Bitsgap Bot Trading Tips

Mindset - Rules

1. Buy low, SELL HIGH
2. NEVER BUY INTO THE GREEN (FOMO BUY) - the market will always correct itself (dip)
3. Buy the DIP (red candles)
4. Set up your stop losses (to mitigate potential losses)
5. Decide your take home profits on each trade (this comes with experience- 5-20% is a good ballpark #)
6. NEVER PANIC SELL (if the market dips- DO NOT SELL. - this excludes stop losses as this is a protective measure/strategy)
7. Understand your buy zones and your sell zones
8. Set up proper support and resistance line
9. DO NOT PUT entire life savings into shitcoins
10. News and hype outweighs fundamentals and technicals

In a perfect world this is how it should be. This is where learning how to chart comes into play. Or you can listen to some experts here.

Centralized Exchanges

First, you want to sign up for these accounts listed below. Sign up for coinbase as your main exchange… Then sign up for all the ones below.

1. Coinbase ← click for ez sign up use referral link to get free $10 when you deposit money
2. Binance ← Click for ez sign up
3. Voyager ← Click for ez sign up - use referral code for free $25 btc “BAL2F9”
4. Crypto.com ← Click for ez sign up - use referral code for free $25 btc “BAL2F9”
5. Kucoin ← Click for ez sign up - use referral code “rJ5L174”

Coinbase + Binance + Kucoin

Coinbase will be the main exchange where you will be sending and receiving coins. Binance, once approved can become your second exchange as it is one of the larger trading volume exchanges. And lastly, Kucoin is a great place to trade due to it’s trading volume. 

Conservative Investors Earn interest

Voyager, crypto.com and a few other crypto exchanges allows earning interest on crypto you hold within these exchanges. If you want to grow your coins then leave it in these exchanges as you will earn interest. Pretty low risk.

Wallet basics

You can store your crypto in centralized exchanges Such as Binance, coinbase, kucoin etc... (not really the best- you will eventually want to transfer it to a cold storage [harddrive/flash-drive]) or you can use a desktop wallet such as atomicwallet. 

For now, we will keep everything in our exchanges since we are going to conduct trades within the exchange. One thing I want to let you know ahead of time is every transfer to a different wallet/address will cost some money. (ETH will charge high gas fees so be careful when trading or transferring ETH)

Trading fees

You should get familiar with the trading fees that take place every time you buy and sell crypto on an exchange. At the time of writing this, Binance has a maker and takers fee of .075% and gets less the higher volumes you trade.

Coin base has a 0.05% makers/takers fee. here

Though Coinbase has lower fees, they do not have much trading volume compared to binance. You can check out the marketgrowth at coinmarketcap.com or coingecko.com

14 Free trial ← click for ez sign up.

Now we get to the juice part. We will be using this bot for our crypto trades. Bitsgap has many features in it but we will only focus on bot trading for now since this process is pretty automated once you get it started.

After watching the training video- make sure you follow these steps below. Once you get through the process- setting up and re-optimizing the bots will be a breeze.

1. Pick Bot (classic or sbot)
2. Pick your exchange (binance.us is a great place to start since it usually has more trading volume.) [To check trading volume and market growth go to coinmarketcap.com
3. Pick your pair (base/quote) E.g BTC/USD (The quote is what you are accumulating more of.
4. Conduct your technical analysis (Analyze the patterns and behavior for each coin-pair. Check the news on each coin and what potential catalyst can cause the coin to shoot up.)
5. Set your trade range (support and resistance) 
6. Set your grid levels and grid steps (I prefer to keep a very tight to medium sized grid levels 20-35 and small grid steps below 0.10-1.00)
7. Hit start
8. Make Da Munniez
9. Rinse and repeat

My suggestion is to do demo trades till you get really comfortable setting up bot trades. From there, you can pick your winning trades and turn it into a live trading bot.

Bot Profit & change% both take fees into account.

Real Profit = “Initial Investment $” * “ Change %”

just keep in mind that doing grid trading has some differences from spot/margin trading:

The Grid Trading strategy is different then regular Spot trading.

In traditional spot trading you open a position at a given price and then close it at a close price.

Simple; either you make profit if the close price is higher than the open price, or you make a loss if the close price is lower than the open price.

There are a few fundamental differences In grid trading strategy:

- The Open/Close prices are just a small factor to take into account, more important is the journey that the price took to get from Open price to Close price.

- The “Position” amount  changes with every Buy/Sell transaction.

- The “Average Open Price” changes with every Buy/Sell transaction, otherwise called “Dollar Cost Averaging.

- The “$ Value” of the “Position”; ie “Quote” & “Base” allocated to the bot, changes with every Buy/Sell transaction and  “Quote” & “Base” Price change.

- “Quote” and “Base” can both be variable if using /BNB, /BTC, … pairs.

These fundamental differences impact the actual profit that bots will generate.

Additional things that will have an impact on Bot Profits are:

- Avoid random bot start, rather aiming for a low support price range.

- Avoid closing with Market orders as you could be selling at even more loss.

Bot Status

"Active"  - bot is active & running Normally

"Range"  - bot is out of range (either top or bottom)

"API issue"  - exchange API key is not working (exchange down or broken Key)

"Pump"  - protection against quick price pumps is active

"Trailing"  - Trailing Up has been triggered and in progress

Scaling up Strategies

You’re making great munnies. But now, you want to make more. How? You have a couple of options:

1. Add more trade bots
   1. Add similar base pairs with different quote pairs: E.g ADA/USD is doing well. You can try ADA/USDT, or ADA/BTC, etc.. though risky will also potentially give more yields.
2. Put more money into the current Pair. You may have to restart the bot (do not sell your current loads) you are rebuying in with more invested into the trading pair. ( I prefer this route)