Can a Crypto trading bot really generate money?
Purchasing Bitcoin years ago has led many people into a better financial situation than they expected. People getting into the cryptocurrency ecosystem now are also hoping for the same parabolic growth, but not everyone has disposable income to consistently invest into their cryptocurrencies, so most people try their hands at trading. The main complaint people about actively trading is that there is a learning curve, and it’s also time consuming. This is when the question of “Can a crypto trading bot really generate money†appears. Thankfully, the answer is and has been, yes. Automated trading can trade 24 hours a day, making you money while you sleep, and it can also monitor market conditions that fluctuate in ways that you might not notice.
Arbitrage trading with Bitrage
Fortunately for cryptocurrency enthusiast, Bitcoin exchanges are unified in their constant up-time, regardless of geographic location, although there are still plenty of problems that can stop you from doing arbitrage trading manually. Due to the fees associated with purchasing assets on crypto exchanges, as well as the confirmations required by miners on the networks, sometimes you can initiate a request for what you think can be a profitable trade, but by the time you begin the process, the prices have flipped and you might end up trading at a loss if you didn’t notice the price variation.
Bitrage works by engaging in arbitrage trading between different markets, looking for prices fluctuations on various cryptocurrency pairs.
If you are unfamiliar with what arbitrage trading, the best example would be that prices and volumes between different pairs vary, sometimes quite wildly , so if you had bought a cryptocurrency for 1000 dollars, but on a different market the same amount of cryptocurrency was valued at 1500 dollars, you could very quickly make an extra 500 dollars by simply being able to quickly trade that asset between markets.
Where can I buy Bitcoin
Bitcoin is widely available now, for even the most novice of technology users. There are grocery stores where you can cash in your change jar for actual Bitcoin, as well as phone applications that you can also use to easily purchase Bitcoin. The phone applications will also make it simple for you to send and receive Bitcoin, as well as a few other altcoin currencies. By browsing the web, you can also find local technology enthusiast that are also available for face to face exchanges as get bitcoin well.
Gunbot v12 - Bitmex edition - Installation on Windows box
Emotional attachment can lead to losses
Anytime money is at risk, people will become emotional, it’s just basic human biology to want to protect our finite resources. This can lead to a lot of bad times while trading, as seeing an asset plummet due to some rumors of upcoming bad news can shake even the most resilient of traders. Panic selling can sometimes save the day, but usually it results in some seller’s remorse as if a coin was manipulated, it will most likely bounce back when you least expect it. On the reverse side, watching a coin gain value suddenly, and hoping to get bitcoin catch it on the up-swing is a common trap that a lot of new traders fall for. Sometimes people can group together and pump a coin, intentionally misleading people into jumping in and also purchasing the asset of that coin, just so that they can then sell their huge quantities of that coin for huge profits, leaving unaware traders with huge bags of what could end up being a pretty valueless coin. Turning off emotions and using just fundamentals is something a lot of traders strive to, but the human condition is inescapable, so that is the main feature of why a trading bot is able to generate money.
Trading crypto-currency with a automated trading bot
In summary, to the question of “can a crypto trading bot really generate moneyâ€, with a small bit of attentiveness and a steady internet connection, the answer is yes. Trying to HODL in hopes for better days can be a heavy burden and end up in a consistent devaluation of a coin you invest in. Day trading can be very time consuming, yet at times not as rewarding as even a minimum-wage job, regardless of the amount of time you invest into it. Emotional entanglement with your investments can lead you chasing green candles and ending up with heavy bags repeatedly, so removing that risk by trading with something like the Gunbot trading bot can give you more free time, as well as maximize your overall profitability.
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