For many retail investors, using a KuCoin trading bot is a good idea if they want to optimize profitability, stay active in multiple markets simultaneously, and benefit from time-tested strategies like market-making, scalping, and grid systems. Automated trading on KuCoin is a great way to receive sizeable returns without actively managing assets.
Thanks to the technological superiority of the platform, you can use various forms of fully autonomous systems and focus on different types of strategies to ensure that your portfolio is balanced and can perform in all sorts of market conditions. Whether you need something reliable like a DCA robot or a solid statistical arbitrage system, you will be able to use it on this CEX.
How to optimize trading with KuCoin bots
Crypto investors operating on this centralized exchange enjoy multiple benefits and can maximize their returns by utilizing the wide range of features available at any given moment:
● The market for derivatives is an excellent target for many retail traders interested in high-volume, leveraged financial instruments. You can trade Coin-M and USD-M futures, trade options, and use special privileges to increase profitability.
● Passive earning programs are designed to attract capital holders interested in the long-term accumulation of assets and investments that do not require constant supervision. Special savings accounts, direct staking, and staking pools are available to all retail traders.
● The spot market features 911 coins and 1270 pairs allowing users to engage in triangular arbitrage, various types of quantitative strategies, and other lucrative investment activities. It is one of the most diverse spot markets in the whole ecosystem.
● The native automation features allow crypto investors to significantly improve the efficiency of their financial operations. Proprietary technology is quite flexible and can rival some highly specialized services that focus exclusively on ATS products. You can run a variety of different ATS designs using the native capabilities of the platform.
● The API functionality is great and secure. It is a great way for many developers and technically savvy retail traders to use niche solutions like HummingBot or GitHub repositories with unique strategies. Connecting to API is effortless and can be done with most third-party providers. You can run a KuCoin API trading bot without any issues.
These advantages make this particular CEX a great target for many crypto investors interested in building well-performing portfolios. To top it all off, the list of integrations is quite long and includes industry-leading companies like CryptoHopper, 3Commas, TradeSanta, and WunderTrading. The variety of options is more than impressive.
How to use a KuCoin trading bot
You don’t have to search for a specialized fintech provider if you need to use some of the best ATS designs out there. The native functionality is sufficient to create a solid strategy that involves multiple ATS instances.
Below are the types of quantitative strategies you can use on this platform if you are interested in running an automated trading bot:
● Grid robots for the futures and spot markets are designed to be easily approachable by all users regardless of their experience with script writing and financial markets. You can set up a robot for long or short positions, adjust the size of investable capital, and tinker with other settings to create a reliable money-maker.
● Spot Martingale is a financial strategy based on the famous gambling system that increases position size until a profit is made. It has a low mathematical expectation and produces small profits when market conditions are optimal. The Spot Martingale bot should be used with caution. Many investors avoid it altogether.
● DCA robots use the Distributed Cost Average model to reduce the average price of asset acquisition and deliver consistent results over long periods. It is often used to acquire assets for long-term holding but, with strategically positioned exit points, it can also produce profits. DCA and grid systems are some of the most popular approaches in the world of automation.
● Smart Rebalance is a set of indexes with an AI manager that adjusts the ratios and compositions according to market conditions. It can be used to create a diversified portfolio that does not require micromanaging and operates autonomously. These systems are offered by many centralized exchanges but you should always use them with caution.
It is not that hard to initiate an ATS here. To start using the quantitative robot functionality of the CEX, you have to take several steps:
- Go to the official website of the CEX and create an account if you don’t have one.
- Go to the Trade section of the uppermost horizontal menu on the dashboard.
- Choose Trading Bots in the section. You will be redirected to the robo-strategy terminal.
- Choose the system you want to launch (Grid, Spot Martingale, Smart Rebalance, DCA).
- Adjust settings in the right menu or allow the system to do everything.
- Launch the robot by clicking the button at the bottom of the settings menu.
This short tutorial seems too simple and surface-level but it is all you need to know to launch your first robots on this exchange. These bots are flexible enough to allow investors to create balanced portfolios with all positions being autonomous to at least some degree. Nonetheless, automation features are still lacking compared to what you can find on industry-leading platforms.
Picking the best bots for KuCoin trading
Parking capital at this exchange is a sound plan for crypto enthusiasts who want to work with a reliable platform that has a wide international reach and provides financial services without strict KYC and AML verifications (depending on the region). With its massive spot market and solid operational metrics, the exchange quickly turned into an appealing partner for many third-party providers of fintech solutions.
