What would be the best choice than employing a trading bot to perform repetitive crypto trading? In general, a bot itself is powerful. Unsurprisingly, most internet traffic is due to bots that crawl across websites and do repetitive tasks. 

Crypto trading is a process that requires constant monitoring and a timely investment strategy to yield profits. We believe that bots are dedicated to these tasks. When you utilize an Automated trading bot development service, you can create a robust bot on your own. 

Let us look at several successful trading bot strategies you must know beforehand. 

1. Momentum Trading

The technique of performing short trades depending on the daily crypto volatility is known as momentum trading. This method is equivalent to daily trading. Bots using this trading strategy will look for increased trading volume opportunities and make a buy. Entry and exit timings are the two parameters that have to be recognized. 

2. Naive Bayes

This trading strategy uses the help of machine learning. 

Naive Bayes is a perfect add-on for another trading strategy to help refine your trading. 

3. Coin Lending Bots

Popularly, coin lending is one of the profitable ways of trading. In this method, one can earn cryptocurrencies by lending coins to margin traders. 

When done manually, it will take so much time to set parameters for each margin cell. On the other hand, bots can simplify this work and do it within a short time. 

4. Dollar-Cost Averaging

In this trading strategy, the bot will wait for downward momentum. For example, it will buy 5 assets for $20, 10 assets for $15, and then 15 assets for $5. Now, the bot will have 20 assets worth $40. 

Afterward, the bot will sell these assets when the momentum reverses. Ultimately, anything beyond the spent $40 will be a profit. 

5. Market Maker Bots

These bots sell higher price coins and buy lower-priced ones. Market maker bots will take advantage of the market’s volume, time, and prices of assets. These bots sell higher price coins and buy lower-priced ones. Such bots will work 24/7 and attempt to earn profits by placing orders outside the spread. 

6. Arbitrage Bots

A bot that performs the arbitration process is known as an Arbitrage trading bot. These bots monitor the price differences across different exchanges and suggest buying/selling accordingly. However, the opportunities are smaller with this method. 

7. Grid Trading Bots

An upper and a lower limit will be set to a bot. Smart Contracts will self-trigger either buy or sell as per the pre-coded commands when the price of an asset falls into the specified range. 

When utilized correctly, a crypto trading bot can yield a sure-hit profit.