As cryptocurrencies continue to become mainstream, trust in the legacy system is gradually declining, given that more people across the world are embracing digital currencies to either hedge against inflation or profit from them. Minority communities are not left out, as they are reportedly investing in crypto assets to protect themselves against financial discrimination.
Consequently, the world is witnessing the emergence of new technologies that will fast-track the pace of global cryptocurrency adoption. One of such innovations is automated trading, which has brought a new trajectory to cryptocurrency trading assisted by trading bots or algorithms.
Since the inception of cryptocurrencies – starting with Bitcoin – most crypto enthusiasts and investors have adopted various means to benefit from this new asset class. Apart from trading them, they also invest, stake, lend or borrow these assets. On its part, crypto trading used to be a manual activity performed on an exchange or involved a peer-to-peer transaction. Until automated trading came into play.
What is Bitsgap?
Automated crypto trading eliminates the need for the physical involvement of traders and carries out buying and selling of cryptocurrencies through a robot with programmable instructions. In just a few clicks, a trader is able to buy crypto and sell in a split second. There are a lot of online platforms that have emerged with the aim of offering automated crypto trading services to the public.
Established in 2017 Bitsgap emerged with an unprecedented platform that combines different crypto-based services in one place. Boasting a wide range of services such as crypto portfolio management, automated trading, demo trading, including signals from crypto exchange, Bitsgap’s automated trading service is its selling point and a major appeal for investors around the globe.
Bitsgap trading technology is supported on more than 25 crypto exchanges, including Binance, Kraken, and Coinbase. Users can connect their portfolios from all these exchanges to Bitsgap. Once the connection via API key is established, it enables users to view and manage their portfolios and activate Bitsgap’s trading bots.
With a wide range of trading and analytical tools that include TradingView charts, risk management tools, and various order types like stop-limit, market and shadow orders, Bitsgap is a one-cap-fits-all platform. The platform aggregates exclusive features for the convenience of users. Essentially, Bitsgap helps traders and investors maximize returns on their investments via its trading bots.
Trading bots are recognized for their efficiency as they are quick to observe every profitable market trend, no matter how little, and capitalize on it. More often than not, the profits from each of dozens of micro trades that bots are capable to perform every second, calculated individually may seem small. Sometimes, a trader could make as little as 1% on a trade as a result of a brief positive movement. In contrast, an estimation of gains made on all trades could produce a tangible figure.
Why Bitsgap is Better
Traders who utilize Bitsgap trading bots aim to save time that would otherwise be spent on monitoring the charts seeking the best market opportunity. Being a successful trader requires plenty of resources including physical and mental commitment. These trading bots bear the brunt of the major work, namely buying, selling, studying the direction of the market, and limiting losses in times of severe market volatility. Apart from being a time-saver, Bitsgap’s automated crypto trading functionality is emotionless, highly consistent, frequent with returns, and overall, protects traders’ investments from avoidable losses.
Bitsgap is a cloud-based platform. This means if a trader logs out of his account or turns off his internet connection, his open positions will not be affected. Bitsgap’s trading bots do not require data connection to perform trading activities.
The origin of the grid strategy laying in the foundation of the trading bot is traceable to the FOREX market. The price range chosen by the trader is divided into a cascade of levels, which form an order grid. This strategy can also be applied manually as a trader has to allocate all orders both above and below the current price of an asset, say Bitcoin.
Given the time-consuming nature of the strategy, it is best used for automated trading. As such, Bitsgap’s trading bots can handle the hassles involved. Here, for every buy order placed, the trading bots set a corresponding sell order. While the limit order is placed below BTC’s current price, sell orders are predefined and placed above the market price. This is done in a way that a trader profits from any slight move that the price of Bitcoin makes to the upside. In contrast, downside moves complete buy orders. All these go on even when the trader is offline.
Trading bots on Bitsgap operate according to the strategies predefined by a trader who can select it, depending on the preferences. Since each trading bot has its own strengths, traders are required to be circumspect and diligent when making a decision on which one of them to adopt for the current market situation. Let’s have a closer look at Bitsgap trading bots and see how they operate.
Classic Bot equally distributes the selected crypto asset among the grids such that for every buy order of 10 BTC completed, a corresponding sell order of the same amount of BTC is carried as soon as the price moves up. Classic Bot strategy is best adopted when a strong uptrend is expected in the market.
SBot in many ways is similar to the Classic Bot with the only difference between both is in the distribution of a trader’s investment. Here, investments are distributed disproportionately. When BTC price moves down, the trading bots buy more of BTC at a specific amount, say $100. During an uptrend, the same amount of BTC, but less quantity is sold as the limit is $100. This is best used when the market is moving sideways.
Combo Bot is only applicable to the futures market on the Binance crypto exchange. This bot combines both grid and dollar-cost-averaging algorithms. It is also capable of generating returns faster and higher due to the leverage feature in futures trading. Similarly, the risks could be significantly higher. It also can benefit from rising and falling markets, which makes this bot an ultimate solution when it comes to short selling the market.
Bitsgap services are subscription-based and divided into three categories, namely: Basic, Advanced, and Pro. Each category comes with different pricing and benefits, including trading limits and a number of bots. Subscription for the basic category costs $19 per month, while Bitsgap charges $44 and $110 for Advanced and Pro, respectively. All automated trading features can be tested in demo mode, where traders get to assess their performance from a demo account. On top of that, Bitsgap offers a 14-day trial period within which traders can try out its premium features for free.