gaps on Binance, it only works with one exchange, and doesn’t offer any sort of algorithmic trading options. If you are looking for a bot, this isn’t the platform for you.

There isn’t much information on the costs involved with using Signal, and it could be free. There is also the promise of more features in the future, as the website states that “this is just the beginning.”

If Signal is free to use, and the team behind it is planning to add exchanges and features in the future, it is very promising for the platform. As it stands today Signal is a good looking product that has a clean interface, as well as a solid development team behind it.

The platform seems to be geared towards frequent traders, and could be a good fit if you are on Binance, and trade a lot. Even with the more basic trading tools that Signal offers regular traders will probably have a much raiser life.

Read our Full Signal Review here.

Visit Signal

Live Trader

If you are looking for a one stop trading bot platform, Live Trader could be the thing for you. Depending on which plan you decide to sign up for, Live Trader will give you access to 25, 250 or 1000 unique trading bots.

Live Trader also works with some of the largest crypto exchanges out there. You can use Live Trader with Polonix, Bitstamp, Bitfinex, Binance, KuCoin and Kraken. The platform is 100% cloud-hosted, which makes it easy to run on just about any hardware there is.

Connecting Live Trader to your exchange, or exchanges of choice is simple, and Live Trader has lots of support tools online to help its clients get their account set up quickly.

The real advantage that Live Trader offers clients is the sheer number of trading bots, as well as a novel back-testing system. Unlike some platforms that need direct access to an exchange to do backtesting, Live Trader can run advanced backtesting simulations on paper.

Live Trader Offers a Lot

The first thing to notice about Live Trader is the number of exchanges that it will function with. Instead of being limited by your trading bot, Live Trader gives you numerous choices for an exchange. It also allows you to run multiple trading strategies at the same time, depending on which plan you decide to purchase.

While Live Trader is a pay-only service, it does offer a limited free trial so you can learn more about what you would be buying if you sign-up. The basic plan allows you to run one strategy, the mid-level plan gives you five simulations strategies, and the top-level plan that gives you 1000 bots to choose from will let you run 10 of them at once!

If you are wondering about pricing, the base plan costs $15 USD per month, the mid-level plan costs $39 USD per month, and the top-level plan will run you $79 USD per month. Given that Live Trader takes care of all the hosting, the rates it charges aren’t unreasonable.

Geared for Algos

Live Trader is definitely set up for traders that want to use algos. If you are looking for a platform that will give you some advanced order types, and a few basic algos, Live Trader might be overkill. On the other hand, if you are looking for a deep selection of automated trading algos, Live Trader could be a perfect fit.

There are a truly amazing number of automated trading algos on Live Trader. In addition to the algos that Live Trader has available, there is also an algo marketplace you can browse through.

If you would like to develop your own trading tools, Live Trader has a strategy builder that will allow you to construct your own strategies, and back test them on any exchange the platform supports. All of this adds up to a huge selection of algos for automated crypto trading on some of the most popular crypto exchanges out there.

Not a Freebie

Live Trader does deliver a lot of algorithmic trading, but it isn’t cheap. If you are on the fence about how algos might fit into your crypto trading, Live Trader could be a lot to take on at first. The entry-level plan Live Trader isn’t too expensive, and could be a good place to get started with automated crypto trading.

With all the features that Live Trader includes, it is reasonable to expect that the more advanced plans would cost substantially more.

Live Trader lets you trade on numerous exchanges with a multitude of algos at the same time, which isn’t the easiest thing to do on the back-end. All those cloud servers cost money, and doing the same thing on your own machine would get expensive.

Live Trader is a Great Platform for Algo-Driven Trading

There isn’t any getting around the amount of algos that Live Trader lets you access with either the mid or high level subscription. Having 250+ algos to choose from is an amazing tool set for any crypto trader to use.

If you are looking for a platform that delivers loads of algos, works with many of the most popular crypto exchanges, and lets you do extensive off-exchange backtesting, Live Trader is worth learning more about.

All of the plans also have a solid support system backing them up, which you can learn more about on the platform’s website. The homepage also offers a chat window, which is nice to see!

