3commas cryptobot review

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What Is 3commas cryptobot?

Founded in 2018, 3Commas is a service that automates trading. The bot offers both preset and customized strategies and allows users to copy other traders' strategies.

The software analyzes the market and trading signals, allowing clients to delegate the function of monitoring and placing orders.

Review Summary

Feature

Total Rating

Ease of Use

4,5 ⭐⭐⭐⭐

Commissions

5 ⭐⭐⭐⭐⭐

Reputation

5 ⭐⭐⭐⭐⭐

Customer support

5 ⭐⭐⭐⭐⭐

Design

5 ⭐⭐⭐⭐⭐

Advantages and disadvantages

Advantages

Disadvantages

  • Well-designed interface
  • Good connection to exchanges
  • Smart Trading
  • Copy-trading
  • Cloud platform
  • Not suitable for beginners

That way, traders can focus on more important matters and do something more interesting without stopping their cryptocurrency trading or incurring unnecessary losses.

The 3Commas program uses a combination of different signals, indicators and triggers to make trades according to their strategies. If the user does not want to apply individual strategies, he can use strategies from among the pre-installed ones. The social trading mechanism allows the platform to follow the strategies of other traders and apply them to the client's portfolio.

In addition to automated bots, the platform offers manual trading with its own Smart Trade mechanism, which allows for advanced features not available on some exchanges.

It also helps you manage your portfolio and track your crypto assets. Some exchanges use this feature to rebalance their digital currencies to ensure a preferred percentage of each cryptocurrency in their portfolio. 3Commas also allows you to use TradingView signals.

What Is 3commas cryptobot?

Reputation

Although 3Commas has only been around for a couple of years, it has already managed to gain a certain level of popularity in the cryptocurrency sector. Today, any review or discussion of the most popular cryptocurrency trading bots does not go without mentioning 3Commas.

The platform is a serious competitor in the field of automated trading, and all thanks to its ease of use, the features of applying various strategies and indicators of a certain level of profit.

3Commas has a huge community that regularly uses its services, which not only increases the popularity of the platform, but also supports the aspect of social trading, allowing experienced traders to share and exchange their strategies with the whole world. Beginner traders, on the other hand, have a great opportunity to use these tips and strategies to make their own profits.

What Exchanges does 3Commas support?

The following cryptocurrency exchanges are currently supported by 3Commas:

  • Binance
  • EXMO
  • CEX.IO
  • ByBit
  • Bittrex
  • Bitfinex 
  • Bitmex
  • Bitstamp
  • Yobit
  • Coinbase Pro
  • HitBTC
  • Huobi Global
  • Gate
  • Kraken
  • KuCoin
  • OKEX
  • Poloniex

It is important to note that not all exchanges support the full list of bots functions, so check the capabilities of an exchange before registering on it.

Also add that the robot 3Commas offers special conditions for registration on some exchanges.

For example, if you use 3Commas with Huobi Global, you will be able to use trading bots for free.

Plans

3Commas offers three different pricing plans to its customers. For new users, the platform will offer a three-day trial period.

In addition to the charged plans, 3Commas offers a free package available to users with a total digital currency deposit of less than 750 GBP. The offer is also valid for those who use the 3Commas robot in conjunction with Huobi Global.

Each of the rates includes access to the platform's mobile app to manage notifications and portfolio.

Junior

This is a free 3Commas plan. It comes with all available features on the platform except paper trading.

Starter

This plan does not include bots, so it is not suitable for automated trading.

But the package does include the Smart terminal, which allows you to provide the tools to make trades manually. It also provides the option of manual paper trading.

You can also use the portfolio management feature:

  • 1 month: £29;
  • 6 months: £147.9;
  • 1 year: £261.

Advanced 

One of three paid tariffs, including robots.

The tariff operates with a limited support function for automatic trading. For example, a composite bot that uses several strategies simultaneously is not suitable for this plan. But it does support trading through the Smart Trade mechanism in manual mode.

The Paper Trade feature provides full access for manual actions. However, automatic paper trading in demo mode is limited to using simple robots.

