Over the years, we have witnessed the hype around crypto in front of our own eyes. In the beginning, everyone talked about Bitcoin only, but now the scenario is different. The public got to know about Ethereum, Binance Smart Chain, Dogecoin, Litecoin, and more. Trading these digital currencies more profitably involves using powerful trading strategies and indicators. In this blog, let us talk more about this topic.
Honestly, not all traders consider trading as their primary source of income. Most utilize it as a passive and secondary income. In such cases, they won’t be able to spend on expensive analyzing tools. So, those people will prefer to build a crypto trading bot on their own. However, in such cases, we need to consider liquidity.
The owner should get a commission for deposit and withdrawal functions. But, the number of transactions should be high to acquire fee/commission.
What do crypto trading bots contribute?
Cryptocurrency trading bots work precisely by making transactions based on pre-defined rules and trading strategies. Thus, the bot owner can automate the trading process of buying and selling cryptocurrencies in unlimited quantities. Crypto traders who trade in an exchange platform know how convenient this is. They do not have to spend hours of time looking at the price chart's ups and downs, whereas the bot will do it on their behalf.
How do crypto trading bots work?
Trading communicates via a dual-way portal having a computer language on the one side and your wallet on the other. (i.e.,) the backend runs on .net and a local mobile application or a website running in PHP.
The fundamentals of trading are purchasing digital assets and selling the same at the perfect time. A delay of 1 minute can make a big difference in this unstable crypto environment. Automated trading bots rectify this problem, allowing traders to trade efficiently on a crypto exchange platform.
There is no question about accuracy in an automated system. However, when it comes to crypto trading, your trading strategy speaks loudly. As there are more than hundreds of exchange platforms available in the market, such as Coinbase, Binance, Kraken, Bittrex, and more., you have to optimize your bot for each platform and store the data in the cloud or your server. While using trading algorithms, you can get 90% reliable outcomes.
Next, how to test the performance of the trading bot? Then, this is for you!
If you have already built a crypto trading bot, you can connect and integrate it with any exchange platform and test the Beta version.
While talking about financial perks, users will use your bot by paying a monthly or annual fee. You can set different subscription plans with unique features based on your preferences. Also, if you are an expert trader, you can take the call yourself if you want to share your winning trading strategy with other traders in exchange for a commission.
I believe that we have covered everything we wanted to talk about. If you are serious about developing your own trading bot, then you should approach a good crypto trading bot development company. This will be your perfect decision if you want to make positive changes in your trading portfolio.