Comprehensive Guide For Spot & Futures Trading Success

As the crypto trading market is evolving, there are many automated trading techniques you could learn to automate your strategies. This will help you save time and take advantage of the 24*7 market of crypto trading.

Grid bot trading is one of those strategies that are popular among beginner, and advanced users alike. Here at CoinSutra, we have been using and teaching this technique to our users since 2019, and today we will be doing a deep dive into the grid bot technique offered by Bybit, which is a popular exchange.

Back in the day, it was only a handful of tools that let you run grid bot strategy. As this strategy became popular, some of the top crypto exchanges added this feature by default. This way, you don’t have to pay for 3rd party tool and learn about a new tool.

What’s Special about Bybit Grid bot Strategy?

There are a few interesting features of the Bybit grid bot tool, which make it remarkable. Let’s understand some of the features and how it benefits you.

Spot market grid bot trading –

You can start a spot market grid bot trading on Bybit with a few simple clicks. You have access to all the instrument of spot market.

Futures market grid bot trading –

Bybit also let you run a grid bot strategy in the futures market. This way you can multiply your earning up to 100x, and at the same time you also increases your losses in case if your trade does not go as planned.

What significant here is, you can also make money in a bear market using the future grid bot strategy of Bybit. It lets you start a long or short grid bot. So this strategy is perfect for all the market conditions.

Grid bot copy trading –

This is one feature that many of you who is just getting started will find very exciting. You can copy trade the successful grid bot trader using this feature, or you can offer others to copy your grid bot. Even if you like to take complete control and set your own bots, using the data provided by Bybit, you can identify instrument which is in sideways market, and discover profitable opportunities.

AI Grid Bot Strategy –

If you are one of those crypto trader who is just getting started with technical charts, you can use their AI recommendations to find the range and parameters for starting a grid bot. However, I do find that their AI based recommendations recommended settings are quite conservative, and is best suitable for beginners only.

Advanced Trading Settings –

Bybit grid bot offers features that will let you set advanced conditions to start or stop a bot. For example, you can configure your bot but it will start only when the instrument price hits your target entry price. The idea here is to start a bot only when it is close to the bottom of your grid range. Similarly, you can set stop loss and take profit target. This will signal bot to stop or sell entire position respectively.

Mobile and Desktop App –

You can start a grid bot directly from Bybit mobile app or using the browser. All the features and settings are available on both the platforms, and it is easy-peasy once you have learned the technique.

If you are someone who have never run a grid bot before, Bybit offers everything you need to get started. The good bot copy trading is one feature that is often loved by beginners to make money from automated trading.

How to Start your First Bybit Grid Bot – Tutorial

By now you have understood some of the benefits of Bybit Grid bots, and if you are ready to start your first grid bot, then let’s do it.

• Head over to Bybit exchange and create an account.
• If you already have an account, then login to the dashboard.
• Deposit crypto or fiat to get started. You can add USDT or convert existing crypto or fiat to USDT.
• Your funds should be in the “Funding wallet” in order to start a Bybit grid bot.
• You can start for as low as 100 USDT.

For the first bot, let’s start with something basic, such as ARB/USDT.

On the above page, you have an option to start “Spot grid bot” or “Futures grid bot”, and to keep things simple, lets start with “Spot grid bot”.

Here you have two options –

1. Let AI determine the grid settings
2. Manually configure the settings

Depending upon your knowledge level, you can pick either of it. I prefer using the manual settings, but a lot of users prefer AI settings. However, don’t blindly copy the AI settings, as it may not give the best results.

You can also click on “Advanced settings” to configure stop loss, take profit and Entry price.

Once you have determined the range, decided on the number of grids and allocated an amount, you can click on create new.

From here on, the bot will start acting as per your parameters.

Here is a result from one of such spot grid bot :

Bybit Futures grid bot – How To Start?

As mentioned above, Bybit allows you to run grid bot on futures market. Here most of the settings remain the same, but you can choose between “Neutral”, “Long” and “Short” position as per market condition.

You can decide your leverage level here, and multiple your potential earnings. However, using leverage is a risk also, as if trade goes against your desired outcome, it might result in bigger loss. If you are a beginner, I highly recommend you to stick to spot grid bot. If you are an experienced trader who have used the spot grid bot multiple times, and have good understand of how this kind bot works, then you should try your hands on futures grid bot of Bybit.

Copy Trade Spot and Futures Grid Bot on Bybit –

Another cool thing about Bybit grid bot automation is, it let you copy other people ideas. Here is how to do that:

• Go to Tools > Trading bot
• Scroll down to see leaderboard column
• Discover profitable grid bot traders and click with one copy
• You can pick from spot and futures grid bot option

The problem with this copy option is, the APR does not guarantee the similar results. As the trader might have started the bot way early, and you might be copying the top. In my opinion, this should be used as an indication, but you should not copy other trades blindly, as might result on significant loss of capital.

Conclusion – Bybit Grid bot Strategy

Grid bot strategy is one of the easiest crypto automation strategy that you can start with. Having this feature available as a native option on Bybit, removed the friction, and makes it easier for you to get started.

When done right, it could help you increase your profit in the sideways and in the bull market. With Bybit futures grid bot, you can also make money in the bear market, which I find remarkable.

If you have never started a grid bot before, you should definitely start one to see if it is for you or not. Having an understanding of technical chart, support and resistance level will help you to make most out of it. No matter what, take advantage of stop loss feature to limit your losses.

If you have any questions about Bybit grid bot settings, let me know in the comment section below. Also, check out our exclusive coverage on various automation bots to level up your knowledge in quant trading.

About Harsh Agrawal :

An award-winning blogger with a track record of 14+ years.  He has a background in both finance and technology and holds professional qualifications in Information technology.

An international speaker and author who believes in blockchain and the crypto world.

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Expertise:

Harsh has experience of 12+ years in Fintech and 7+ years in Blockchain and Bitcoin. He has also moderated the panel of Blockchain experts and attended international blockchain events like BTCMiami, and Token2049.