Crypto trading bots are automated software that helps you buy and sell cryptocurrencies at the correct time. The main goal of this software is to increase revenue and reduce losses and risks. These applications enable you to manage all crypto exchange accounts in one place. Many such programs allow you to trade for Ethereum, Litecoin, Bitcoin (BTC), and more with ease.
In this article, we will be discussing the 8 Crypto Trading Bots to Help you Manage Your Investments in 2022
Types of Cryptocurrency Trading Bots
Now that we’ve gone over some of the best crypto trading bots for 2022 let’s take a look at the different types of bots that are available.
Arbitrage bots are designed to take advantage of price differences between exchanges. For example, if Bitcoin is selling for $11,000 on one exchange and $11,200 on another, the arbitrage bot will buy Bitcoin on the first exchange and then sell it immediately on the second exchange for a profit.
Market-making bots are designed to provide liquidity to exchanges by constantly buying and selling assets. By doing this, they help to keep prices stable and make it easier for crypto traders to buy and sell assets.
Scalp bots are designed to execute a large number of small trades in order to take advantage of small price fluctuations. These bots can make a lot of trades per day and sometimes even per hour, so they require very little downtime.
Coin Lending Bots
Coin lending bots are designed to lend your assets out to other traders in order to earn interest. This is a great way to passively earn income from your crypto holdings. Traders use these bots to lend out their assets on exchanges that offer margin trading.
Leverage Trading Bots
Leverage bots are designed to help traders get more bang for their buck by allowing them to trade with leverage. Leverage is essentially a loan that the trader takes from the exchange in order to trade with more money than they have in their account.
These are just some of the different types of crypto trading bots that you can use in 2022. Each type has its own advantages and disadvantages, so be sure to do your research before deciding which one is right for you.
8 Crypto Trading Bots to Help you Manage Your Investments in 2022
Bitsgap is a crypto trading bot company that specializes in bots, algorithmic orders, and portfolio management. Bitsgap has a large following as they boast a trading volume of $300B and over 3.7M bots that have started trading on investor’s accounts. A demo practice mode is available for those wanting to try the service before officially signing up.
A standard Bitsgap account comes equipped with smart orders, or algorithmic orders, to help control your risk/reward ratio with tools such as stop loss, take profit, and OCO. Switch between exchanges on the trading terminal, which displays a sleek, front-end interface for all users. A free 7-day test drive on the highest pro plan is available to new customers curious about signing up.
The pricing model on Bitsgap is slightly different than its competitors since they employ a 6-month plan instead of a yearly plan. The plans break down into 3 tiers: Basic, Advanced, and Pro, each giving you varied levels of access to the Bitsgap platform.
Bitsgap month-to-month pricing:
Basic – $29/mo, Advanced – $69/mo, and Pro – $149/mo
Bitsgap 6-month pricing:
Basic – $144, Advanced – $342, Pro – $738
· 7-day test drive
· Large trading volume
· Website not easy to navigate
3Commas is a great way to monetize your crypto portfolio, again with the use of crypto trading bots. Why bots? Bots free up your time and allow the software to do the heavy lifting for you. 3Commas does offer a free 3-day trial to use their platform and figure out if it is the right fit for you or not.
3Commas is a great place to centralize your digital assets under one roof regarding your exchanges, wallets, and even accounts for favourite tokens. If you happen to really enjoy the service, you can join the ambassador program and earn revenue for referring others.
Pricing for 3Commas is straightforward as they have 4 tiers to choose from: Free, Starter, Advanced, and Pro. The free account is to get you in the door, while the paid tiers provide access to features not available in the free account, such as unlimited smart trades, portfolio rebalancer, and developer API.
3Commas month-to-month rates:
Starter – $29/mo, Advanced – $49/mo, Pro – $99/mo
3Commas yearly rates:
Starter – $174/yr, Advanced – $294/yr, Pro – $594/yr
· Ambassador program
· Free trial
· Automated trading costs a lot more
Shrimpy is a crypto portfolio manager with the ability to link all your existing exchange accounts and wallets into a single, simple-to-use platform. Automatic trading, backtest strategies, and imitating top traders are a few of the features available on Shrimpy.
