The quality of these trading bots varies from good, to fair, to poor, to the many outright scams. The user has to rely on the programming skills and strategy of the often anonymous creator. These bots present a ready to go ‘black box’ solution with few options for further customization. While these bots can be connected to a user’s exchange account and can execute buy/sell orders automatically, the user has limited control over the bot’s strategy making them less useful for advanced traders. This is not necessarily always the case, however. They offer traders the ability to automate their trades and then wait for the bot to make a profit.
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There are many simple, off the shelf automated crypto trading bots available for purchase, subscription, or free download. Should I use a crypto trading bot or a platform? Trading bots can interpret and combine traditional market signals such as volume, orders, price, and time, with technical analysis signals such as moving averages, Bollinger bands, and the Ichimoku Cloud, and increasingly, with other factors such as social media sentiment. The bot will execute a trade when market conditions meet a set of predefined and programmed criteria.
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These best crypto bot trading platforms combine the advantages of bots (automated, algorithmic 24/7 trading) with multiple customization options, user-friendly interfaces, and the ability to maintain some human oversight. The last 18 months have seen a rise in the number of automated crypto trading platforms that use bot-driven cryptocurrency trading strategies. In global financial markets, approximately 75% of trading is algorithmic, and the crypto markets are no different. The slow maturation of the 24/7 global crypto markets, the rapid development of new technology, and much-improved crypto user experiences are some of the converging trends driving the growth in automated crypto trading platforms.