Grid Bots is to keep buying when the price is low and then keep selling when price is up. In this way, when the price fluctuates up and down, you can keep buying low and selling high within the grid range to earn profits by repeated actions.

Why is it called Grid?

Grid Bots divide the price of a portfolio into a grid like a fishing net, with a highest price and a lowest price. Then the entire grid is divided into several equal subgrids of different prices, with the bid and ask price of each subgrid line. Then when the underlying price reaches a certain line of the grid, the bot will auto buy or sell.

How Can I Profit From Grid Bots?

Suppose the trading bot sets a buy order every $5 below the current price; when the price keeps falling and reaches the buy price of the order, the bot will auto place the order; whenever an buy order is placed, the bot will immediately place a sell order at a slightly higher price; when the price rises again, the sell order will be sold with a slightly more profitable price; in this way, you can earn the profit from the price fluctuation.

Please note!

Please note: When price keeps falling, a temporary floating loss to the total position may occur as a result of continuous buying; a profit will be generated when the sell price is higher than the cost price. If a stop-loss price is set, the grid bots will be terminated if the price reaches the stop-loss price. When the price rises and breaks the highest price, the bots will stop running until the price is back to the set price range. Likewise, if the user sets a take-profit price, the grid bot will be terminated if the price reaches the take-profit price.

Smart Rebalance

Smart Rebalance is a type of trading bot derived from the Coin-M investment mindset.

What is the Coin-M investment?

When investors are bullish on the long-term development of the blockchain industry and believe certain coins (such as BTC and ETH) have long-term holding value, they will trade with the purpose of increasing the holding of these coins, rather than focusing on the short-term rise or fall of the USD value of their holdings.

With the passive trading mode of Smart Rebalance, you can gradually increase your holdings as the price fluctuates. Specifically, in your portfolio, you set a target asset allocation, for example, 40% for BTC and 60% for ETH. When the allocation percentage becomes 45% for BTC and 55% for ETH due to price fluctuations, the bots will auto sell some BTC to buy ETH, bringing back to the target asset allocation.

Is it really possible to increase holdings?

Example

Suppose when you started your smart re-balancing portfolio, you had 1 BTC and 20 ETH, and the BTC price was $10,000 and ETH price was $1,000; Your asset allocation was 33.3% for BTC and 66.7% for ETH. Later, the price of BTC fell to $9000 and the price of ETH fell to $500. Smart Rebalance was activated to start to buy and sell in order to bring the asset allocation back to the 33.3% for BTC to 66.7% for ETH. After the rebalancing, you had 0.7037 BTC and 25.3333 ETH; Then the price of BTC rose to $11,000 and the price of ETH rose to $1200. As the asset allocation changed, Smart Rebalance was triggered again to auto buy and sell to restore the preset ratio. The number of BTC and ETH would become 1.1558 and 21.1893 respectively

Something magical happens! Compared to the very beginning, the prices of both BTC and ETH increases, so does the number of BTC and ETH you hold!

Spot Signal Tracing

If you have rich trading experience and tend to use technical indicators to capture and predict market movements, you can use signal tracing solutions to create an advanced automatic bot. Without programming, you can easily handle programmatic trading logic, saving your time and effort spent on monitoring the market.

Due to the limit in the trading direction in Spot market (only going long), the signal tracking indicators that can be applied to the Spot now only include: MACD, MACD-RSI, Double Moving Average, Dual Average-RSI.

Spot Martingale

When you think there will be a rebound in a downturn, Martingale Bots can be something you need. The core idea is to buy in batches during a downturn to gradually add positions and lower the average cost. Once the price rebounds, the coins bought earlier will be sold in one go to take profit.

E.g. If you plan to buy whenever the coin price falls by 1%, with a multiplier of 2 and DCA orders of 5, the bot will place an order to buy 2 shares, 4 shares, 8 shares, 16 shares, 32 shares respectively when the coin price falls to 99%, 98%, 97%, 96%, 95% of the initial price. When the price falls by 5%, the average entry price of your position will be 95.96% of the initial price; it will only take a 1.01% rise to break even.

Gate.io's Bots represent an exceptional opportunity for both individual traders and those looking to follow successful strategies. This functionality allows you not only to enhance your own investments but also to benefit from the profits generated for other users through the implementation of your bots. It's an innovative way to maximize returns and share success in the cryptocurrency market.

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Gate.io Bots user-friendly interface makes it accessible for both beginners and advanced traders. The real-time chart analysis and quick execution have undoubtedly enhanced my trading outcomes, allowing me to capitalize on market opportunities swiftly.I'm especially thrilled that Bots reduced spot & infinite grid fees on BTC/USDT, ETH/USDT and ETH/BTC pairs to just 0.05%! This significant fee reduction allows me to execute grid bots on major coin pairs with ultra-low costs and capture even better arbitrage efficiency. Kudos to Gate.io for developing such a powerful tool that has positively impacted my trading journey. Highly recommend it to anyone looking to optimize their Botss!

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