Home Knowledge base Overview

Differences Between Each Trading Bot


A Grid Bot

operates by setting buy orders beneath a crypto asset's reference price and sell orders above it. These buy and sell orders are evenly spaced, forming what are known as "grids," and they can be configured within a defined price range. Grid bots are specifically designed to capitalize on market volatility, particularly when crypto prices move sideways. When the price increases, a sell order is triggered, prompting the placement of a new buy order below the current price of the crypto asset to effectively "replace" the most recent sell order. Conversely, when the price decreases, a buy order is executed, and a new sell order is positioned above the current price to "replace" the last executed buy order. The profit is derived from the gap between the buying and selling prices (grids).


A DCA Bot

is used to buy a specific cryptocurrency in consistent, fixed amounts at regular intervals, instead of making a single, large purchase. By employing DCA bots, you gain the flexibility to determine the frequency and size of your trades. This allows you to decide how often you wish to make purchases, enabling you to align the frequency and amount with your investment strategy and risk preference.  



Was this article helpful?

That’s Great!

Thank you for your feedback

Sorry! We couldn't be helpful

Thank you for your feedback

Let us know how can we improve this article!

Select at least one of the reasons
CAPTCHA verification is required.

Feedback sent

We appreciate your effort and will try to fix the article