Visit Live Trader

GunBot

GunBot is a well known cryptocurrency trading bot which uses individual strategies that are completely customisable to fit your trading style. It can operate on the following exchanges: Bittrex, Binance, Poloniex, Bitfinex, Cex.io, GDAX, Kraken and Cryptopia. You can run the bot on your own computer or use a VPS and can manually add different coin pairs, pick a strategy and set it to work.

GunBot a versatile trading platform, and it also offers a lot of value for the money. The platform has a few different plans, that range from 0.04 BTC for the Starter Edition to 0.3 BTC for the Ultimate Edition. At current prices, the starter edition would only cost $160 USD, and offers users the option to buy a lifetime license for an additional fee.

The features that GunBot includes in its Starter Edition are worthwhile for the price. Included in the Starter Edition is a copy of GunBot Lite, as well as three algos to choose from. The next two levels add loads of functionality, with the Pro Edition adding backtesting capabilities, and cryptosight as standard features.

GunBot can be used on any of the major platforms, including Linix or VPS. It is estimated that there are more than 6,000 traders that use GunBot on a daily basis, and it has gotten numerous positive

Visit GunBot

Gekko

Gekko is an open-source trading bot and backtesting platform that supports 18 different Bitcoin exchanges. Gekko is entirely free and can be found on the GitHub platform. Gekko is a relatively straightforward trading app to use that includes an interface and basic strategies from the outset, which allows you to be more comfortable with the use of the bot.

Gekko also has a number of plugins available that will allow you to be updated regardless of what level of connectivity you have. Although Gekko is not a high-frequency trading bot (making only a couple of trades per week, depending on configuration), nor a bot which allows you to exploit arbitrage opportunities, its list of supported exchanges and basic strategies means that it is probably a good place to start for anybody interested in utilizing Bitcoin trading bots.

Visit Gekko

Zenbot

Similar to Gekko, Zenbot is also an open-source trading bot for Bitcoin traders. As an open-source project, Zenbot is available for users to download and modify the code as necessary.

However, there have been question marks in the community over the development of Zenbot, with no updates having been made to the platform for a significant number of months. This means that no additional exchanges have been added to the platform for almost one year, meaning that it may have access to less information than some of its competitors. However, on the positive side, Zenbot, unlike Gekko, does offer high-frequency trading as well as supporting multiple cryptocurrencies in addition to Bitcoin.

Visit Zenbot

What are Trading Bots?

In essence, a trading bot is a software program that interacts directly with financial exchanges (often using API’s to obtain and interpret relevant information) and places buy or sell orders on your behalf depending on the interpretation of the market data.

The bots make these decisions by monitoring the market’s price movement and reacting according to a set of predefined and pre-programmed rules. Typically, a trading bot will analyze market actions, such as volume, orders, price, and time, although they can generally be programmed to suit your own tastes and preferences.

Trading bots have been popular for many years in various conventional financial markets. However, trading bots have not been traditionally available to the average investor as they cost a significant amount of money.

For example, a Bloomberg terminal can often cost in excess of $10k. However, due to the transparent nature of blockchain, cryptocurrency exchanges tend to grant their customers direct market access that provides users with the opportunity to analyze the exchange’s electronic order book, which was a type of access that was traditionally exclusively available to brokers and investment houses in conventional financial markets.

With many people trading Bitcoin passively and therefore unable to dedicate large amounts of time to analyze the market, the intention is that Bitcoin bots will allow users to establish more efficient trading without having to keep on top of the market at all times.

Types of Trading Bot Strategies

Although the cryptocurrency market is much less mature than other financial markets, the digital nature of the market has meant that despite the fact that it has had significantly less time to integrate algorithmic trading, the technology has not been slow in catching up on its rivals in terms of providing a trading bot service, allowing for investors to obtain access to a wide range of trading strategies, some of the most popular of which are considered below:

Arbitrage

In the early days of cryptocurrency trading one of the primary strategies that traders used to make profits was arbitrage – i.e. buying assets in one market and then selling them in another for a higher price, thus earning profit on the difference. As cryptocurrency exchanges were decentralized, there were often large differentials between prices offered on various exchanges, meaning that profits could be made through arbitrage.

