Automate Your Cryptocurrency Trading

If you're into crypto trading, you already know the crypto market is in shambles. Many investors have lost their assets and many more their hope in the industry. But if you’re one of the few still holding on, we are confident that any assistance that helps make your crypto trading more efficient and effective is appreciated. Using the best UK automated trading platforms can allow you to automate your crypto trading and make your job more efficient and effective.

Crypto trading bots are computer programs that run on your computer and actively trade cryptocurrencies on your behalf. Like other forms of automated trading, you train the software using your trading strategy, buy and sell signals it can follow in the market, and execute trades when the criteria are right. Join us as we explore the world of crypto bots, what they are, how they work, and some of the best in the market.

What are Crypto Trading Bots

Crypto trading bots are automated platforms or software that take over the crypto trading function for you. However, today's bots do more than just trade crypto. Because they run on machine learning and artificial intelligence-capable platforms, they can collect essential data on the crypto market. They then use their smart technologies to analyse it and give trading signals based on the trading strategies you’re following.

Furthermore, most bots work as APIs that use algorithms to predict future crypto prices. The more accurate they are, the better the bot is, and the more profit potential it holds. After making its market analysis and predictions on future crypto price movements, the bot places buy and sell orders in crypto exchanges that get executed instantaneously. And after the market conditions payout, you make a profit or loss.

There are also new developments in the industry that use bots that operate on crypto blockchains using smart contracts instead of APIs. However, they perform just like other bots, with their main difference being how and where they are dispatched.

Another thing to note about crypto trading bots is how they gather market information that helps them make predictions. They use a number of different social sources, news sites, and the crypto market. This is where their smart technologies come into play and decipher what impact the news stories will have on the industry. Obviously, the accuracy of this process is highly relative, which makes using crypto bots all that interesting.

Below we are going to highlight the four steps bots take to make their analysis:

• Data analysis: crypto bots use AI and machine learning to mine data from users, the crypto market, as well as historical data, and use it to identify trends and patterns that are useful in trading.

• Signal generation: the bot then predicts future price movements from its analysis findings. However, this process relies on the quality and accuracy of data for predictions to be reliable and of any use to you.

• Risk allotment: after the bot identifies a few trading opportunities, it determines the viability of each and what percentage of capital to allocate per trade according to your strategy.

• Execution: the bot buys crypto in the market and waits for the signals telling it it's time to sell. If your data was accurate and it made the correct predictions, you would make a profit. The contrary is true.

The Best Crypto Trading Bots

1. Coinrule

Coinrule is a preset-based crypto bot. It holds over 150 trading strategy presets you can use to automate your trading. They range from long-term asset holding to quick return take profit and set loss stop strategies you can apply without much customisation. The bot offers a free package containing seven strategies you can use as a test bench, but you will need to pay $500 a month to gain full access to all the tools.

2. Pionex

Pionex is an automated crypto trading platform that offers 18 unique trading bots. Each is optimised to handle a particular crypto trading strategy, which is well detailed on their website. Furthermore, the platform is free, and spreads are only 0.05% of your trade.

3. WunderBit

WunderBit is a multi-functional crypto trading platform that offers services from automating your trading to crypto exchange. If you’d like to simplify and streamline your crypto investment portfolio, this platform will help you do that.