When I talk to people about crypto trading bots, I usually observe two types of opinions. On the one hand, some people see bots as something magical. A big black box that buys and sells quickly. Very often, these people have false assumptions in terms of what bots can do and especially about the return they deliver
On the other hand, some people consider bots to be uncontrollable, sometimes even slightly shady. This is understandable, too. First of all, there are tons of bot scammers out there. And secondly, it is pretty natural to feel some discomfort about things you can’t control (or understand).
For me, bots are neither magical, uncontrollable or even shady. As I laid out in one of my latest posts, bots are an automation tool that helps you trade more efficiently, fact-based, and ultimately successful.
Crypto trading bots do what you tell them. Accordingly, bots can do tedious tasks if you have a solid and working strategy. And the cool thing is: They don’t sleep but keep working 24/7.
What Crypto Trading Bots Are About?
In this context, bots can automate four super time-intensive tasks for a trader:
- Identify trading signals: With Crypto OS, we scan over 200 crypto tokens every 15 minutes according to technical indicators, chart patterns, support and resistance, etc. Equipping it with the right strategy can quickly identify trade signals and take over this extremely time-intensive task.
- Assess trading signals: Similar to the first aspect, a bot can easily fine-tune trading signals based on your strategy. This can include profit potential, further indicators, forecasts, or other available data.
- Trade Execution: Certainly, executing a trade isn’t time-intensive. However, the thing is, you can sit in front of your charts 24/7. It happened to me a lot that I missed high-potential trade signals because I was … well, sleeping (happens rarely, but it happens).
- Closing a Trade: I remember when I started trading. Once I opened a trade, I was bound to the chart. I watched every tick. My blood pressure was high, and my heart was pumping. I sat there, emotions came up, I changed my strategies, and so on. A bot executes your strategy. I don’t even look at the chart anymore. I check the results once the trade is closed. This was a total game-changer for me.
It’s All About The Strategy, Buddy!
However, all of the above only work if you have a solid strategy that covers all the aspects. In other words, a crypto trading bot is useless unless you have the right strategy as a fundament.
- What are the indicators or trade signals you watch?
- How do you further assess trade opportunities?
- How much do you want to invest in a trade?
- What are your take profit and stop loss levels – or triggers?
- Etc.
However, I discovered (surprise, surprise) that working on the strategy makes a difference. And that’s the beauty of bots. You can eliminate all the boring, time-intensive tasks—or, in other words, you can outsource them.
When I did that, I was confused initially because I didn’t know what to do with all that time. However, step by step, I transformed to focus on the strategy aspects. I tried different strategies, did more backtesting, educated myself on strategies, and so on.
And actually, this is what crypto trading is about. It’s not about watching charts, being chained to your screen, and making emotional decisions. It is about doing the strategy work and automating the rest.
Crypto Trading Bots: What We Have At Crypto OS And Where I Want To Go!
The process of building Crypto OS has always been the process of building my dream trading tool. Many of our features are solutions to problems I had when trading.
Regarding the four steps described above, Crypto OS already covers many of them.
- You identify trade signals for more than 200 tokens
- You can dig into data to further assess trades
- You can set up bots that automatically execute trades
- You can set up bots that automatically close your trades when specific criteria are met.
In other words, we have solid fundamentals. However, I want to add many things to get closer to my dream of a highly automated and successful trading process.
Here’s where I want to go when it comes to Crypto Trading Bots:
- Currently, we scan crypto tokens for 15 trade strategies. Some are basic, others quite sophisticated. However, that’s way too few. More strategies mean more potential opportunities. That’s why I want to add 15 more strategies until the end of 2024.
- Assessment Automation: We are already working on an automated assessment of trade signals. I really want to have this because it isn’t automated yet. Assessment for me means doing a 360° check of each signal — checking forecasts, patterns, profit potential, market situations, etc. My idea is to have a rating between 1-100; ultimately, the user can select which signals they want to execute. For example, only signals with a rating above 90.
- and 4: When it comes to crypto trading bots, my strategy is clear: I want more integration with exchanges and more possibilities for trade customization. Think about trailing stops, more flexible stop loss/take profit levels, etc.
Join Us in Building The Crypto Trading Bot Future
The above-mentioned aspects are only a few of the things we want to develop in the next weeks (yes, we are talking about weeks). Based on our discussions with users, there are tons of other features in the pipeline.
Crypto trading bots all have one common goal: to automate the process, make it more efficient, and ultimately increase trading success.
If you want to join us on that path, you can do two things:
- Join our community, where we discuss new features and share experiences. Crypto OS is a community-driven platform, and I am thankful for every input and feedback.
- Try it: Take a look at the Crypto OS platform, check out signals, play with features, and set up a bot. By the way, we offer a 3-day trial, so you can play around with bots entirely risk-free (well, at least in terms of our product, not in terms of your trades).
Let’s build something great!
