Best Crypto Trading Robots

What is Crypto Trading Robot? 

If you are looking to start investing in cryptocurrencies and are looking for a reliable trading platform – you came to the right place. Our team at EthereumTrading.pro is on a mission of educating individual investors about crypto investing and we aim to review different trading platforms to be able to recommend the best ones.  In today’s world, it is very easy to get lost among numerous trading apps and brokers, also investors need to be aware of possible scams. But there are also some very good and reliable crypto trading platforms that won the respect and loyalty of many beginner and seasoned investors. Many of our readers have been asking… What are the best crypto trading robots today? Is it true that you can make money on autopilot without any prior trading experience? What profits can one make with a good crypto trading robot? To answer this and other important questions we have prepared this review of the top crypto trading robots. 

But, first, let us quickly explain for those who don’t know, what crypto trading robots are and how they work… 

Crypto trading robot is essentially an automated trading system that allows you to execute your investment strategy on an autopilot. Such trading systems have been used for many years by large institutional investors and over the last few years have been adopted by individual investors, especially those who trade Forex. The crypto trading robot is an algorithm that analyses a particular asset, in our case Bitcoin, Ethereum or any other Altcoin, and makes short-term price move predictions. The algorithm is usually based on a technical analysis that makes Buy or Sell recommendations and automatically executes the trade. 

Below you can see the list of the Top Crypto Trading Robots that are currently available on the market. We have conducted an in-depth review of each of them and you can read those reviews and learn more about the functionality of each crypto trading robot.  

Crypto Trading Robots vs Discretionary Investments

Crypto trading robots provide access to what is called automatic trading, systematic trading or algorithmic trading, and that all means pretty much the same.

There are types of investors, that are called long-only or discretionary, who are investing in the asset class with the expectation that it will increase in value over time. They normally hold on to the investment for a long time and can lose money in the volatile or bear markets. Such investors are also often called value or fundamental investors. But there is also a large number of active investors who are looking to make money both in bull and bear markets. Among ordinary investors, this is often called day trading and it means that profits can be made when the prices are rising as well as when they are declining. Such investors also benefit from market volatility, which means that they have many more opportunities to buy high and sell low, or take a short position, and make a profit.

To be successful in automated trading, investors would normally need to make a large number of trades and their holding period could be as low as few minutes (or even milliseconds in case of institutional high-frequency trading firms) to a couple of hours, or days. That means that day traders can make small profits but on a large number of trades. Of course, not every trade is profitable and some can lose money. But as long as on average you make more profitable trades than ones that lose, you will still make profit. So, the top crypto trading robots that are becoming so popular today will all have their roots in automated trading that investors are using in traditional markets.

How Top Crypto Trading Robots work? 

There are a number of different types of crypto trading robots and we will explain the difference between them later on. But all crypto trading robots will have a number of the same features in common.

Automated Trading

The most important feature of crypto trading robots is that it allows you to trade cryptos 24/7 as long as the market is open. Another big advantage is that investors don’t have to be in front of the computer screen all day long to be able to trade. Once you start using a crypto trading robot, it starts investing on autopilot, you can effectively make money when you sleep and have the computer do most of the work for you.

No Human Factor

Another important benefit of the crypto trading robot investing on your behalf is that you exclude human emotions in making decisions (which more often does not work in your favour). Quite often, investors can allow their emotions to get in the way and will either sit on their investment for too long or react too early. As with everything in life, there never could be a 100% guarantee and some human oversight is still required but still, computers can execute most of the day to day work while people monitor their activity. 

All top crypto trading robots relentlessly analyse the market and make trade recommendations only based on algorithms. The machine won’t get greedy or fearful and can follow through a predefined investment strategy. That is why in today’s financial world, almost 80% of trading is done by computers and algorithms. 

Crypto Trading Strategies & Signals

Most automated crypto trading strategies, as well as traditional ones, rely on technical analysis, trading indicators and signals. Trading algorithms are designed to perform the analysis of the Bitcoin (or other cryptos) market price moves and produce signals when to buy or sell the underlying asset. There are a large number of technical indicators such as Stoch, RSI, Bollinger Bands, MACD and many others. Algorithmic traders might use volatility indicators such as bands to make frequent and small gains. They can also use Trend Indicators such as MACD and moving averages such as EMA, SMA and KAMA when making investments. There are also Volume and momentum indicators (oscillators) such as Stochastic, Stoch-RSI, RSI and many others. Basically, trading signals and indicators is a “secret sauce” of successful crypto algorithmic strategy and we strongly encourage you to learn and educate yourself. The good thing for beginner traders is that most of the crypto trading robots offer extensive educational resources where you can learn the basics very quickly. Some crypto trading robots also offer social trading, so if you are not confident in creating your own strategy, there is also a possibility to follow a trading strategy of an experienced investor. But most of the top crypto trading robots offer access to trading strategies that are already pre-built so you can start investing almost immediately (after completing the onboarding process). 

Are Top Crypto Trading Robots Profitable? 

Obviously, this is one of the most important questions for any crypto investor. How much money I can make with the top crypto trading robots? 