Most industry-leading robot vendors provide a detailed API integration guide and can seamlessly connect to the CEX using its API.
Here are some of the great platforms that you should check out if you are interested in using an ATS on this exchange:
● TradeSanta is a solid pick for many investors who lack experience and want to use something simple. In terms of features, this platform is slightly more flexible than the exchange’s robo-strategies section but it still lacks the depth of many other providers with a stronger focus on customization and social features. TradeSanta offers over a thousand different strategies to choose from. These can be launched with a couple of clicks.
● 3Commas focuses primarily on social components and has one of the best marketplaces where users can buy strategies, scripts for TradingView, signals, and many other interesting tools to improve the efficiency of their financial operations. The copy section is designed to deliver a great experience and offer investors a chance to follow the best traders out there. You can choose from hundreds of lead traders from all supported CEXes including this one.
● WunderTrading is an all-around great pick as it has excellent customization features, allows users to build unique ATS setups, and maintains integrations with many platforms including 14 different CEXes, the TradingView platform, and several signal suppliers. Integrating WunderTrading bots with KuCoin is a solid idea for investors with a strong desire to create multi-dimensional capital allocation strategies that rely on autonomy and complex portfolio management tools.
These are some of the most reliable and consistent providers in the ecosystem. WunderTrading is also a great choice if you plan to use contemporary solutions like its AI crypto trading bot that uses the statistical arbitrage approach to manage massive portfolios containing dozens of positions. By using advanced quantitative methods and recognizing patterns in the market history, these robots can make timely adjustments to portfolio compositions and maintain an impressive level of profitability.
How to connect a trading bot to KuCoin
WunderTrading is directly integrated with this centralized exchange and allows for a quick and secure connection between the platforms. The process takes just a couple of minutes and allows you to immediately start engaging with digital assets using advanced products from WunderTrading’s arsenal.
Here’s a simple step-by-step guide on how to easily connect WunderTrading to this CEX:
- Go to WunderTrading’s official website and sign up.
- Log in and wait for the system’s prompt to connect an exchange account.
- Go to your account settings page on KuCoin and navigate to API Management.
- Create a separate password for API access and verify your mobile phone number.
- Use the API key from the API Management menu to connect the CEX to WunderTrading.
- Choose the right type of account (spot or margin).
It’s that easy to connect a crypto bot to KuCoin. WunderTrading is a reliable provider of services and invests heavily in security. CEXes like Binance, Kraken, Coinbase, and many others are happy to work with this respectable vendor. Due to having well-established partnerships within the crypto ecosystem, this vendor’s robots can be effortlessly deployed for all large CEXes.
A simple KuCoin trading bot setup
After establishing a connection between WunderTrading and the exchange, you need to navigate to the dashboard and simply pick which robots you want to use. Several options are excellent for beginners:
● DCA and grid bot crypto systems are solid choices for crypto investors interested in building a portfolio with reliable money-making capabilities. If you do not want to expose yourself to excess risks, using these time-tested approaches is a good idea.
● Copying actions of experienced users works well for newcomers who do not have much experience with cryptocurrencies and financial markets. The marketplace features several dozen vetted professionals from this particular CEX allowing novices to follow experts and copy their trades.
● The AI-assisted statistical arbitrage robot is the latest and most potent addition to the expansive suite of features offered by WunderTrading. This robot is capable of monitoring multiple assets at once, adjusting positions when needed, and changing its behavior based on market conditions.
● Signal bots can work with alerts from TradingView via webhooks or by receiving signals from specialized suppliers. If you do not want to dedicate any time and effort to analyzing the market and searching for good opportunities for entry, you should simply buy signals from reliable providers and fully automate them.
These ATS designs will work well on this CEX and won’t require any additional tinkering or adjustments. You can launch them as is and enjoy the process. With the simple connection setup and a wide range of robots to choose from, it seems like one of the most convenient ways to improve your investment outcomes.
The main takeaway
The native robot-building functionality of this exchange is excellent and provides great tools to build a solid portfolio. However, it is still a good idea to work with highly specialized fintech providers to take advantage of the latest advancements in the fintech industry including AI-assisted automated arbitrage systems, customizable signal robots, and more. Also, comprehensive analytics provided by WunderTrading allow investors to better manage their various positions