A trading bot is software that can be used to automate your trades. It is very popular in stock markets and has now started to make its mark in the world of crypto trading as well.
Crypto trading bots work in a similar way to stock trading bots. They are basically computer programs where users have to enter particular parameters and deposit an initial investment. The trading bot then does the buying and selling of cryptocurrencies according to those specific parameters. That’s it.
Now, the whole purpose of trading bots is because users can’t monitor cryptocurrencies and their ramifications around the world. But, unfortunately, a lot of trading bots lack the ability to deliver profits consistently.
The KuCoin Trading Bot, however, stands out from the crowd. This product has gained considerable attention and interest, considering it has delivered results in bullish, bearish, and turbulent markets. In addition, it has a reputation for saving time, with speed and intelligence that sets it apart.
KuCoin focuses on simplicity
KuCoin keeps it simple. It has four primary trading strategies that it uses:
- Classic Grid: This is a straightforward trading strategy that seeks to profit from market fluctuations by positioning buy and sell orders.
- Futures Grid: Futures Grid Bot is a combination of futures and grid trading, bringing grid profits for users when going long or short.
- DCA Bot: This exploits the Dollar-Cost Averaging investment strategy. It is one of the oldest investment strategies. It is a repetitive strategy that is frankly boring and needs to be repeated very often. But this repetitiveness is precisely what makes it perfect for a DCA Bot. You can deposit a few thousand dollars and then instruct the robot to buy $50 worth of BTC every day or every other day and slowly build up your position.
- Smart Rebalance: The core of this strategy is to ensure your portfolio percentage doesn’t change as your assets increase. Let’s say your buy $100 worth of crypto: $40 in BTC, $30 in ETH, and $30 in XRP. The bot ensures that even if your total investment goes up to $1,000, the assets ratio remains the same.
Advantages of the KuCoin Bot
- Saves repetition: Repetition is the key to building a good portfolio. However, it is tedious and time-consuming to keep repeating trades. For instance, it might be essential for you to rebalance your portfolio every few hours in the volatile crypto world. The Smart Rebalance Bot takes care of it.
- Don’t miss the opportunity: There are no holidays in the crypto world. It’s a 24/7, 365-day game. Can you afford to miss out on a massive opportunity because you were asleep? With KuCoin, you don’t have to. This trading bot can monitor your portfolio and execute trades non-stop, like a machine (which it is).
- Reduce risks: Bots take out emotion from the trading experience. They will make money for you when the market keeps gaining momentum in a bull run and will save you from massive losses on days when the crypto-world experiences a sell-off.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