As with any asset class, investors have to remember that investing in cryptocurrencies is risky. Past performance can never be a guarantee of future results and you have to be cautious if someone promises you extremely high returns. The Golden Rule in investing is that you should not invest more then you are prepared to lose. That doesn’t mean that you will lose all your money, but it is always important to remember and manage risk. We also think that if you are just learning the ropes of crypto trading, it is always better to start small and increase your stakes as you gain experience and confidence in the market. It is important to learn and master your trading skill if you really want to succeed in anything in your life, and the same applies to crypto investing.

It is reported that on average it is possible to make 2-3% in daily profits with some of the top crypto trading robots. Of course, not every trading day could be profitable but it is very possible to pocket 30-40% monthly return on your investment. So with $1000 initial investment, you can reasonably expect that you can make $300-400 in profit per month. 

Self-education, discipline and consistency are the keys to success in day trading. Of course, it is important what trading algorithms you use and what the market conditions are. What works in one market might not work in the other, and crypto investors need to adjust their strategies accordingly and test what indicators and signals work best for them. The price volatility also works favourably for trading robots as it presents more opportunities to get in and out of the trade. 

To close this section, it is important to mention that most likely none of the Top Crypto Robots will be able to generate profit during the market stress. So it is always important to have the stop loss set every time you trade to minimise the downside. And if you see that all crypto prices are heading in one direction, it is better to hit pause on your crypto trading robot and resume investing on the next day. 

What are the Different Types of Crypto Trading Robots? 

There are two distinct types of crypto robots and here we would like to explain the differences between them.

Crypto Trading Robots affiliated with CFD Brokers

This type of crypto trading robot is usually a pre-defined number of trading algos and is affiliated with CFD broker. In order to start trading, you will need to open an account with the broker, complete the onboarding process by proving the copy of your passport, residential address and other details. Once you deposit funds with the broker, the crypto trading robot can start executing its investment strategy via the broker platform. 

We have to admit that such crypto trading robots and their algorithms are more of a black box. They are typically less customisable where investors are allowed to set basic trading parameters such as stop-loss, trade size, take profit and similar ones. But it is not possible to look inside the algorithm or configure and tweak it.

Such crypto trading robots are more suitable for beginner investors who don’t know much about technical analysis or systematic trading. Typically, such robots are free and have demo accounts so you can try them out first before committing any money. Obviously, as they are affiliated with the CFD broker, these brokers are incentivised in providing investors with top-performing algorithms so they keep trading with them by making money.

Such robots will often provide access to a limited number of altcoins that you are able to trade. With most of the top crypto trading robots, you can invest in Bitcoin, Ethereum, Ripple, Litecoin and some other major cryptos, but this number will still be limited. As with any CFD broker, you won’t actually own the underlying asset but if you just want to make money from price moves that still can work for many traders. But most of the top crypto trading robots will have a minimum deposit requirement of only $100 and you can start investing with as little as $10 per each trade. 

If you decide to invest with one of the crypto trading robots affiliated with CFD broker, please do your due diligence on the broker to make sure you trade with a reliable company.  If CFD broker is regulated, this should give you more peace of mind. If the CFD broker is not regulated, it still can be a credible one and have good trading algorithms but investors need to be a bit more careful. Try them out first by investing a smaller amount, try to withdraw the profits, contact their customer support to see how soon they reply and perform a few other tasks to get a better feel of how such brokers operate and treat their customers.

Start investing with the smaller amounts to see how the Broker works and how good their algorithms are. Once you feel more confident and start making money, you can increase your stakes and up your game.

Here are the Crypto Trading Robots that work via CFD Brokers:

Crypto Trading Robots that trade through Cryptocurrency Exchanges

Another type of crypto trading robots are platforms that allow investors to create their trading strategies (or use ones built by others) and then connecting and trading directly from the exchanges. Such trading robots are fully transparent and you can create your own trading strategy, choose which indicators and signals to use, configure trading and other parameters. Some of them also have access to strategies marketplaces where you can go and buy a strategy developed by other experienced traders. Given, most such trading robots provide access to major cryptocurrency exchanges, investors can trade pretty much any altcoin listed on the exchange, including Bitcoin, Ethereum and many others. So you can pretty much get access and trade the whole market while if you trade with a CFD broker you would be limited to a very few.

We quite like the level of customisation available with this type of crypto trading robots but investors must have a decent understanding of trading strategies and have advanced knowledge of technical analysis and trading indicators. This might be an obstacle for beginner investors, however, the trading bots that we covered in our reviews have extensive educational libraries with lots of videos and reading material available. They also have active communities of crypto traders so you can always tap into the collective wisdom and ask for help if required.

There are two types of such crypto trading robots. The first type is sold as software at a one-off fee. You will need to download it, install it on your system and then connect to crypto exchange. Example of such a crypto robot is GunBot from Crypto Trading Bot. Another type is a cloud-based crypto trading platform that allows you to access it from any computer. Investors can have access to strategies marketplace, third-party providers of trading signals, active community of traders and good support. Examples of such crypto trading robots are HAAS, Cryptohopper and Zignaly.

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