A unique aspect of Shrimpy is their Social Leaders feature which allows community leaders to get paid based on the size of their following. You can charge followers a subscription that allows them to trade when you trade. On the flip side, you can join as a follower, especially in the beginning, to copy top traders to help get similar results that they are getting.
Pricing for Shrimpy is broken down into 3 separate tiers: Starter, Professional, and Enterprise. The higher the level, the more in-depth control you have over your investment. Starter comes equipped with strategy automation, social trading, a smart trading terminal, and an advanced index builder, among other features. Each subsequent level has what the starter has, plus access to additional portfolios.
Shrimpy month-to-month pricing:
Starter – $19/mo, Professional – $79/mo, Enterprise – $299/mo
Shrimpy yearly pricing:
Starter – $180, Professional – $756, Enterprise – $3,588
· Social leaders feature
· Link exchange accounts
· Can get expensive
Coinrule is a bot software that automates the trading process so that you don’t have to manually trade on your own. Coinrule has been featured in TechCrunch and Yahoo! Finance, working with over 10 popular exchanges utilizing military-grade security and encryption.
Coinrule has different “rules” set in place to choose from, such as stop loss, price-based accumulation, and trend-following rebalancing. You also can build your own rules based on popular indicators to use within their trading platform.
Coinrule has an “estimate your cost” section on their website to get a glimpse into what your costs may be depending on the amount of trading you entertain per month. Paying a yearly rate is oftentimes less expensive than paying month to month, as we have seen with previous trading bot services. Coinrule is no different as they provide up to a 25% discount when a year is paid upfront in full.
Based on the sheer number of features at the Hobbyist level, such as leverage strategies and advanced indicators, upgrading from the Free account is essentially a no-brainer. The starter level is to get your feet wet until you want to get more serious and take trading to the next level.
Coinrule month-to-month rates:
Starter – Free, Hobbyist – $39.99/mo, Trader – $79.99/mo
Coinrule yearly rates:
Starter – Free, Hobbyist – $359/yr, Trader – $719/yr
· Explainer webinar for new users
· Cost estimator tool
· Paid plans are a bit pricey.
Cryptohopper markets its service as a world-class crypto trading bot with a strong emphasis on trading tools without coding skills for ease of use. Cryptohopper solutions vary depending on who you are and what you are looking to accomplish on their platform. Asset managers, miners, beginners, and advanced traders can take advantage of the solutions offered here.
Cryptohopper has some unique features, such as backtesting, which allows you to see how you would have performed using historical data. Another neat (and free) feature is called CryptoTweeter, which posts updates to your social media directly from your Cryptohopper account to keep your followers informed.
The pricing structure is broken down into 4 tiers, or categories if you will, which are: pioneer, explorer, adventurer, and hero. The more you pay, the more positions you can utilize on the Cryptohopper platform, in addition to features such as market arbitrage and algorithm intelligence.
Cryptohopper month-to-month rates are as follows:
Pioneer – Free, Explorer – $19/mo, Adventurer – $49/mo, Hero – $99/mo
Cryptohopper yearly rates are less costly but need paid all at once:
Pioneer – Free, Explorer – $198.96/yr, Adventurer – $498.96/yr, Hero – $999/yr
· Affiliate program
· Unique features
· Less robust than other platforms
· Expensive yearly plans.
Trality is a new name among popular crypto trading bots, but it has been gaining a lot of popularity lately. This bot offers most of your generic crypto trading bot features, including automated crypto trading, portfolio tracking, and more.
However, Trality made it to our list of best trading bots for a reason. It offers some unique features that make it stand out from the rest. For example, this bot allows you to test your strategies with paper trading before you risk any of your real money. In addition to this, Trality also offers a wide range of tutorials and support so that you can learn how to use the platform effectively.
Price: Free / €95 / €383 / €575
Supported crypto exchanges: Binance, Kraken, Coinbase / BitPanda / FTX and more.
Offers paper trading: This bot allows you to test your trading strategies with paper trading before you risk any of your real money.
Wide range of tutorials and support: Another great thing about this bot is that it offers a wide range of tutorials and support so that you can learn how to use the platform effectively.
Not as many features: Although this bot offers most of your generic crypto trading bot features, it doesn’t have as many unique features as some of the other options on this list. Though, for basic trading, Trality offers more than enough.
