Crypto Trading Bots to Consider in 2024

Crypto trading bots have become an essential tool for crypto traders. By automatically evaluating and executing trades within seconds on your behalf, these tools can allow you to capitalize on opportunities in the fast-moving cryptocurrency market without needing constant intervention.

With many crypto trading bot platforms available, choosing one that offers features that align with your investing objectives is important.

Let’s go through the key features you should look for in a crypto trading bot platform and explore which platforms will offer them in 2024.

What is a Crypto Trading Bot?

A crypto trading bot is a program that automatically executes trades based on pre-built strategies. These strategies consist of rules that trigger buy or sell orders based on market conditions, such as movements, volume, or trends. By continuously evaluating the rules and executing the corresponding trades, these bots automate some of the manual work that traders would otherwise have to do.

What are the Benefits of a Crypto Trading Bot?

Crypto trading bots offer a range of benefits that could improve your trades to take greater advantage of market opportunities. Here are a couple of the key benefits:

• Control Over Rules: Traders can customize their bots by defining strategies and setting their underlying rules. This allows traders to adjust their bots’ functionality to match their unique trading preferences and goals.

• High-Speed Trading Efficiency: Bots can process large amounts of data, evaluate strategies, and execute trades within seconds. In the fast-moving cryptocurrency market, this speed can be the difference between seizing or missing out on market opportunities.

• Backtesting Capabilities: Many bots offer built-in backtesting features, allowing traders to test their strategies using historical data. This provides valuable insights, enabling traders to refine and optimize their strategies before executing them in live market conditions.

• Risk Management via Systematic Approach: Emotions can often lead traders to make subjective decisions. Bots help mitigate this risk by following a systematic, objective approach to trading, executing trades strictly based on the pre-built strategy.

7 Key Features to Consider When Choosing a Crypto Trading Bot

Consider the following key features when choosing a crypto trading bot platform:

1. Free Trial: Consider platforms that offer a free trial. This is a wonderful way to explore its features before committing. However, the free trial may not unlock access to all features of the platform.

2. Fees: Fees diminish your returns, so consider a platform where the fees are clear, transparent, and justifiable based on the returns you expect to generate. Be aware of platforms with complex or hidden fees, and be cautious of those that charge additional fees to unlock additional features, as you may be charged more than expected.

3. Access to Pre-Built Strategies: Review platforms that allow you to access strategies from other users, allowing you to copy them or draw inspiration for creating your own.

4. Backtesting: Consider platforms that offer backtesting. Backtesting allows you to test your strategy using historical data. This can be helpful when creating or finding a strategy that fits your investing goals and objectives. While historical data does not guarantee future results, it may provide helpful insights to refine your strategy.

5. Customization: Consider platforms that allow you to customize your strategy to match your objectives. Look out for limitations that platforms may impose, such as restrictions on the number of strategies or rules you can implement, and be aware that platforms may charge additional fees to remove limits.

6. Ease of Use: Some bots require advanced programming skills to set up and customize. Consider platforms that are easy to use. It should be intuitive so that you can focus on developing and executing your strategies rather than troubleshooting. Also, a friendly design makes it easier to create new strategies and understand the logic behind why trades have been triggered.

7. Encryption and Security: Encryption and Security cannot be overlooked, and it is vital to consider a platform that does not neglect them. Look for platforms that offer security measures, such as multi-factor authentication. Ensure that the platform provides transparency regarding how your holdings are stored and managed and who the ultimate custodian of your assets is.

Crypto Trading Bot Platforms for 2024

Composer

As a no-code platform, Composer is easy to use as it allows users to create and customize strategies without any advanced programming skills.

Unlike many other platforms, Composer charges zero subscription fees for automated crypto trading, reducing the costs that can cut into user’s returns. Additionally, we believe the 20bpstrade commission it charges is reasonable compared to other platforms.