Although the spread between exchanges are much smaller now, they do still appear from time to time and trading bots can assist users in making the most of these differentials. In addition, arbitrage can also be utilized in traders looking to involve futures contracts in their trading strategies by benefiting from any difference that exists between a futures contract and its underlying asset, by considering futures contracts that are traded on various different exchanges.

Market Making

Trading bots can also allow investors to use the market making strategy. This strategy provides for “continuous buy and sell prices on a variety of spot digital currencies and digital currency derivatives contracts” in an effort to “capture the spread between the buy and sell price”.

In order to carry out the market making strategies, in involves making both buy and sell limit orders near the existing market place. As prices fluctuate, the trading bot will automatically and continuously place limit orders in order to profit from the spread.

Although this may be profitable at certain periods, the intense competition around this strategy can result in it being unprofitable, especially in low liquidity environments.

Do Trading Bots Work?

Trading bots work by reacting to the market. It gathers the data it needs in order to execute a trade based on analysis of the trading platform. However, with cryptocurrency, the trading platform only tells half of the story, with many rises and falls being based on other sources (such as John McAfee’s Twitter or other online rumors!) that cannot be programmed into the bot for analysis.

In addition, as noted above, the spread between the exchanges has flattened somewhat, meaning that the opportunities for inter-exchange arbitrage are much lower than in previous years.

Many trading bots use what is known as an exponential moving average (EMA) as a starting point for analyzing the market. EMA’s track market prices over a set time period, and bots can be programmed to react to what that price does – such as moving beyond certain thresholds.

By programming the bots, traders can set their thresholds to correspond with their risk appetites. However, one of the downsides of EMA is that it is based on past history, which, as all traders will know, is not indicative of future performance, especially in the cryptocurrency industry where volatility is rife. Therefore the question of whether trading bots work is a multi-faceted one in which the problem answer is that they work, but not necessarily for everybody.

Trading bots offer a variety of advantages, including having constant interaction with the market, as well as the not-insubstantial factor of removing the emotion from trading. However, on the other hand, by using the wrong trading strategy or relying on the trading strategy of others, a trading bot could simply end up automating a set of poor market trading decisions.

Reasons to Consider Using a Bot

Cryptos are a great new asset class, but it is hard to create a return from them in the same way that cash or a stock creates value. Most people associate stocks with gains from price appreciation, but many of the best stocks pay out dividends. There isn’t really an analogue for this in the crypto market, unless crypto owners lease out their cryptos to derive an income from their holdings.

From an investment standpoint, passive income is extremely important. As the last year has shown us, we can’t assume that asset prices will show gains year-over-year. One argument for holding stocks through a bear market is that they will continue to pay dividends, which can then be reinvested in the company when the stock prices is depressed.

Cryptos are more like a commodity than a company from an investment standpoint, which leaves investors with something of a problem. There is absolutely no reason to hold on to a commodity in a bear market, as it doesn’t deliver any kind of return aside from price appreciation.

Trading Bots Give Crypto Investors Income Options

If you want to put your crypto portfolio to work for you, trading bots could make sense to use. There are many different kinds of bots out there, and some can take advantage of market movements to create gains automatically.

Instead of relying on dividends, trading bots allow you to leverage your crypto holdings to make an income via trades. This system of income generation may not be quite as secure as compounding dividends, but it is one of the only options available to crypto investors.

The ‘bot’ is important because unlike a human, it is awake and looking for income opportunities 24/7. Of course, there is no such thing as free money.

Any risk that can generate a return has the potential to lose money. It is a good idea to make sure that any automated investment platform you choose to trust with your cryptos can prove that it works with a verifiable transaction history.

Be Realistic About Returns

It is easy to get carried away with dreams of quick money made in the financial markets.

The years that led up to the massive crypto rally of 2017 were amazing, but now the reality of the crypto market is setting in. If you are looking to make the kind of returns that many saw in 2017 with a trading bot, you will probably be disappointed, or go broke.

The simple fact is that in order to create returns, you have to take on risk. The bigger the risk, the greater the possible return. On the other hand, when you take big risks, the possibility that you will face catastrophic losses is very real. There isn’t any algo that can ‘de-risk’ trading, no matter how advanced it is.

If you are looking to make 3-6% per year on your crypto holdings with a trading bot, you will probably find something that works for you. There are many low risk trading strategies that do produce returns, and an algo will make sure that you don’t lose your discipline lunging for the brass ring.

