A unique characteristic of the crypto industry is its susceptibility to change. Unlike some other fields, the crypto market reacts to constantly changing trends, which invariably affect the overall outlook and valuation of a digital asset. You can simply say that the crypto market is volatile.

Nevertheless, the volatility of crypto assets does not necessarily suggest a negative scenario. The swings in values are what cryptocurrency traders leverage to make profits. A particular cryptocurrency may spring up to 15% in value within just an hour, which allows a trader to make some gains. At the same time, it can equally decline by 15% within an hour, and the trader would register losses.

What the above scenario suggests is that one can only succeed in cryptocurrency trading if they are actively exploring it. If a trader does not monitor current trends in the market, the possibility of getting liquidated or making gains is left to time. To make the best out of the crypto market, a firm requirement is that you have to actively dedicate your time to monitor market trends to make the right decisions at the right time.

However, not everyone can fulfill these requirements. Especially considering time, as most traders might be committed to other ventures such as their jobs, and cannot input the necessary amount of time to maximize their income. This is where automated crypto trading bots stepped into the picture to counter these limitations and change the narrative.

What are Trading Bots?

Just as mentioned earlier, trading bots are utilized to automate crypto trading. Fundamentally, there are special computer programs designed to be an extension of human traders by performing certain tasks autonomously when a trader is unavailable or lacks expertise. Trading bots are structured to function based on predetermined orders. They can execute trade options, analyze a trending market, or even trade arbitrages.

These subsets in the trading scenario have introduced a new kind of approach to crypto trading. The possibility of managing multiple portfolios with equivalent attention and precision is now obtainable.

Of course, they eliminate the high cost associated with employing human traders or investing in hedge funds only to get a slight percentage of the profits. Still, if a trade goes North, the trader still has to bear the impacts, without soliciting a refund.

Now that we have examined what trading bots are, let us take a tour of how they function and take a look at some of their features.

How Trading Bots Work

A trading bot might be native to the crypto exchange and can also be integrated as a third-party manager. To use a trading bot, you have to subscribe to it via its provider, however, some of them offer free plans.

To get the maximum benefit from this technology, a user is expected to be a bit tech-savvy and understand the concept of crypto trading, as well as having a good trading strategy.

In the case of integrating the trading bot alongside your crypto portfolio within an exchange, you should ensure that you’re a verified user and have some funds on your account. Although trading bots can perform without human supervision, they require that a human eye resets their functionalities and ensures that set objectives are being met.

The cryptocurrency market is very volatile. Most times, one can miss the proper time to enter or exit a trade. Using trading bots can reduce the risk as trades are triggered automatically. One can also employ these bots for arbitrage trading, as they can be quick to capture fluctuating price levels even before exchanges.

Best Bot for Cryptocurrency Trading

If you contemplate employing trading bots, you might also be thinking of the best option to begin with. There are hundreds of trading bots out there, with some of them offering features that might not be suitable for you, especially as a beginner.

Trading cryptocurrencies effectively comes with attention to some essential requirements including time, expertise, and efficiency. Owing to this, trading bots were developed to help anyone leverage the market even when the individual isn’t actively trading.

The most popular options are Cryptohopper, Quadency, and Bitsgap. While these options are considered a solution, they might have certain specifics that you might find difficult to fulfill.

Among them, Bitsgap, a recent entry from Estonia, is making the rounds as a promising trading bot server. This particular platform is a great start for beginners. It offers integrations to over 25 crypto exchanges and is acclaimed for arbitrage trading.

Bitsgap pays great attention to users and helps them mitigate the risks by offering signals to the most promising digital assets. The platform offers packages that are determined by your overall expectations rather than your pockets. Interestingly, Bitsgap is a revolutionary addition to the crypto industry and is gradually growing in reputation and user base.

In sum, trading bots study historical chart patterns, choose the best options, and execute tasks efficiently and independently. Although picking the best might be a challenge, Bitsgap steps in to offer maximum support for novice and professional traders alike.