Composer provides access to a catalog of pre-built strategies, enabling users to learn from and leverage the strategies of others. It also allows users to create highly customizable strategies from scratch without restrictions on the number of strategies or rules one can implement. Composer also stands out for its “create with AI” functionality, which allows users to create strategies seamlessly with AI. Its unlimited, powerful backtesting tool allows users to “test before you invest,” providing them with insights to refine and optimize their strategies at no additional cost.

Composer also offers the ability to create stock trading bots for a monthly subscription fee of $30/mo, allowing users to leverage the platform for both stock and crypto trading bots. Overall, Composer provides all levels of traders with an accessible suite of tools to create, test, and implement strategies to meet their objectives.

3Commas

3Commas offers intuitive tools that connect to 23 exchanges, including Binance, CoinbaseAdvanced, Kraken, etc., without programming experience.

While its zero subscription fee tier allows users to utilize bots for up to three strategies, users will incur high subscription fees to unlock bots for unlimited strategies. Although 3Commas offers pre-built strategies with plug-and-play settings, customization is limited, preventing users from creating their own strategies from scratch. These constraints may hinder a trader’s ability to tailor their portfolio to meet their objectives fully.

Pionex

Pionex is a no-code platform that offers access to pre-built strategies and backtesting. It charges zero subscription fees and a reasonable 5 basis points commission on trades. However, while it allows access to pre-built strategies with plug-and-play settings, customization is limited as it only allows users to trade 16 pre-built bots, and users can't create their own strategies entirely from scratch. Overall, Pionex may be an option for beginner traders but lacks the customization advanced traders may look for when tailoring their portfolios to meet their objectives.

CryptoHopper

CryptoHopper allows access to pre-built strategies and backtesting. It connects to 16 exchanges, including Coinbase Advanced, Binance, Crypto.com, KuCoin, ByBit, Kraken and more.

While its zero subscription free tier enables manual trading and copy bots, users must pay a subscription fee to unlock access to creating their own strategies. Further, while CryptoHopper provides access to pre-built strategies from others, it comes at an additional fee per strategy. Their highest subscription tier limits the number of strategies, rules, and positions users can have.

Shrimpy

Shrimpy offers access to others’ pre-built strategies and has an intuitive interface that can be used to execute trades on many of the major crypto exchanges, including Binance, BittrexGlobal, Coinbase, Gemini, Kraken and others.

Shrimpy’s zero subscription fee tier only allows users to trade on one exchange and automate one portfolio. To unlock trading in portfolios across multiple exchanges, users will need to pay a subscription fee. There are still limits on the number of strategies a user can implement and the number of backtests a user can run daily.

Coinrule

Coinrule offers a no subscription free tier that is fairly limited, with access to 7 pre-built strategies and the ability to connect only one exchange. Like Shrimpy and 3Commas they connect to many of the major exchanges, including Binance, Coinbase, Bitpanda and Kraken. Like Composer, they also have a unique bot-builder tool that allows you to create your own trading conditions using the If-This-Then-That logic.

Coinrule’s high subscription fee tiers allow access to trading on multiple exchanges, access to others’ pre-built strategies at additional cost, and access to an increased number of pre-built strategies with plug-and-play settings. To unlock unlimited strategies, indicators, and exchanges, users will have to select their “Fund” subscription fee tier, which we believe is expensive at $749/month.

The choice is yours

Crypto trading bots can save time, reduce errors, and reduce the impact of emotions. However, your decisions, the parameters you set, and your chosen platform will determine your success.

Although you could technically set and forget strategies, you must perform maintenance and tweak strategies to account for market changes.

Composer stands out as a crypto trading bot platform as it offers the ability to backtest, customize without limits, and access to others strategies on an easy-to-use interface with zero subscription and 20 bps commission fees.

Ultimately, the choice is yours - the crypto trading bot platform you choose should fit your own preferences. Becoming comfortable with the platform you use can enhance your chances of success.

Ready to get started? Start your crypto trading bot journey with Composer.