Keep in mind that a portfolio manager than can consistently produce annual returns around 10% will beat 99% of professional money managers. Expecting an algo to do more than that probably isn’t wise.

Conclusion

Trading bots can assist traders in ensuring that they are always interacting with the market, even when they are physically unable to do so. They can assist in removing some of the stress and emotions that are often found in any financial trading markets, not least the cryptocurrency market.

However, trading bots are not for everybody, nor does everybody need one. Casual investors are not the prime target of trading bots, and if your intention is to buy and hold Bitcoin then a trading bot is probably not the correct investment for you.

In addition, if you are not a competent programmer or familiar with the creation of financial strategies, trading bots may also not be for you. However, if you have the requisite knowledge and ability to overcome these obstacles then a trading bot can be a worthwhile tool in monitoring and making gains from the Bitcoin market.

The post Best Bitcoin & Crypto Trading Bots: The Ultimate Guide appeared first on Blockonomi.

OKX Exchange Launches Spot Copy Trading Feature

Oliver Dale — Fri, 10 Nov 2023 18:52:33 +0000

Global crypto exchange OKX recently announced the expansion of their Copy Trading tool with the addition of Spot Copy Trading. This new feature allows users to automatically copy top traders’ strategies in real-time across over 120 spot trading pairs.

Keypoints

OKX has launched Spot Copy Trading, allowing users to copy top traders’ strategies in real-time across 120+ spot pairs.
This expands on their existing Copy Trading feature which was previously only available for perpetual contracts.
The new feature gives traders more opportunities and flexibility by accessing both spot and perpetual markets.
Lead traders can now earn up to 13% profit share for eligible copied trades in both markets.
Spot Copy Trading has unique features like one-way and hedge position modes and allowing lead traders to share trades exclusively with invited users.
Over 8,000 experienced lead traders are available to copy on the platform.
OKX ran competitions to identify top lead traders ahead of the Spot Copy Trading launch.

Previously, copy trading was only available on OKX for perpetual futures contracts. By expanding the feature to spot markets, traders now have vastly more opportunities to implement leading trading techniques. They can tap into both spot and perpetual liquidity, diversify across more assets, and explore a wider variety of strategies.

For traders interested in the stability and depth of spot markets, copy trading now presents an optimal solution.

As one of the only exchanges offering copy trading on spot pairs, OKX grants traders unique access to this functionality.

The launch also benefits lead traders on the platform. They can now profit from replicated trades across both spot and perpetual markets, earning up to 13% profit share on eligible copied trades. With over 8,000 skilled lead traders on OKX, copy traders have no shortage of proven methods to choose from.

OKX Copy Trading enables lead traders to share trades exclusively with invited users, facilitating more personalized trading relationships. Its one-way and hedge position modes give traders added flexibility in their approach.

In the lead-up to the Spot Copy Trading launch, OKX ran various trading competitions to identify top-performing lead traders. Criteria like copier growth, profit and loss percentage growth, and win rate determined the winners who would become lead traders.

Opening up copy trading on OKX’s deep spot markets unlocks countless new opportunities for traders. They can now leverage proven strategies across both spot and perpetual pairs to diversify and maximize returns.

The post OKX Exchange Launches Spot Copy Trading Feature appeared first on Blockonomi.

10 Crypto Trading Strategies You Shouldn’t Overlook

Oliver Dale — Wed, 08 Nov 2023 07:17:29 +0000

Digital Asset trading can lead to sizable gains, but it comes with inherent risks. The crypto market is highly volatile. Hence, prices can fluctuate wildly. But with the right strategy, you can test the waters without placing your portfolio at significant risk.

Here’s a list of the top 10 crypto trading strategies that investors may be sleeping on:

1. Dollar-cost averaging

Dollar-cost averaging (DCA) is a simple but effective trading strategy that involves investing a fixed amount of money in a digital asset at regular intervals, regardless of the price. This strategy helps you to reduce your risk and to average out your purchase price over time.

