Crypto What Exactly Are "Trading Bots"?

[Good-Guy]

Mankind has been trading for a long time. We have been trading in stocks for a long time. After the creation of cryptocurrencies, we have started trading in cryptocurrencies. I am not sure if bots are used when we trade shares or stock, but I do know that many exchangers and cryptocurrency trading platforms allow you to trade in cryptocurrency by using something called "Trading Bots". Trading bots sound something like a "bot" that is used by Google to crawl websites or bots that are usually used by many traffic exchangers to send traffic using bots. However, I am sure these bots are different from "Trading Bots". Some exchangers and trading platforms such as KuCoin offer trading bots to traders. Even though I have heard about Trading bots before, I am not sure what exactly is a trading bot. Do Trading bots allow you to trade cryptocurrencies automatically? Do they predict the price of cryptocurrencies for you?

 

[Setho]

The financial market space is actually a very volatile and fast one and as such a lot of changes happening within the most little time . There are some people who are smart enough to be able to develop computerized automated bots that can be able to help them in their trading decisions as well as tell them to be able to take decisions .

Bots are usually created with computer codes and they are usually given a particular instruction and a particular scenario in which they are supposed to execute . For example if you do not want to be on the screen all the time and then you want to know if the market has formed a bullish engulfing , then you can create a code that will be able to remind you exactly when that particular formation has been formed .

You can also be able to create an instruction that is going to give it the access to your wallet to be able to take trades when your behalf . This is perhaps the most popular type of automation in the financial market space and there are some people who make a lot of money by just developing the software .

 

[Suba]

A crypto trading robot is a program or software designed for trading automation that is equipped with an mq4 or ex4 file extension. Traders have to sit in front of a laptop or pc to choose the type of crypto to buy/sell and determine the time at what time. Unfortunately, there are currently a lot of fake trading bots that will harm traders. So that traders don't get caught up in fake trading bots, they must be able to distinguish between real trading bots and fake ones.

 

[Limivorous]

In simple words, a trading bot is a mechanism used to automate the trading process so that the trades are done by the programmed bots without human intervention on the trader’s behalf. These bots are developed by programmers using codes and it will execute the commands that are stored in advance in response to a particular situation. We can think of them as robots. You see the “I am not a robot test” we get to see on most websites are set up to block such bots from accessing them.