Setting up triggers in Cryptohopper is a great way to stay out of risky trades and avoid Bitcoin losses. This feature allows your hopper to be automatically disabled (and enabled) when Bitcoin goes through big price fluctuations in a short time.
Why do we want to set up triggers in Cryptohopper?
After the 2017 Bitcoin bull market, altcoins peaked in what is known as altseason. It is the clearest example that when prices of Bitcoin drop, altcoins generally go up. When Bitcoin goes up or sideways, altcoins generally drop in price.
But, 2019 has given us a completely different picture. Regardless of Bitcoin going up, down or sideways, altcoins have been going down all year long! This means that as a Cryptohopper bot trader, the year 2019 has likely been a year in which you’ve made Bitcoin losses.
If you are using Cryptohopper for automated bot trading, you must remember this: There are no guarantees for profits! However, you can play into certain market situations to prevent Bitcoin losses. Sometimes it’s just good to stay away from trading for a few hours, a few days or even weeks. One such way to do so is by setting up triggers in Cryptohopper.
Triggers in Cryptohopper
Triggers in Cryptohopper can be set up by going to Config > Triggers. There are many trigger options to choose from, but in this example we’ll use the following scenario: We want to turn off buying when Bitcoin makes a certain percentage change within a certain time frame.
Why do we want to do that? Because when Bitcoin goes through a sudden fluctuation, alts generally drop. Thus you may want to avoid your bot from opening new trades.
When adding a trigger in Cryptohopper, you give it a name and enable it first. Then you will want to select the exchange and market. In our example we will select the BTCUSDT market.
The next option to select is the candle size, or better said: The duration in which the trigger needs to occur in order for the actions to be executed. In this example we’ll use a 1-hour duration, but we highly recommend you testing this yourself.
Now we’re going to select the indicator for the trigger. In our example we’ll go with 2,5%. That means that the action will be performed when Bitcoin – during any specific 1 hour period – drops or goes up by 2,5%.
So, now we’ve determined the conditions for the trigger. All that’s left is to decide on what actions to take when these conditions have been met. Select Set Buying Status and then set the status to Disabled. The cooldown period means that once a trigger is activated, it won’t be activated again for another 12 hours.
Once the trigger conditions have been met (Bitcoin has gone up or down by 2,5% within a 1-hour timeframe) and the action (turn off buying) has been executed, you will see that Buying Is Disabled on your dashboard. Your bot will no longer make new buys. You can manually enable it again, or you can set another trigger for it to be automatically enabled. Again, testing is advised to see what works for you.
Other trigger options
Can you see how useful triggers in Cryptohopper can be for potentially preventing Bitcoin losses? We highly recommend you looking into the trigger configurations.
Once you familiarize yourself with it, you’ll notice the amount of options available. They are endless. You can trigger to buy or sell certain coins based on price of percentage changes, or based on TA factors such as RSI, MACD, EMA, Bollinger Bands and more. Actions include shorting, selling all coins (panic mode), holding positions, changing the take profit % and many more.
Cryptohopper has a restriction on the amount of triggers you can add. If you are on the Explorer Hopper package, you can only use up to 2 triggers. On the Adventure Hopper package you can select up to 5 triggers, while the Hero Hopper package allows you to set a maximum of 10 triggers in Cryptohopper.
Disclaimer: Trading with a trading bot like Cryptohopper is risky. The software tries to make as many good trading decisions as possible based on the settings. This often results in a positive outcome, but take into account that not all trades will end up with a profit. Besides that, we highly recommend you to learn and understand how trading works. Start off with small amounts of crypto coins. In this way, you’ll slowly gain more knowledge, experience, and confidence in bot trading with Cryptohopper.