Beginner's guide to configuring a trading bot for Toobit

WunderTrading

MAKE YOUR CRYPTO WORK

Toobit was established in 2022. The company conducts its operations globally with its registration license issued by the Cayman Islands. It is a popular destination for many crypto investors thanks to the versatility and flexibility of the platform offering an excellent user experience and a variety of investment tools like native automation options, access to derivatives, and spot markets with deep liquidity.

Users who want to launch a Toobit trading bot will be happy to learn that they have a plethora of options to do so. Regardless of which automated crypto trading strategy seems interesting to you, there is a solution compatible with this particular exchange despite the lack of specialized vendors supporting it directly. As one of the best destinations for contemporary retail traders, this exchange definitely deserves your attention.

A beginner’s guide to Toobit trading bots

There is a reason why so many investors are interested in this particular CEX. The platform delivers an excellent experience all around and has a rich catalog of financial instruments. The trust score is also quite high. For instance, CoinGecko puts it at 8/10 and claims that it is one of the most reliable tracked exchanges in the world.

Here are some of the products offered to users interested in running Toobit automated trading strategies:

  • The spot market has 165 different coins used in 168 USDT pairs. Daily trading volumes are around $1.1 billion on average but can reach up to $2.2 billion on peak days. For instance, the trading volume in October was over $1.4 billion quite consistently. BTC is the largest digital asset by volume with ETH and MKR rounding up the top 3.
  • The derivatives market is the sole reason why a retail investor would be interested in running a Toobit bot for futures trading. The market offers standard perpetuals aimed at experienced investors seeking reliable hedging instruments and lite perpetuals that have shorter expiration periods and can be used by newcomers quite successfully.
  • Advanced automation instruments. While many CEXes prefer simply giving you a public API gateway and calling it a day, this particular exchange is more focused on having a versatile product that can be used by all types of retail traders. For instance, you can run a futures grid bot on Toobit without many issues by simply using platform-specific tools. Additionally, you can copy the actions of experienced professionals which is a great instrument for newcomers to the industry.

These are some of the best products in the entire industry. The brand may not have the same level of recognition as Binance or Kraken but it is still a massive exchange that showcases some of the best services and features out there.

How to use Toobit trading bots

What impresses us the most about this CEX is the variety of robot presets that you can access quickly. While customization options are somewhat limited, the sheer number of different setups you can run without using third-party vendors is very impressive. Below are some of the most popular automation options:

  • Toobit bot for grid trading is a system that uses the DCA (distributed cost average) logic to enter positions while setting up an exit for each one. It would have been a typical grid bot strategy if not for one interesting nuance: there are three different templates. You can use a neutral strategy, focus on long positions, or strictly on short ones. Since it is one of the most reliable setups that has been time-tested by millions of users, the variety of iterations is a big plus.
  • Toobit martingale trading bot uses the idea behind the martingale strategy that instructs users to increase position size in case of losing money proportionally to the amount lost. In essence, it goes against the statistical rule of true randomness where the outcome of the next event is not affected by previous ones. While the mathematical expectation of the strategy is strictly negative, some retail traders still like it and use it in volatile markets where price reversals occur frequently. You can run a bullish or bearish setup (with long and short positions respectively).
  • Copying bots or lead traders. The market for derivatives is quite popular among many contemporary investors. Experienced capital holders use futures to protect their long positions or stakes while aggressive traders take advantage of leverage and focus on maximizing potential gains. Here, copy trading works well for newcomers who may lack the experience to participate in the market personally. A Toobit copy trading bot can follow featured lead traders or a successful automatic strategy showcased in the automation catalog.

These are all options available to investors directly on the platform. You don’t need to install and configure complex software or use services provided by third-party vendors. While having only GRID and Martingale bots can be quite limiting, it is also much more than what the majority of other CEXes are offering to their clients. To top it all off, these are free trading bots for Toobit that can be used by all users who opened an account with this exchange.

The flexibility of the automation section of the website is one of the reasons why the CEX has many fans across the globe. In just two years, the company managed to catch up to the “big boys” in the industry. The focus on technology, additional services, and user experience has paid off dearly bringing this brand to the forefront of the cryptocurrency sector.

