3Commas

INTRODUCTION TO 3COMMAS

The 3Commas cryptocurrency robot is one of the most successful and efficient crypto bots. Although it was only recently introduced into the market, this bot has gained a lot of recognition for its algorithm and variety of trading tools that cater to all types of traders.

Bot’s work 24/7 and analyze the market and make decisions on buying and selling the currency on traders’ behalf.

The 3Commas crypto trading bot focuses on improving trade quality with tools and features to control users’ investments and manage their profits through partnerships with exchanges like Coinbase, GDAX, Binance, Bitfinex, and Huobi.

Subtle notifications and messaging systems are received on any significant action taken by the bot and pointers and lessons for new traders and insight into the journals and strategies of experienced traders are given.

The bottom line remains that trading in cryptocurrency is a whole new world, and bots are most probably the future of it.

HISTORY AND HEADQUARTERS OF 3COMMAS

The 3Commas is a crypto trading bot that was developed in Miami in 2014 although the 3Commas platform was first launched in 2017, and the company behind it is based in Toronto.

FEATURES OF 3COMMAS AS A TRADING PLATFORM

3Commas is renowned for its variety of tools and the amazing features it provides to users.

The various features 3Commas offers its users include:

Stop Loss

The “stop-loss” is an effective and powerful method used by 3Commas, with which the crypto bot makes sure that the user does not face a potential loss on his investment by calculating a loss percentage with the algorithm and with functions like a limit.

Trailing Stop Loss Feature

The Trailing stop loss continuously changes according to variations in prices and makes sure that users gain at least some profit before the minimum loss limit is reached.

Real-time notifications

3Commas always keeps a user updated about his crypto trade and will notify you whenever your currency has gained a profit or a loss via mobile or email.

Trader’s log

A trader’s diary allows users to consolidate their views and ideas of the trades they made along with their reports and can let you look back at all the trades you made.

Copy a Professional

3Commas also lets users follow professional traders to explore their strategies and analyze their trades to gain insight into professional trading.

Multiple Exchanges

3Commas helps users carry out transactions on various exchanges to make well-informed decisions with information and proper analysis from almost 12 exchanges.

Smart Trade

With Smart Trade, users can buy or sell pairs of digital currencies with essential risk management tools. They can set market or limit orders or set a price conditional that must be met before a market or limit order is subsequently triggered.

Trading Bots

The main attraction of 3Commas is the platform’s trading bots. Of the three bots, two are designed around dollar-cost averaging. The Gordon bot is a largely premade bot that you can program to run in just a few seconds.

The Advanced bot is a more customizable dollar-cost averaging bot with which you can choose from a variety of trading strategies. The GRID bot is the newest and works by dividing a technical price chart into slices. Each slice, covering a range of prices, is assigned a buy or sell signal.

Portfolios

Another useful feature of 3Commas is portfolio tracking. You can easily track the composition, trading history, and profit and loss of your cryptocurrency portfolios.

3Commas Portfolios

3Commas offers a copy portfolio feature that allows traders to see what coins are in other traders’ portfolios.

3Commas Connect Exchanges

3Commas works with at least 22 exchanges, including Binance, Bitfinex, Kraken, Coinbase, Poloniex, and Bitstamp. Not all exchanges support trading bots, although all of them do support Smart Trade.

ADVANTAGES OF 3COMMAS

3Commas offers simple logic-based decisions, which are not clouded by any human judgment and emotions, with all decisions that need to be taken, based on an algorithm formulated for maximum profit. Advantages include the following:

• The algorithmic-based trading ensures that all decisions by the bot are completely mathematical and logical. The bots are programmed to make the right choices based on ideal conditions with the least error.
• The 3Commas bot will be online watching and making decisions on minimum losses and maximum gains by rapidly concluding whatever is happening in the market around the clock.
• Smart trading makes use of the ‘trailing take profit’ feature to keep users away from loss.
• 3Commas comprises easy software with good pointers and guides for a decent trade setup.
• The 3Commas interface works without complications.
• 3Commas is known for offering many exchange platforms.
• One of the major advantages of 3Commas is that it allows its users to reuse strategies from experienced traders.

DISADVANTAGES OF 3COMMAS

Some users have complained about certain issues of the bot, including:

• Weak security protocols – The security protocols are not as secure as they could be.
• The pricing plans of 3Commas keep changing which is confusing.

PROS AND CONS OF 3COMMAS SUMMARISED

COST AND FEES OF USING 3COMMAS

The pricing plans of 3Commas keep changing.

Although some sources state that a Starter plan costs $14.50 per month (paid annually), others mention a starter plan at $29/month which offers the user access to the smart trading terminal, unlimited exchange integrations, and error and cancellation notifications. This plan does not include bots.

An Advanced plan cost $49/month and includes a smart trading terminal, unlimited exchange integrations, and error and cancellation notifications. It gives access to bots, custom TradingView signals, and a portfolio management interface.

A Pro Plan at $99/month includes everything in the Advanced plan plus access to bots, full portfolio management software, and TradingView Signals.

