How to Use WunderTrading to Automate Your Crypto Trading

Cryptocurrency trading is still one of the most lucrative investment endeavors for people interested in quickly expanding their portfolios and those who simply believe in the bright future of the digital economy. Many retail traders have found that using automation is the best way of working in the cryptocurrency market.

WunderTrading helps contemporary investors to use a powerful crypto trading bot and optimize profits by carefully tuning its settings. While it is possible to use only basic automation features of the platform to create an efficient automated trading system, you should take a closer look at some intriguing products and services that will be relevant in 2024!

Use the power of artificial intelligence!

One of the biggest advancements made by the developers of the WunderTrading platform is the introduction of an AI-assisted statistical arbitrage system that can be used by all users with a paid account. People adjacent and far away from the world of technology suddenly became aware of expert AI systems in 2023 when companies like ChatGPT and Midjourney showed what their systems are capable of.

Machine learning is efficient enough to make AI systems proficient in creative areas like digital art, text generation, and more. However, it is even more effective at producing systems that are based purely on pattern recognition. Technical analysis is largely based on pattern recognition and uses the historical market data to inform future decisions.

An expert AI system trained on the historical market data will product excellent results as it will be able to identify patterns that are simply too complex for humans to notice. Trading strategies that utilize the power of machine learning will be leaps ahead of any other analytical trading system. It is not a free crypto trading bot, but the price is low enough for all users to experiment with it.

Employ DCA and GRID bots to the fullest extent!

Distributed cost average is a time-tested approach to acquiring assets at a discounted price. The average cost of investment is reduced by breaking down a single large purchase into multiple buy orders placed on a downtrend. In general, it is a way of trying to be as close to a local low as possible while not missing out on a chance to expand a portfolio.

You can use DCA bots to simply buy assets on the spot market. However, if you add a sell order, you will have a system that is triggered by a technical analysis strategy and will close a market position at a certain profitability threshold.

DCA is great, but you may also use GRID bots. These use the same logic as DCA, but place a separate sell order for each new buy order. Together with stop-loss orders, they create a mesh of lines on the chart giving these bots their name. GRID is a great system that has been gaining popularity for the last couple of years. We strongly believe that adding it to your portfolio is a good move.

Experiment with technical analysis methods

An automated crypto trading bots can be quite effective if you understand how to create consistent true positive trading signals. You may simply use the services of highly specialized signal providers or engage in copy trading, but many experts and crypto enthusiasts believe that they can build a better analytical system themselves.

In some senses, it is true. The problem with publicly available trading signals that thousands of people have access to is that the sudden influx of market orders will inevitably skew the prognosis or even sway the market in the opposite direction. By using a unique analytical system, you will often react to these changes instead of trying to beat the competition to an opportunity that delivers diminishing returns with each new market order.

Contemporary bots can be used to automate any type of analytical strategy. Some of the most popular methods of making predictions are:

Capitalizing on price retracements using RSI. Relative Strength Index is great at predicting price reversals and corrections occurring due to overbuying or overselling of an asset in the market. You can “catch” these retracements and make a significant profit on them.

Bollinger Bands breakout trading. BB shows the limits of standard price deviation forming a channel within which the price should fluctuate under normal conditions. When a breakout occurs (the price breaches through one of the bands), it means that the market may change its course.

Identifying strong trends with MACD. Moving Average Convergence/Divergence is a great tool to check the strength of the current strength. In general, when lines diverge, it means that the trend is getting stronger. Placing buy orders along a strong upward trend is often a good idea.

Note that all strategies must be tested before being applied to the real market. If you deploy your technical indicators on the TradingView chart, you may use the “Strategy Tester” tool and check when a system generated a good signal in the past. You will have a good understanding of how efficient your analytical approach will be, but another round of testing should not be ignored.

The WunderTrading platform allows its users to use the back-testing functionality and check how well your bots perform when tested against the market history. This tool checks how well the analytical system works in conjunction with the settings you use for bots on the platform.

Improve your crypto trading efforts with bots

It is impossible to stay relevant in the cryptocurrency market without using automation to at least some degree. You should not rely on automated trading systems and put “all your eggs” in the bot basket, but avoiding these highly efficient tools is a sure way to financial ruin if you plan to work in the world of crypto. Elevate your crypto trading game to the next level with the help from WunderTrading!

If you want to create a reliable source of passive income and trade crypto without being actively involved, using automation is the best course of action.