Redditor surfaces a crypto trading bot project that places orders based on Binance’s announcements for free.
A Redditor that describes himself as a crypto trading bot coder under the handle u/CyberPunkMetalHead announced that he created a bot to place orders on new listings based on Binance’s announcement on the listing.
The creator has worked on the trading bot for two months before finally putting it up for use. It’s always incredible the creativity and ingenuity crypto will show produce.
“My inital [sic] idea was to create a crypto trading bot in Python, that constantly checks if a new listing is added on Binance, essentially by checking the total number of coins at any given time. I tried out different variations on this, end even increased the speed to buy within 0.1 seconds on a new coin being listed,” the Reddit post from Oct.20th on r/cryptocurrency reads.
The trading bot was initially created to check on new listings on Binance but soon realized that the actual activity happens on the announcements. Instead, buying a newly listed coin is likely the time of buying at its peak.
The Trading Bot
At the initial stages of the project, the Redditor managed to improve the trading bot’s ability to place trades upon listing from 20 seconds to 0.1 seconds. In this case, the bot would execute the buy trade at the local peak upon listing.
Upon the realization that it would make more sense for a sell order to be executed, he created an automated e-mail notification for a new listing.
A primary part of the strategy was deployed by using Gate.io, an exchange with more relaxed listing requirements than Binance. Hence, coins that will be listed on Binance are already listed on Gate.io.
Setting Up the Bot
Some tasks and prerequisites must be prepared to set up the trading bot. The user must have the following:
A Gate.io account
A Raspberry Pi/VPS or allow the laptop or desktop to run around the clock
Some knowledge of Python
Basic Git skills
The step by step guide is as follows:
1. Download the repository file on Github
2. Open a Gate.io account and complete the Know-Your-Customer (KYC) procedures
3. Generate Application Programming Interface (API) keys under API Management
4. Give permission to read and write Spot trades but restrict the IP address to your IP address only for added security
5. Open cmd/ terminal and navigate to the directory of your bot. You will need to install the requirements in requirements.txt using pip
6. Open the auth/auth.example.yml file and paste in your API key and Secret. Save the file as auth.yml (remove .example)
7. Open config.example.yml and adjust the configuration options
The user can set the basic perimeters, including the amount for trade, currency of
choice, stop-loss, take-profit, trailing profit, and trailing stop loss. In the end, save the file as config.yml, and the script is ready to run using main.py.
Not for Everyone
Although the arduous task of creating the trading bot and strategizing the point of execution have been thought out by the creator, setting up the bot even with the step-by-step guide may not be easy to task for some.
Having an automated process in place will be an added advantage to a trader. For the unacquainted, trading on centralized platforms based on fundamentals and research is the more viable alternative. The results still remain to be seen.
“I’m currently waiting for new annoucements to test out the profitability and will report back. For anyone interested in the project or who may want to test this out themselves,” added u/CyberPunkMetalHead.
Source : bsc.news
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