The exchange has been developing and changing over the years. With the advent of the global network, the main assistants of traders, bots, began to emerge. They have made life much easier for traders by starting to save them time. The appearance of bots in the crypto sector remained a matter of time. How they are arranged and how you can work with trading bots – we will talk in this article.
A little history
As we said earlier, trading bots first appeared at the dawn of the Internet. Traders began to show interest in them, because bots could save the main human resource – time. Now there was no need to constantly sit at the computer monitor and monitor the quotes in order to find a good time to enter and exit trades.
Trading bots first appeared in the early seventies. However, they were quite primitive. The bot reacted to a sharp rise or fall in the value of the asset, after which it gave a signal to the trader, the person in turn already decided what to do next. In other words, bots could not work completely autonomously without human intervention. The first to start using trading bots were large institutions.
The development of bots did not stand still, so after a while the market saw improved versions of robots that worked according to new algorithms. For example, the “Momentum” algorithm allowed the bot to see the deviation of the asset value from the average value for a certain period of time, and calculate the moment when the probability of the price returning back would be higher than 50%.
In 1998, the U.S. Securities and Exchange Commission (SEC) gave the go-ahead for trading using trading bots. This breathed new life into the robots, they began to spread. Thanks to this, technologies have begun to improve, and algorithms have become more complicated.
At the beginning of the two thousandth years, the number of transactions carried out with the help of trading bots was 10%. A few years later, this figure rose to 60%.
Trading Bots in the Crypto Industry
Unlike the traditional market, the cryptocurrency market has high volatility. Leaving an open deal for the night, the trader may be disappointed in the morning. Either the position is liquidated, or if the take profit was set too low, it will not earn as much as it could. The same story awaits traders who combine trading with their main job. Not everyone will be able to follow the charts every minute. In this regard, there is a risk of not noticing a good moment to enter or exit a deal. This is where trading bots come to the rescue. They do not need sleep and allow you to control trading, regardless of whether you are currently sitting at the monitor or not. In addition, if you set the right quotes for the bot, it will be able to trade more efficiently and faster than a human would do. It remains only a question of choosing a bot so that it can meet all the requirements of a trader, be inexpensive and bring profit. However, which bot should I choose? Let’s tell you a little about the RevenueBot service.
We are one of the segment leaders in the crypto industry. Our bot is easy to use, you can find any questions about setting the correct quotes in the extensive FAQ section. We also have an extensive and friendly community with whom you can chat on the telegram channel or on the official Twitter, where there are already over 4 thousand people. In the telegram channel, in addition to discussing current industry news, you can find news about innovations in the service. We also post news on Twitter every day and tell you what is happening in the world. In addition to all this, the service provides the opportunity to create trading bots on the largest cryptocurrency exchanges: Binance, Bittrex, Bitfinex, Exmo and others. Creating a bot is free of charge, the service will not take commissions until the client begins to make a profit from trading the bot. With the help of deep settings of the bot, the service’s clients implement trading strategies that are problematic to experience in normal trading. We will immediately indicate: the bot does not have access to customer funds on the exchange, but trades using API keys, that is, the account will remain out of access. RevenueBot has over 28 thousand customers who earn money thanks to trading bots.
Why should I choose this service?
- Pay the commission only after making a profit.
- The bot settings open up a variety of ways to make a profit.
- Inside RevenueBot, a marketplace is implemented where customers can buy a ready-made bot so as not to bother creating their own, or sell their own if the configuration has shown efficiency. Also, the services of a mentor (an experienced customer of the service) are purchased on the marketplace, who is ready to answer the questions of newcomers. Over time, you can become a mentor yourself, getting additional profit for this.
- Regular updates of the service’s features that optimize the trading process.
- The presence of the RevenueBot referral program allows you to earn money on trading, even without resorting to trading. Attract new customers for the service and get up to 30% of the profit they receive every month (but not more than 15 USD).
This is a small list of the advantages of the service. You can continue to list the positive qualities of RevenueBot, but why do this if you can go to the official website of the service and see for yourself everything? It is highly recommended to make decisions faster, because the crypto market does not stand still, but grows at exorbitant steps. Who knows how much profit is missed by someone who does not dare to come and start trading with RevenueBot.
After the bot is selected and the quotes are set, you will be able to go about your business in peace, and trading will take place without you.
What are trading bots?
A trading bot is nothing but software that interacts with financial exchanges. He makes the decision to open or close a deal himself, I react to the market in accordance with pre-entered quotes. As a rule, a trading bot analyzes market actions such as volume, orders, price and time. At the same time, they can be programmed to your taste and preferences. Trading bots have been popular for many years in various traditional financial markets. Nevertheless, trading bots have traditionally not been available to the average investor, since their services also have to be paid for.
How do they work?
Trading bots react to market changes. Most trading bots work on the EMA (Exponential Moving Average) algorithm. By setting quotes, a trader can set such settings as he wishes. It all depends on how much he is willing to take the risk. In any case, the main disadvantage of the EMA is that it is based on past history, which cannot indicate future results.
Trading bots have many advantages. Besides the fact that the bot constantly interacts with the market, it still lacks an emotional component. If a person can make a number of mistakes about emotions when he loses profit, then the bot will remain cold-blooded.
The decision to use a trading bot in any case remains with the trader. However, do not forget about the advantages of this technology. Bots are improving every day. In addition, you can use the time spent on trading for self-development and market research in general, and the bot will bring you profit at this time.