What are Trading Bots?
Trading Bots allow Crypto.com Exchange users to profit or build their positions by automatically placing orders based on pre-set parameters. By setting up a Trading Bot, users do not have to constantly monitor market activity. The Crypto.com Exchange now offers the Dollar-Cost Averaging (DCA) and Grid Trading Bots.
What are Grid Trading Bots?
Grid Trading Bots are programs that allow users to automatically buy low and sell high within a pre-set price range. When one sell order is fully executed, the Grid Trading Bot instantly places a buy order at a lower grid level, and vice versa. The Grid Trading strategy performs best in volatile markets, making profits through a series of orders as a token’s price fluctuates.
How does the Grid Trading Bot work?
The Grid Trading Bot automatically buys low and sells high based on the parameters you have set. For example, a user has set up the following Grid Trading Bot:
Trading Pair: BTC/USDT
Lower Price Limit: 63,000
Upper Price Limit: 66,000
Market Price: 63,900
Number of Grids: 6
Investment: 30,000 USDT
Six grids with an equal spread will then be created. I.e. (66,000 - 63,000) / 6 = 500
Timepoint #1
After a Grid Trading Bot is successfully created, buy orders at the lower price of each grid will be placed immediately.
Since the lower price of the first three grids are greater than the market price of 63,900, these four buy orders are immediately executed. Then, the sell orders would be triggered at the upper price of the grid.
Grid | Price | Side | Status | Time Point | Spread |
1st | 65,500 | Buy | Filled | At creation (filled at 63,900) | (66,000 - 63,900) = 2,100 |
1st | 66,000 | Sell | Unfilled | After buy is filled at creation | (66,000 - 63,900) = 2,100 |
2nd | 65,000 | Buy | Filled | At creation (filled at 63,900) | (65,500 - 63,900) = 1,600 |
2nd | 65,500 | Sell | Unfilled | After buy is filled at creation | (65,500 - 63,900) = 1,600 |
3rd | 64,500 | Buy | Filled | At creation (filled at 63,900) | (65,000 - 63,900) = 1,100 |
3rd | 65,000 | Sell | Unfilled | After Buy is filled at creation | (65,000 - 63,900) = 1,100 |
4th | 64,000 | Buy | Filled | At creation (filled at 63,900) | (64,500 - 63,900) = 600 |
4th | 64,500 | Sell | Unfilled | After Buy is filled at creation | (64,500 - 63,900) = 600 |
5th | 63,500 | Buy | Unfilled | Buy order placed |
|
6th | 63,000 | Buy | Unfilled | Buy order placed |
|
Timepoint #2
The market price starts building momentum and hits the upper price of the fourth grid at 64,500. A sell order is executed and the Bot immediately places another buy order. Here, the bot has earned a profit of 47.62 USDT.
Grid | Price | Side | Status | Time Point
| Spread |
1st | 65,500 | Buy | Filled | At creation (filled at 63,900) |
|
1st | 66,000 | Sell | Unfilled | After Buy is filled at creation |
|
2nd | 65,000 | Buy | Filled | At creation (filled at 63,900) |
|
2nd | 65,500 | Sell | Unfilled | After Buy is filled at creation |
|
3rd | 64,500 | Buy | Filled | At creation (filled at 63,900) |
|
3rd | 65,000 | Sell | Unfilled | After Buy is filled at creation |
|
4th | 64,000 | Buy | Filled | At creation (filled at 63,900) | (64,500 - 63,900) = 600 |
4th | 64,500 | Sell | Filled | Profit Generated | (64,500 - 63,900) = 600 |
4th | 64,000 | Buy | Unfilled | Buy order placed after Sell | (64,500 - 63,900) = 600 |
5th | 63,500 | Buy | Unfilled | Buy order placed |
|
6th | 63,000 | Buy | Unfilled | Buy order placed |
|
Timepoint #3
The market price drops to the lower price of the fifth grid at 63,500. The buy order then executes and triggers a new sell order at 64,000, the upper price of the same grid.
Grid | Price | Order | Status | Time Point
| Spread |
1st | 65,500 | Buy | Filled | At creation (filled at 63,900) |
|
1st | 66,000 | Sell | Unfilled | After Buy is filled at creation |
|
2nd | 65,000 | Buy | Filled | At creation (filled at 63,900) |
|
2nd | 65,500 | Sell | Unfilled | After Buy is filled at creation |
|
3rd | 64,500 | Buy | Filled | At creation (filled at 63,900) |
|
3rd | 65,000 | Sell | Unfilled | After Buy is filled at creation |
|
4th | 64,000 | Buy | Filled | Buy order placed at (64,000) |
|
4th | 64,500 | Sell | Unfilled | After buy is filled above |
|
5th | 63,500 | Buy | Filled | Buy order placed at (63,500) | (64,000 - 63,500) = 500 |
5th | 64,000 | Sell | Unfilled | Sell order placed after Buy order | (64,000 - 63,500) = 500 |
6th | 63,000 | Buy | Unfilled | Buy order placed |
|
The Grid Trading Bot will continue to place and fill buy and sell orders depending on the pre-set intervals. If the market price exceeds the grids’ limits, no orders will be placed.
Please take note that the potential returns per grid should not be regarded as a guarantee of future return. For example, in a downtrending market, buy orders may be placed based on your pre-set parameters, and you could be holding filled buy positions until such time that the market builds momentum again and the corresponding sell orders are placed and filled. Please read the Terms and Conditions, Risk Disclosure Statement and this FAQ carefully before you use the Bots.
