Crypto-Trade Market and Importance of Trading Automation

Crypto trade market is quite different from the traditional stock market which has an opening and closing time for trades. On the other hand, crypto trade markets never sleep and trading continues for 24*7 round the clock. Apart from that crypto trade markets are heavily volatile this makes it increasingly difficult to keep track with the price movement and market trends for 24*7. Add the scattered nature of the space where unlike traditional stock market a particular token can be listed on several exchanges, and there could be a difference in pricing for the same token on different exchanges.

Looking at all these variables, one can understand that it’s not humanly possible to keep track of all the activities simultaneously. This is where trading bots come into the picture to compensate for the limitations of human minds.

What are Trading Bots and How Do They Function

Trading bots are basically software programs that can be altered to suit the needs and requirements of the traders. It can be programmed to keep track of the plethora of trading data be it pricing, timing and when to execute a particular trade. Trading bots have become an integral part of the crypto trading hemisphere as it not only works tirelessly round the clock but also eliminates the emotion quotient out of the picture.

A trading bot can be programmed to automate and execute trades as per the market trends, and the efficiency is way better than many traders as it purely relies on the data it has been fed with. Trading bots have become a savior for many traders as the 24*7 round the clock market cycle makes it humanly impossible to keep track of all the developments.

Trading bots come in many shapes and forms, while there are plenty of free open source trading bots that can be used by anyone to automate their trading activity, there are specific firms which also create paid versions which the clients can use to make their crypto trading portfolio more efficient. Some of the prominent trading bots currently available include Trakinvest, Cryptohopper, 3commas, Cryptotrader, Wolfpackbot, and Hassbot. If we imagine the above companies to act as the sample set for the industry and we will see that some of them are relatively new entrants but still are offering a lot more and that is obviously throwing light on the diversified nature of the trading bots. If we take the example of Wolfpackbot which is a relatively new contender in this industry if we compare it to Trakinvest, it shows us the importance of research and diversification in this arena as they promise the same like Trakinvest which is a very reliable community which promises to provide complete trading automation solution. But there is a lot in terms of differentiation as the trading automation solution by WolfPack promises fully automated and easy for beginners and experts alike: use your own detailed strategies to buy and sell, or choose the included proprietary settings. Executing lightning-fast trades with live price scanning to constantly scan the market and place winning orders with accuracy, up-to thousands of times per day. Copyrighted Crash Protection to detect and exit at the first sign of a market softening, then re-enter automatically.

Trade Automation is not just the need for the volatile and unpredictable crypto trade market, but it’s more of a necessity to ensure that traders do not miss out on any opportunity and we know by the things we learned above that there is scope of a lot of diversification and enhanced improvement if right amount of research and innovation is put into this arena.

Crypto-Trade Market and Importance of Trading Automation was originally published in Hacker Noon on Medium, where people are continuing the conversation by highlighting and responding to this story.