Curious about crypto trading bots but have never had a chance to use one? This will be the first guide in a series of posts that highlight the benefits and show you how to get started with the most popular crypto trading tools.
Cryptohopper is a cloud-based trading bot that lets you configure strategies and automate your trading across multiple exchanges. The main benefit of using a cloud-based tool like this is the extremely simple setup process and 100% uptime of your crypto trading bot. When compared to some of the self-hosted bots, this is a huge advantage as you don’t need to worry about a stable internet connection or your computer being compromised.
After creating an account and logging in for the first time, click on the “Config Wizard” button and enter your TRADE-ONLY API Keys to get started. Cryptohopper only needs access to make trades for you, make sure you disable withdrawal permissions for each of your API Keys.
Step 1: Select Your Exchange & Enter Your API Keys
Step 2: Select & Configure Your Trading Strategy
Step 3: Enter Your Risk Management Limits For Your Strategy
Each strategy comes with many configuration options for you to make it trade exactly how you need. We recommend that you read the documentation and heavily backtest your strategy to make sure it is going to perform as expected when trading live.
Cryptohopper is the only crypto trading bot that allows you to subscribe to and trade external trading signals from crypto trading groups and market experts. Each signal on the marketplace gives you a report of past performance and lets you create a hopper with a single click.
Backtesting is the process of simulating a trading strategy against historical price data to determine its profitability and measure its risk. This is extremely helpful as it will give you a much better idea of how it will perform under live trading conditions rather than going into it blind. Backtesting can also give you insights on tweaks needed to make a trading strategy perform better than buying and holding and asset.
Creating a backtest with Cryptohopper is extremely simple, just click on the “Backtesting” tab and select the hopper you configured earlier to get started. Once the test is finished running, it will give you a report detailing a strategy’s profit, number of trades, and average holding time.
Unlike many other crypto trading bots, Cryptohopper offers a free trial and a subscription model that allows users to get started trading without the huge upfront cost. Their subscription pricing is split up into 3 tiers ranging from $19 to $99 a month. Each upgraded tier allows the trading bot to manage more open positions. Here is the full table of pricing options:
Cryptohopper is the perfect tool for novice and expert traders looking to automate their trading strategies.. Their trading dashboard and build-it backtester make it very easy to optimize your strategy to be profitable regardless of a bear or bull market. We recommend that you heavily backtest your trading strategies before trading live.
If you liked this guide and are looking for other crypto trading tools, please check out our Ultimate Resource List For Crypto Traders.
Originally published at www.cryptotrader.tax on May 12, 2018.