The rise of crypto bots has opened the era of automated work. Both beginners and profi users are more and more asking – How to use crypto bots? We will tell you about it using the example of the most popular exchange Binance and how to create binance trade bot through crypto automation platform Wundertrading.
A crypto exchange is an online trading platform where cryptocurrencies are traded: sale, purchase, and exchange. As a rule, an exchange must meet a number of requirements:
- Provide reliable protection and high speed of transactions executed on it.
- Offer a particular set of traded pairs of cryptocurrencies – the more, the better.
- Charge a certain fee for the services provided – the less, the better.
Recently, such exchanges appear more and more often. However, among them, there is a leader who sets the trend in the cryptocurrency industry. This is Binance.
Why is Binance so popular?
Immediately after its opening, Binance began to gain popularity among crypto traders. This was largely due to the clever actions of its founder, Changpen Zhao. He set the loyal commission terms right away, connected a large trading toolkit, and launched a successful advertising campaign for his brainchild.
At first, Binance specialized exclusively in digital assets. Subsequently, in November 2019, the creators of the exchange opened the possibility of working with fiat. Another feature of the platform was the phenomenal transaction speed: almost a million and a half transactions per second. In addition, Zhao introduced very favorable commissions and trading commissions, which attracted a large number of traders to the exchange. The user-friendly interface also had an impact on the popularity of Binance.
Why use bots to make money in Binance?
Trading on Binance exchange happens 24/7, so it is impossible for an ordinary person to constantly monitor the situation on the cryptocurrency market. As a result, a trader starts to make mistakes that lead to losses of money. Trading robots can help to cope with this problem.
This is software that can take most of your work in cryptocurrency trading. It knows no fatigue, makes no human errors, and has no emotions. No wonder google “How to use bots for crypto trading?” is one of the most common search terms.
Simply put, using bots on Binance will get rid of your trading routine, thus increasing the percentage of profitable transactions.
How to use trading bot on Binance?
One of the best ways to automate your work on Binance is using WunderTrading bots.
WunderTrading is an automated crypto trading platform with many useful tools for traders’ work. One of its distinctive features is trading robots that allow you to implement almost any trading strategy.
Let’s take a look at how to set up trading bot on Binance.
- Create a WunderTrading account
Working with WunderTrading starts with creating an account. This process is quite simple. All you need to do is click the Get Started button on the website, enter your name, and email address, create a password, then confirm your email with the link sent to it.
We recommend you go to the settings, Security tab, and activate two-factor authentication. To do this you will need to download the Google Authenticator app on your smartphone. Although you will most likely already have it – similar security measures are used in almost all cryptocurrency exchanges.
- Connecting to a crypto exchange
The next step is to connect WunderTrading with your Binance account. The linking is done by API technology.
API (Application Programming Interface) is a set of components with which one software can communicate with another.
Connection is realized as follows:
- After logging into your Binance account, click on the user icon and select “API Management”.
- Create a name for your API key and click “Create API”.
- Pass the security check with your registered 2FA devices.
- Your API connection has been created. Please keep your secret key in a safe place, it will not be displayed again. Do not share your key with others. If you forget your secret key, you will need to delete your current API connection and create a new one.
- Go back to Wundertrading, open the “My Exchanges” section, and click “Add” under “API Profiles”.
- Choose the desired exchange (in this case Binance), and enter the name of the account and API keys – main and secret, copied earlier on the exchange.
This completes the API connection to the exchange.
- Creating and launching the bot
You can create such a bot on WunderTrading in the “Bots” section. Go to it and click “Add”.
Carefully configure all the parameters of the Binance trade bot according to your trading strategy. The main settings that you should pay attention to are:
- Trading pairs to make deals.
- Type of orders – limit or market.
- The volume of each position – can be specified as a percentage of available money.
- The setting of Take Profit and Stop Loss.
There are many more Parameters that you can put in the trading robot. Besides, you can use robots to implement your own strategy developed on TradingView. It is easier for beginners to use ready-made templates.
Once you are set up, all you have to do is press on the “Start Trading” button.
Now you know how to use bots to trade cryptocurrency. As you can see there is nothing complicated about it, and even a novice user can cope with them.