On Nov. 15, Bitsgap, a leading provider of automated solutions for crypto trading, released its latest development – the Scalper bot. This high-frequency trading solution is designed for making profits even from the slightest price fluctuations.
Bitsgap presents this new trading bot as a fully automated solution that is capable of generating returns without any human involvement. All traders need to do is to allocate a desirable amount of funds, while the Scalper bot will do the rest.
The Scalper bot utilizes a grid trading strategy with minimal distance between orders to capture the most insignificant market moves and profit from them.
How the Scalper bot operates
To launch a grid bot, it would need both the base and quote assets. Traders, however, may deposit either of them – the bot will automatically buy or sell the required amount to place all orders above and below the current price.
The Scalper bot’s auto trading algorithm picks the optimal price range and sets the required number of grids, with a fixed spacing of 0.07%. This gap is sometimes even less than the most competitive trading fees offered by crypto exchanges.
However, developers claim that all their trading algorithms are designed to take into account trading fees across all 25 supported exchanges and would never execute an unprofitable trade.
Generating returns and compensating losses
The bot’s grid constantly follows the price whether it rises or falls. It allows for not only generating profits when the market is on the rise, but also for cutting losses in case of a price drop.
The Change column in the bot modal view shows a comparison between initial investment volume and their current state. For example, if after launching a bot with an investment of 1,000 USD, the base coin rate decreases and the total assets of the bot are estimated at 1,050 USD, then the Change value becomes + 5%.
In case of a dramatic market fall, the Scalper bot won’t be just sitting there waiting when the price gets back to the trading range, like most of the existing grid bots on the market. Instead, it will follow the price to buy an additional amount of the base currency in order to reduce the overall entry price and hedge risks.
The more severe the price fall is, the more intense the loss compensation from the bot becomes. This allows lowering the break-even point in case a trader decides to cancel the bot or increasing potential gains in case the price gets back to the uptrend.
The Scalper bot unleashes its true profit-generating potential on the sideways market when the base asset trades within a price corridor for a while. In that case, the overall value of their investments doesn’t change much, but the profit from all the market’s minor ups and downs ends up on the users’ accounts.
Scalper bot is free on KuCoin
To make the release even more exciting, Bitsgap has teamed up with the top-5 crypto exchange KuCoin, wherein anyone can try the new bot. The option is available for live trading until Dec. 15 even to those Bitsgap users having no paid subscription.
The Scalper bot is a new addition to Bitsgap’s bot family that already includes trading solutions for any market situation for both spot and futures trading.
The first of them is the Classic bot which is claimed by its developers to be among the best solutions for the rising market. It is followed by the Sbot which offers a more customizable alternative for the Scalper bot. Last but not least goes the Combo bot, which is a sophisticated combination of grid and DCA trading strategies that allow going both long and short when trading on the futures market.