Example: Let’s say you want to invest $100 in Bitcoin. You could invest the entire amount at once, but this would mean that your purchase price would be tied to the market price at the time of purchase. If the market price of Bitcoin falls shortly after your purchase, you’ll lose money. To reduce your risk, you could use DCA to invest $10 in Bitcoin every week for 10 weeks. This would average your purchase price over time and reduce your risk of loss.

2. Buy-and-hold

The buy-and-hold strategy is a long-term approach that involves buying digital assets and holding them for the long term. This strategy is based on the belief that cryptocurrencies have the potential to appreciate significantly in value over time.

Example: Let’s say you believe that Ethereum is a good long-term investment. You could use the buy-and-hold strategy to invest in Ethereum and hold it for the next 5 or 10 years.

3. Copy trading

Copy Trading is a trading strategy that involves copying the trades of other traders. This can be a good way for beginners to get started in crypto trading, as it allows them to learn from the experience of more experienced traders. It is also a great way for investors who are looking to earn passive income.

Example: Let’s say you are copying a master trader who has a strategy of buying Bitcoin when it reaches a certain price and selling it when it has gained a 10% profit. If the master trader buys Bitcoin at $10,000, you will automatically buy Bitcoin at $10,000 in your own account. When the master trader sells Bitcoin at $11,000, you will automatically sell Bitcoin at $11,000 in your own account. Use a platform like Zenit World to set copying parameters like executing 2% of what they execute or automatically copying all the moves. Zenit World is a user-friendly and customer-centric crypto platform that has its own crypto wallet, copy trading features, the option of staking its coins, and the potential to earn high rewards.

4. Trend trading

Trend trading is a strategy that involves trading in the direction of the current market trend. This strategy is based on the premise that trends tend to continue for some time.

Example: Let’s say that the Bitcoin market is in an uptrend. You could use the trend trading strategy to buy Bitcoin and hold it until the trend reverses.

5. Swing trading

Swing trading is a short-term trading strategy that involves buying and selling digital assets within a few days or weeks. This strategy is based on the premise that digital assets can experience significant price swings over short periods.

Example: Let’s say that you believe that Ethereum is going to experience a bullish swing in the next few days. You could use the swing trading strategy to buy Ethereum and sell it when you reach your profit target.

6. Day trading

Day trading is a very short-term trading strategy that involves buying and selling digital assets within the same day. This strategy is based on the premise that digital assets can experience significant price movements within a single day.

Example: Let’s say that you believe that Bitcoin is going to experience a bearish swing in the next few hours. You could use the day trading strategy to buy Bitcoin and sell it when you reach your profit target.

7. Paper trading

Paper trading is a great way to practice crypto trading without risking any real money. It involves using a virtual currency to trade on a simulated market. This is a great way to learn how to use different trading strategies and get a feel for the market before trading with real money.

8. Range trading

Range trading is a strategy that involves buying and selling digital assets within a specific price range. This strategy is based on the premise that such assets tend to trade within ranges for periods of time.

Example: Let’s say that the Bitcoin market is in the range of $10,000 to $12,000. You could use the range trading strategy to buy Bitcoin when it reaches the bottom of the range ($10,000) and sell it when it reaches the top of the range ($12,000).

9. Scalping

Scalping is a very short-term trading strategy that involves buying and selling digital assets within minutes or even seconds. This strategy is based on the premise that virtual currencies can experience small price movements in very short periods of time.

Example: You could use the scalping strategy to buy Bitcoin when it reaches a certain price and sell it a few minutes later when it has gained a small profit.

10. High-frequency trading (HFT):

High-frequency trading (HFT) is a type of algorithmic trading that uses sophisticated computer programs to place and execute trades very quickly. HFT is often used by professional traders to profit from small price movements. It’s usually institutions and businesses that engage in high-frequency trading, but if you’re keen on technology, it might be an area that’s worth exploring. In order to do high-frequency trading, you need to have algo trading software.

Example: An HFT trader uses a computer program to automatically execute trades when a specific set of market conditions are met i.e. asset price thresholds, volume parameters, etc. They set the kind of market order and other features as well.