Pionex is a cryptocurrency exchange that offers crypto trading bots as a service to all their users. Pionex offers users the ability to utilize 16 built-in crypto trading bots that work to buy low and sell high 24 hours a day, 7 days a week. Bot types include DCA, rebalancing, martingale, and arbitrage among others.
Crypto trading bots are free of charge on Pionex, minus the standard 0.05% trading fee for each grid transaction. At the time of writing this article, Pionex is offering a $1288 trial fund gift for new users.
· Simple to use
· Built-in bots
· Learning curve.
TradeSanta is a platform for your crypto trading needs. TradeSanta not only gives you access to trading bots, but they also give you access to a mobile app tracker, TradingView Signals, and a marketplace to leverage the strategies of experienced traders.
What’s important to know about TradeSanta is that you have the option to create and run bots on multiple exchanges such as FTX, Coinbase, and HitBTC. Many crypto trading bots utilize API keys which integrate with an existing exchange account, TradeSanta is no different in that regard.
Pricing for TradeSanta varies depending on how much access you need to the platform. The basic level gives you up to 49 bots, advanced gives you up to 99 bots, and maximum gives you an unlimited amount. If you plan on creating a bot empire, it may be worth it to shoot for the maximum level.
TradeSanta month-to-month rates are as follows:
Basic – $25/mo, Advanced – $45/mo, and Maximum – $70/mo
TradeSanta yearly rates are less costly overall, but you must pay in full up front:
Basic – $180/yr, Advanced – $324/yr, and Maximum – $420/yr
· Mobile tracker
· Create bots
· Multiple exchanges
· Learning curve
Pros and Cons of Using Trading Bots
Although we have covered the pros and cons of using specific trading bots, it is also important to consider the pros and cons of using trading bots in general.
- Bots can help you to make more money: One of the biggest advantages of using trading bots is that they can help you to make more money. This is because bots can execute trades much faster than humans and they can also access information and make decisions based on that information much more quickly.
- Bots can take some of the emotion out of trading: Another big advantage of using trading bots is that they can take some of the emotion out of trading. This is because bots don’t get emotional about their trades, which means that they are less likely to make mistakes.
- Bots can be expensive: One downside of using bots is that they can be quite expensive. This is because you need to pay for the software and also for the hosting fees.
- Bots can be risky: Another downside of using bots is that they can be quite risky. This is because if a bot makes a mistake, it can cost you a lot of money.
Things to Consider Before Choosing a Crypto Trading Bot
Using a crypto trading bot is a great way to automate your trading strategy and take human bias out of the equation. Many such products are available, but not all are created equal. To find quality products among the weeds, it’s crucial you know what to look for. Here are a few things to take into account:
The first thing you should check is how many exchanges the bot has access to. Not all automated crypto trading bots support all crypto exchanges, so you need to make sure you can use your favorite platforms for buying and selling your cryptocurrencies. If a bot can only work on a small number of exchanges, it’s probably not as popular or widely used as some of the other options on the market, and you should probably move on.
Next on the list are the features offered by the bot. Some bots are very simple, while others have a broad range of customizable options. The best bot for trading cryptocurrency for what you plan to do will match your trading strategy, and include some valuable extras. Backtesting, strategy implementation, execution, and a job scheduler are the most common ones.
Backtesting is vital, as it allows you to test your trades against historical data to see how they would have performed. You can backtest any strategy and implement it with the bot’s help. On a different note, to be the best, a trading bot for crypto should also provide fast execution. Finally, the job scheduler is always a nice addition, as it allows you to automate your trading.
Like with any other online venture, a high level of security is essential for the best crypto-bot trading experience. The last thing you want is to have your funds or personal information stolen by a malicious actor. A bot worth its salt uses robust security measures, such as two-factor authentication and encryption.
Additionally, you should also check the reputation of the bot and see what other users have to say about it. If it has many negative reviews, it is probably best to stay away from that particular bot.
You’re in this business to turn a profit. Therefore, affordable solutions are vital. Luckily, some of the most popular crypto trading bots are free to use; others come with a subscription fee, or a one-time payment for using their service, but it’s rarely exorbitant. Whatever choice you end up making, check the fine print for hidden costs, and be on the lookout for discounts or promotions.