Q: So how does this actually work?
A: Autotrader is a software suite that consists of three parts: Trading, Funding & Rate. These three communicate among each other to optimize profits via Grid-Trading and Margin Funding.
Q: Do i really need to run the entire Setup?
A: No. Many parts of Crypto-Autotrader are optional. E.g. you do not need the entire Funding Application at all. Or register for API Access with Fixer.IO or CoinMarketCap. Or setup E-Mail Notifications. This is all optional. The only thing needed to get started is a Bitfinex Account with Funds depositied and API Keys to it.
Q: What are the Trial limitations?
You are eligble for 30days of usage, with a limit to the BTC-USD market and a maximum trading amount of 10.000 USD in it. These limitations are lifted with a lifetime licence, meaning you are then able to trade with unlimited funds in up to 400 markets in parallel.
Q: How is a ‘market’ defined?
A: A market is defined as a pair of two currencies, e.g. BTC-USD. The first one is called the ‘Base’, the second one the ‘Quote’. Together they are designated as a ‘market’. Capital bound in a market by a ‘strategy’ is always expressed in ‘Quote’, both in upwards as in dowards direction. So are all profits as well. Automated Trading is designed to always siphon off profits in ‘Quote’. This is hardcoded and cannot be changed. Therefore most profits you’ll have will naturally be in USD, EUR, ETH or BTC as these three are the most common Quote currencies on Bitfinex.
Q: How does buying and selling actually work?
A: For every active Market (=has a Strategy set & Capital ‘bound’ to it) the tool has trades in either the ‘Up’ Direction, the ‘Down’ Direction or both set. Usually 3 of these trades are set as ‘Live’ with an OrderID assigned, all others are ‘Queued’, meaning they are on the sideline waiting to be activated. This approach (=only 3 Trades at a time are live & the rest are queued) is done for multiple reasons: Freeing up capital & risk minimization.
Q: What about fee’s?
A: Autotrader is aware of all the different fees (e.g. Limit, Market, Maker & Taker, etc.) and takes them into account.
Q: What are my risks?
A: Cryptocurrency itself is a risky sector, meaning ultimately you are at risk of losing everything. CryptoAutotrader is coded in good faith with best intent in mind but can neither guarantee profits nor safety of funds.
