How to Use WunderTrading Binance Trading Bot to Automate Your Trades

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Over 65% of all individual retail traders and up to 99.5% of institutional investors rely on various forms of automation. Using a Binance trading bot can be extremely efficient and profitable for experienced investors who understand technical analysis on a deep level or have enough time to dedicate to learning how to use advanced technical indicators and sophisticated analytical systems to generate consistent trading signals.

What do you need to build an Automated Trading System (ATS) for Binance?

In general, Binance does not differ from other centralized cryptocurrency exchanges. It offers similar functionality in terms of API connectivity. Many automation vendors like WunderTrading can easily connect to the exchange to place orders. If you have an account at Binance, simply find API keys in the control panel for your account and use them to connect the necessary trading accounts to WunderTrading.

There are two main things that you will need to run an ATS:

• Signal generators. You may choose various providers of trading signals without exploring the rich world of technical analysis. This method can work if you find a good provider, but the vast majority of experienced users prefer building their own TA trading strategies and deploy them on TradingView, a popular charting tool, which will produce trading signals for bots.
• An automation platform. WunderTrading is a great destination for retail traders and institutional investors interested in using the most capable bots in the crypto domain. WunderTrading has a wide range of products like DCA and GRID bots, AI-assisted statistical arbitrage, copy trading, and more. It can easily connect to an existing Binance trading account via API and quickly place orders on your behalf.

Setting up the connection between WunderTrading and Binance is quite easy. Here is a very simple instruction on how to use a trading bot on Binance:

• Go to the WunderTrading platform and create a new account (login if you have one).
• You will be prompted by the system to connect an exchange account.
• Choose Binance from the dropdown list and add fill in the necessary information.
• Use the API key obtained from the account control panel at Binance to finalize the connection.
• Create a new bot (you can choose Signal Bot) and launch it on Binance.

The simplicity of the process is one of the biggest reasons why many retail traders prefer working with WunderTrading to create Binance bots.

Examples of bots to run on Binance

This centralized exchange excels at everything and delivers a smooth experience to all its users regardless of their preferences and risk styles. It is possible to run all sorts of bots on this CEX platform. The vast arsenal of automation tools at WunderTrading afford you an impressive assortment of solutions to use for Binance bot trading.

Here are some interesting ideas to work with:

• DCA bots. Distributed Cost Average is an old approach to acquire assets at a discounted price (compared to bulk buying) by dividing a single purchase into a series of smaller orders spaced across a relatively long period of time to allow prices to fluctuate. On the most basic level, DCA works as a way to systemize the acquisition of assets. However, you can also use it to open multiple market positions to maximize potential profits. DCA bots do exactly that.
• GRID bots are slightly more complex versions of DCA bots. GRID refers to the intricate network of lines that appear on the price chart after GRID bots place multiple orders protected by stop losses and take profits. The horizontal lines of SL, TP and entrance price cross vertical lines (time stamps on the graph indicating the moment of position creation) form a grid giving bots their distinctive name.
• AI-assisted trading. WunderTrading is experimenting with implementing machine learning and expert artificial intelligence systems in their product lineup. The most interesting product is a bot running a complex system of statistical arbitrage powered by a powerful analytical AI system. You don’t need to spend too much time tweaking the system, it works autonomously and produces fairly good results by working in a risk-aversion style of portfolio management.
• Custom bots. Many crypto enthusiasts prefer using their “home-cooked” analytical systems or rely on solutions created by power users of the TradingView platform. Custom analytical trading strategies can be quite effective at cryptocurrency trading. If you have a good analytical approach that generates reliable signals, it can be automated on Binance without any issues.

After you establish a connection between Binance and WunderTrading, you can use all available automation products. Aside from bots mentioned above, you can also engage in copy trading and choose from hundreds of experienced retail traders on the marketplace. There are new solutions for investors developed every next couple of months.

Should you use bots on Binance?

In 2018, the share of automation in the crypto market reached 90%. It means that the overwhelming majority of market positions opened by individual and institutional investors are placed by various automated trading systems. It seems close to impossible to avoid using bots if you plan to actively trade cryptocurrencies.

People investing in tokens to hold them indefinitely or those who are interested in staking, lending, and other forms of investing in the crypto market may not care about automation. However, retail traders, who want to make money by trading tokens, must use bots to not lag behind the competition.

Binance will remain the most popular destination for retail trading in 2024 regardless of what will happen in the industry. WunderTrading is one of the best choices for people interested in automating their trading efforts on the Binance platform.