How do I create a Grid Trading Bot?
Any verified Crypto.com Exchange user which is not restricted from Spot Trading can create a Grid Trading Bot. There are two ways to create one: Auto and Manual. The Auto method has pre-set parameters, allowing less experienced users to create a Bot easily. The Manual method is for advanced traders who wish to fine-tune their Bot by specifying the price range and number of grids.
Before you set up a Grid Trading Bot, you must read and agree to the Terms and Conditions, Risk Disclosure Statement, and this FAQ.
Navigate to any of the following pages to create a Grid Trading Bot for the Spot market:
Select a trading pair that you would like to create a Bot for. Here, you can select either the Auto or Manual method to create your Bot.
A. For the Auto method, you will need to set the following parameters:
Quote Currency - The token that is used to value the base currency
Total Investment - The total amount you would like to invest (in your chosen base currency)
Base Currency - The token that your Quote Currency will be traded against. Both currencies must form a trading pair that exists in the Crypto.com Exchange.
The price range and a number of grids will be automatically filled based on the latest weekly data of your chosen trading pair. Please note that the weekly data shown should not be regarded as a guarantee of future return.
B. For the Manual method, you will need to set the following parameters:
Mode:
Arithmetic - Each grid has an equal price difference
Geometric - Each grid has an equal price difference ratio
Lower Price - The bottom of the grid trading price range. When the market price drops below this figure, orders will not be executed.
Upper Price - The top of the grid trading price range. When the market price rises above this figure, orders will not be executed.
Grid Number - This dictates the frequency of trades and the width between each limit order
Total Investment - The total amount you will like to invest (in your chosen base currency)
Advanced Settings (Optional)
Stop Loss Price - This amount should be below the lower price. When the market price hits the Stop Loss Price, the Grid Trading Bot will sell a pre-set portion of the base currency at the market price to cut losses for the user. The Bot will then be automatically terminated.
Take Profit Price - This amount should be above the upper price. When the market price hits the Take Profit Price, the Grid Trading Bot will sell a pre-set portion of the base currency at the market price to take profit for the user. The Bot will then be automatically terminated.
1. Once all the parameters have been filled in, tap ‘Proceed’ and your Grid Trading Bot will be finalised. You will then receive a confirmation prompt for your new Bot. At this stage, you can set a name for your Bot as well.
2. Read the Exchange T&Cs, these FAQs and the Risk Disclosure Statement. Confirm that you have read and agree to these documents after reviewing them.
3. You have successfully created a Grid Trading Bot. You may view its full details by navigating to Dashboard > My Bots > Grid
Can I margin trade with the Grid Trading Bot?
Yes, you can. However, please note that this is only eligible for users who are not in the jurisdictions listed here.
Here’s how you can margin trade with your Grid Trading Bot:
Toggle On for Margin
Here, you will be able to see the available margin balance you can use to create your Grid Trading Bot
Where can I view my Grid Trading Bot orders?
To view the performance of your trading bots, navigate to your Dashboard. Here, you will be able to see a snapshot of all your active trading bots and their overall P&L.
To view your Grid Trading Bots in detail, navigate to My Bots > Grid Bots. In this page, you can filter your Grid Trading Bots to show which are still active and which have ended.
3. These details will be displayed on this page:
Most Profitable Bot
Total PnL
Grid Bot Name
Trading Pair
Total Investment
Accumulated Tokens
Total PnL
Grid PnL
Active For (displays the time period that the Grid Bot has been active for)
Actions:
Edit Bot
End Bot
4. If there is a Grid Trading Bot that you would like to view in greater detail, simply click the row for that particular Grid Trading Bot that you wish to get more information on. Here, you can see the transaction history of that particular Grid Trading Bot.
How do I edit my Grid Trading Bot?
From your Dashboard, navigate to My Bots > Grid Bot.
Select a Grid Trading Bot that is currently active.
Click Edit.
4. A prompt will pop up and the following are parameters that you can update:
Bot Name
Stop Loss/Take Profit Price (*this is only applicable for Grid Trading Bots that were created with the Manual method)
5. Once complete, click Proceed. You will then see a summary of the updates you made. After you have reviewed the details, click Confirm.
Can I terminate my Grid Trading Bot?
Yes, you can terminate your Grid Trading Bot before its End Date. Here’s how:
From your Dashboard, navigate to My Bots > Grid.
Select a Grid Trading Bot that is currently Active.
Click Actions > End Bot.
A confirmation prompt will then appear, along with your selected Bot’s details.
Here’s what you can do with the tokens the Bot earned:
Retain them in your Wallet
Sell all the accumulated tokens - this will be automatically sold on the spot market at the market price
3. After selecting an option, click End Bot.
I see a Pause status on my Grid Trading Bot. What should I do?
If you see that your Grid Trading Bot is paused, this could mean your wallet has an insufficient balance, hit a margin call or forced liquidation, or encountered a system error.
If this happens, here’s how you can resolve it:
Contact us at chat.crypto.com to request to resume your Grid Trading Bot and retain its PnL. Bots can only be resumed if the user has sufficient funds and are no longer under margin call or forced liquidation.
Terminate the paused Bot and create a new one
Does the Grid Trading Bot have any fees?
There are no additional fees for using the Grid Trading Bot.
The fees incurred are the same as a manual limit order for a Spot trade. There is also the option to pay your trading fees in CRO.
To view the fees incurred from the Grid Trading Bot, refer to the Spot Transaction History page.