PAYMENT METHODS

At this stage, 3Commas accepts PayPal, Apple Pay, Credit or Debit Cards, and Crypto.

SAFETY AND REGULATION

The 3Commas website does not have many details regarding its security protocols, however, users do not hold any funds on the platform and trading bots are not able to make withdrawals from linked accounts.

If an account becomes compromised, and criminal elements were able to gain control of your trading activity, they still would not be able to directly access your exchange accounts to make withdrawals.

Users are advised to enable security options such as two-factor authentication (2FA) and notification alerts.

The 3Commas team is committed to data security and the protection of users’ data, which is protected by security integrated safeguards that vary in approach and include the use of secure areas, and technical measures such as encryption.

HOW TO USE 3COMMAS AS A PLATFORM

Creating an account is straightforward from the “Create an Account” tab on the website.

Users must enter an email address and password to register. After confirming your account via email confirmation, you can get access to the dashboard.

Choose a bot type from the four types of trading bots – short, simple, composite, and composite short bots and then connect an exchange.

Choose the trading pair and set the base trade size from the drop-down menu and instruct your bot how much of your currency you will use for the initial trade. Set a target profit and safety trade size, to make purchases after any dips in a more controlled way.

Choose a take-profit type from the two options, which are a percentage from base trade or a percentage from the total volume.

Set price deviation to open safety trades to tell the trading bot when it can begin executing safety trades and is set as a percentage.

Instruct the bot when to make the initial trade.

CUSTOMER SUPPORT

Most users find 3Commas customer service responsive and willing to solve any issues or answer questions about the platform or trading.

You can contact 3Commas through email, a Website Contact Page, Twitter, or Reddit.

EDUCATION AND TRAINING

Members get access to the 3Commas trading school, paper trading, and an active learning community. They can sign up with no knowledge of cryptocurrencies, bot trading or technical analysis and learn how to be a successful trader at their own pace.

The 3Commas trading school includes plans and features, courses covering crypto basics to trading strategies, and how to build a trading bot on the 3Commas platform.

The platform offers paper trading so a person can practice his strategies and try out a bot in a simulated crypto market before he puts actual money on the line and an active learning community exists where traders can discuss the lessons, share ideas, and help each other understand the material.

RESEARCH

Potential traders always need to do as much as possible research about speculative trading before commencing to do it. Successful trading relies heavily on knowledge and understanding of the markets and the platform; therefore, research options form an integral part of its features when choosing the right company to trade with.

SUMMARY

Trading bots are a huge advantage when entering the trading market because crypto bots guarantee a profit in ideal conditions. 3Commas took only 5 years to reach the top with satisfied customers everywhere.

3Commas stands out for being relatively affordable and relatively easy to use. 3Commas is straightforward to get started with and has several automated strategies that you can turn to. The Smart Trade feature is somewhat self-explanatory and helps that 3Commas works with such a broad range of popular cryptocurrency exchanges.

DISCLAIMER

3Commas warns potential traders that Forex and Crypto trading always carries a prominent level of risk, therefore may not be suitable for all investors.

3Commas products are complex instruments and come with a substantial risk of losing money rapidly due to leverage, thus not necessarily suitable for all types of investors.

Potential traders should consider whether they understand how these products work and whether they can afford to take the substantial risk of losing money.

FAQ

What is a crypto trading bot?

Cryptocurrency trading bots are software programs that can help you automate your trading strategy and take full advantage of the crypto exchange market. Bots can carry out trading actions even while you are sleeping.

Why are crypto trading bots useful?

Crypto trading bots remove fear and emotions from the trading calculation by allowing investors to execute trades based on a predesigned strategy. Bots enable a trader to run his trading plan 24/7 so if you are a part-time cryptocurrency trader or are unable to always stay on top of the market, a bot allows you to trade efficiently without having to dedicate lots of time to market analysis.

Are trading bots legal?

Cryptocurrency trading bots are fully legal but not all brokers allow bot trading. Algorithmic trading is legal, but many people have objections to how automated trading can impact the markets.

Are trading bots safe to use?

3Commas takes security very seriously and it follows the strictest processes to assure a higher level of security by using encrypted data.

How to choose the best trading bot?

There are specific key functions to remember when choosing a cryptocurrency trading bot. You need to understand functions like reliability, security, profitability, transparency, and ease of use when researching bots.

Do I need to deposit funds?

It is optional and usually depends on the service a trader wants to use.

Are there trading fees charged?

No, 3Commas does not take any fees from your trades. The only fee you need to pay is the one from your enabled exchange, nothing from 3Commas.

What types of payment does 3Commas accept?

Currently, 3Commas accepts PayPal, Apple Pay, Credit or Debit Cards, and Crypto.

How much profit can a trader make?

As a platform 3Commas’s role is that of an intermediary, to make it easy to trade or invest for traders, but it cannot assure any profit.

Is a trading bot easy to use?

Yes, if you decide to go with Profit Sharing, which is the easiest way to invest, you only need to choose a trader to invest in and allocate the desired amount. And if you need help, support is available.