Binance Automated cryptocurrency trading bot, Increase Your BTC amount overtime
Yes, that’s right.
Binance Trade Bot is an automated cryptocurrency trading bot that uses Binance API credentials to perform trades using a Python code.
The Trading is done on Binance Spot Trading platform which has a good number of ALTcoins pairs for e.g. BTC/USDT, DOGE/USDT and so on, not all cryptocurrencies are available though. So, in order to fulfill the gap, this bot uses a bridge currency in order to prevent the loss and increase the number of coins you hold overtime. The default bridge currency is Tether (USDT), which is stable by design and compatible with nearly every coin on the platform.
For example, you have Coin ‘A’ in your wallet. This bot will first buy USDT then buy the Coin ‘B’
Coin A → USDT → Coin B
The way the bot takes advantage of the observed behavior is to always downgrade from the “strong” coin to the “weak” coin, under the assumption that at some point the tables will turn. It will then return to the original coin, ultimately holding more of it than it did originally. This is done while taking into consideration the trading fees.
Coin A → USDT → Coin B
Coin B → USDT → Coin C
Coin C → USDT → Coin A
The bot jumps between a configured set of coins on the condition that it does not return to a coin unless it is profitable in respect to the amount held last. This means that we will never end up having less of a certain coin. The risk is that one of the coins may freefall relative to the others all of a sudden, attracting our reverse greedy algorithm.
How to Install the Cryptocurrency Trading Bot:
- Create a Binance account.
- Enable Two-factor Authentication.
- Create a new API key.
- Get a cryptocurrency, a total of $20 coins is enough.
Bot Installation Setup
- Now get Linux VPS $2.50 plan from Vultr and Install Debian 10 on it.
2. Login to your VPS using PuTTy SSH.
Enter the following commands as root on terminal:
apt install python3-pip -y
pip3 install -r requirements.txt
cp .user.cfg.example user.cfg
Edit user.cfg files to enter your Binance API key (can be created from account Dashboard) and altcoin you currently have.
Exit the file using CTRL+X and Y
Now finally start the bot using this command
python3 -m binance_trade_bot
This post inspired by the original Cryptocurrency Trading Bot on Github. You can read the full-detailed guide here.