How to automate trades on Toobit using other tools

The native automation features are solid and allow users to create robust portfolios. However, the one-dimensional approach to automating investment activities can be detrimental in a market as unpredictable as the one dealing with crypto. Also, 165 coins seems like a lot but the DeFi ecosystem is much bigger and investors should be trying to work with various types of digital assets if they want to maximize the efficiency of capital allocation.

Below are two additional methods of launching any type of ATS like a statistical arbitrage system or a scalping bot for Toobit:

  1. Desktop and open-source apps. You can find many interesting programs on GitHub or sold by individual developers. The advantage here is that technically savvy individuals can further tinker with the design to customize bots and make them truly unique. At the same time, some users believe that they can maintain a robot better using their own internet connection and hardware.
  2. Platforms like GunBot or HummingBot. The first one is a project designed to connect to any exchange, centralized or not. The second one is an open-source application that also has the capability of connecting to DEXes and CEXes via public API gateways. You can run a variety of different strategies with these tools. HummingBot is also absolutely free thanks to the financial support from several CEXes.

In both cases, you will need to use a public API gateway but only spot market is enabled through a key. You cannot access derivatives or margin accounts. It can be an issue for traders interested in leveraged positions or those who want to focus on futures or use them automatically to hedge long positions.

Alternative options for advanced automation

The crypto industry has some of the best automation vendors in the world of fintech. The speculative nature of the cryptocurrency market forces many investors to use automation and be ready for sudden price changes or take advantage of unstable trends. Many modern providers have flexible products that account for these unique preferences of retail traders working with digital assets.

While many vendors do not support this particular exchange directly, you can either switch to a different CEX or talk to the customer support of your favorite robot vendor and ask them to create a connection to this CEX.

The best crypto trading bot for Toobit and other exchanges

Forward-thinking investors, who like the idea of using sophisticated ATS designs like a crypto AI trading bot or an autonomous statistical arbitrage strategy, should work with providers that deliver an excellent user experience while constantly searching for new ways to improve their products. We want to give you several examples of such advanced companies that have rich catalogs of efficient robots.

  • CryptoHopper is often cited as one of the most popular platforms out there. It has been around since 2017 offering a wide range of ready-made solutions like GRID and DCA bots. Recently, the company has been investing heavily in artificial intelligence features implementing machine learning into their grid robots capable of adjusting positions depending on market circumstances in real time. Customization options are excellent allowing users to build complex strategies and back-test them immediately. The only real issue here is the lack of social components that make it harder for newcomers to get started.
  • We have already mentioned GunBot as one of the most unique automation platforms offering robots for DEXes and CEXes. One of the best things about it is that it can be connected to any exchange that has an API gateway giving access to the spot of derivatives market. Some tinkering is required to make it work as intended but it is still a great product that works in the DeFi sector just as well as in the centralized section of the crypto industry. GunBot is a relatively cheap option that also has a proprietary LLM capable of creating custom strategies based on user requests.
  • TradeSanta is a good choice for beginners who do not want to tinker with their ATS. Ready-made solutions here are plentiful with over a thousand different designs available right away. While the focus on presets can be somewhat questionable since many retail traders are interested in building unique strategies, it is still something that makes TradeSanta stand out from the crowd. The vendor supports Binance, HTX, HitBTC, Kraken, and many other popular CEXes. If you want to run an effective Toobit DCA trading bot, this particular provider is a good choice.
  • WunderTrading is one of the best providers of automated trading systems for the crypto market. The seamless merging of different tools like social components, custom ATS, ready-made presets, portfolio tracking, and other features in a single dashboard provides the necessary feeling of control over finances. You can create unique strategies that utilize automated signals from TradingView or connect a signal provider. It is also a great way of running an AI trading bot for Toobit thanks to the recent addition of the statistical arbitrage system that uses machine learning to rebalance the portfolio in real-time.

All these vendors are great choices for users interested in building sophisticated portfolios with positions in different markets. The only problem is that they do not support the exchange in question directly.

The main takeaway

Native automation options offered by the CEX are quite good and allow investors to make their activities more efficient. However, you won’t be able to run a Toobit bot for arbitrage trading or other strategies that exist outside of the realm of grid and Martingale systems. In many cases, it is a better idea to use an exchange integrated with third-party providers like WunderTrading. With the help of these vendors, you will be able to run a DCA crypto bot to buy coins or AI-assisted strategies.

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