Tips Worth Remembering When Crypto Trading

The crypto market is highly volatile, so traders of every experience level must tread carefully. Understand the market really well, familiarize yourself with different crypto trading strategies, learn from experts, do community research, and then make moves. To help you navigate this digital frontier effectively, here are some tried-and-tested tips to improve your crypto trading game:

Diversify Strategically: Experienced traders understand the importance of diversification but do so strategically. Instead of merely holding various coins, focus on diversifying across different avenues, protocols, and projects within the crypto space. This might include staking, yield farming, lending, or participating in decentralized finance (DeFi) projects. Diversifying in this way can help mitigate risks and optimize returns.
Leverage Advanced Chart Analysis: Expert traders use technical analysis in intricate ways. They go beyond simple support and resistance lines and incorporate more complex indicators and patterns, such as Fibonacci retracements, Ichimoku Cloud, and Elliot Wave Theory. Considering the volatility in the market, you could use trading bots and automated strategies to execute trades based on predetermined criteria.
Risk Management and Position Sizing: Seasoned traders pay careful attention to risk management. They use advanced position sizing techniques, including Kelly Criterion, to determine how much of their capital to allocate to each trade. They also set stop-loss and take-profit orders for every position, ensuring they have a clear exit strategy in place.
Stay Informed About Market Sentiment: Expert traders monitor market sentiment closely. They not only keep an eye on news and developments within the digital assets space but also gauge the broader market sentiment by setting keyword alerts for certain industries or topics on social media, forums, and news websites. Understanding market sentiment can provide valuable insights for contrarian or momentum trading.
Adapt to Changing Market Conditions: Digital asset markets are highly volatile and can change rapidly. Expert traders are flexible and adapt their strategies to different market conditions. They know when to be aggressive during a bullish trend and when to switch to a more defensive approach during a bear market. Being able to pivot and adjust trading strategies based on market dynamics is a hallmark of an expert trader.

In a Nutshell

The above crypto trading strategies provide a solid foundation for both novice and experienced investors. Remember that success in crypto trading doesn’t come overnight; it requires ongoing education, practice, and the ability to adapt to ever-changing market conditions.

Crypto trading can be a rewarding experience, but it’s important to remember that it’s also a risky investment. Apart from following the tips and strategies above, it’s also essential to conduct thorough research and practice prudent risk management, no matter your level of expertise.

By continually honing your skills and staying informed about the latest trends and technologies, you can position yourself for a successful journey in the exciting realm of digital asset trading. Happy trading!

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Disclaimer: None of the above information should be construed as professional financial or investment advice. The digital asset market is highly volatile, and investing in cryptocurrency and other digital assets carries inherent risks. Consulting with a professional financial adviser is highly recommended before making any investment decisions.

The post 10 Crypto Trading Strategies You Shouldn’t Overlook appeared first on Blockonomi.

Where to Buy Oasis Network (ROSE) Crypto: Complete Guide

Oliver Dale — Wed, 25 Oct 2023 05:44:48 +0000

Oasis network is a leading privacy-focused and scalable smart contract platform that seeks to engender a mass adoption of Web3. The platform enables the development of decentralised solutions that promote data privacy and user confidentiality. Given the growing call for the privacy of transactions by users, an understanding of how to buy Oasis (ROSE) would help investors who value their anonymity while online.

In this guide, we will explore the Oasis network, exchanges that offer trading support for ROSE, and how to buy the ROSE token with low fees.

Where to Buy Oasis Network ROSE

As one of the most high-profile alt-coins, ROSE is available on several exchanges for interested investors. We have highlighted the best platforms to buy Oasis. Here are our top picks:

Binance: Largest Crypto Exchange with Low Fees
Coinbase: Highly Regarded and Easy to Use for Beginners
Kucoin: Long Established Exchange With Lots of Listings
Bitfinex: Well Established & Trusted Exchange

Visit The Top Pick

Binance: Reputable Exchange with High Liquidity

Binance is the largest cryptocurrency trading exchange in daily trade volumes. The exchange offers investors full access to trade over 600 crypto assets.

Read: Our Full Binance Review Here

Binance Website

Binance deposits come with a fee that varies based on the payment method used. For instance, the global exchange charges a standard fee of up to 4.50% for all deposits made with a debit/credit card.

Pros

Trading fees at 0.01%
High liquidity
Wide range of payment methods
600+ crypto assets in library

Cons

Interface is suited for advanced traders
US-based customers cannot trade most coins via its subsidiary