  • 1 month: £49;
  • 6 months: £249.9;
  • 1 year: £441.

Pro

Another plan that provides access to automatic trading. In fact, this is the most popular plan of all.

In addition to the key to fully automated plans, there appears the ability to trade on a simulator with all the available features.

  • 1 month: £99;
  • 6 months: £249.9;
  • 1 year: £891.

Payment can be made online via PayPal, credit or debit cards, advcash and cryptocurrency.

How the 3Commas bot works

The 3Commas platform offers a number of useful services for the needs of different traders. To make it easy for you, we describe the main products below.

APIs for connecting to exchanges

Before deciding which trading strategies you will use, you first need to connect your external exchange accounts to the 3Commas platform.

In a nutshell, you need to give 3Commas access to your trading account so that the automated strategy you choose can place trades offline.

This is very convenient even if you don't want to use an automated bot, not least because you can place automatic trade orders on all your accounts on cryptocurrency exchanges at the click of a button.

For example, let's say you have funds on three exchanges supported by 3Commas to reduce risk

  • Binance
  • KuCoin
  • Coinbase Pro
How the 3Commas bot works

If you want to place a trade in BTC/ETH when the price reaches a certain level, you usually have to log in to all the exchanges separately and then place orders on each of them in turn.

Instead, you can set up a single order through the 3Commas portal, which will then be triggered when certain conditions are met.

As for linking accounts to exchanges, it all depends on which third-party exchanges you want to use.

In the vast majority of cases, you will need to go to the settings page of the chosen exchanger and get an API key.

Once you have the necessary credentials, you need to go to "My Exchanges" section of your 3Commas account, and then click "Connect to a new account".

Finally, insert the API key you obtained at the exchange you have chosen.

By following the steps above, you will successfully give the 3Commas platform permission to make trades on your behalf.

SmartTrade

So, after you have connected the right exchanges to 3Commas, you need to decide which trading strategy you are going to use.

Before we move on to automated bots, we need to discuss the SmartTrade feature.

As we mentioned in the previous section, 3Commas allows you to execute trades on multiple exchange platforms through a single hub. This hub is called SmartTrade.

SmartTrade

In a nutshell, many of the features available through SmartTrade, in particular stop-loss and take-profit orders, will be available in the exchange platform, but some SmartTrade features you won't find on exchanges.

So you can take your cryptocurrency trading activities to the next level.

The set of features from the SmartTrade hub that you will use is ultimately determined by your experience and knowledge of how trading strategies work.

However, to give you an overview of some of the most commonly used features, we have decided to describe them in more detail below.

Trailing order

Trailing orders are an extremely useful tool that has long been popular in the traditional stock market.

Regardless of the underlying asset the bot is programmed to trade, trailing orders essentially allow you to automatically change the stop loss and take profit parameters. In addition, this is done with market conditions in mind.

For example, suppose you want to open a BTC/USDT trade on Binance.

Bitcoin is currently valued at $10,000 and you decide to program a trailing order to exit the trade if it loses 10% in value.

Like a regular stop loss, the SmartTrade protocol will close your trade if the bitcoin price drops 10%.

Trailing order

But what if the bitcoin price starts to rise? Usually you are limited to a fixed take profit order.

A trailing order will adjust both stop loss and take profit percentages.

Continuing with the same example, let's assume that bitcoin increased in value by 20% and so it is now worth $12,000 paired with USDT.

Although your stop loss was previously set at $9,000 (10% of $10,000), it will now move to the $10,800 level.

The reason for this is that a stop loss order with a 10% value will adjust as the Bitcoin price rises.

Short Positions

If you are using a cryptocurrency exchange that supports short selling, the SmartTrader platform allows you to set orders for short trades.

For example, if you are trading ETH/USD and think that a key support level around $230 is about to be broken, then you can instruct the 3Commas platform to sell your current savings and execute a short position order instead.

This is very beneficial if you want to react quickly to market conditions and thus maximize your upside potential.

In addition, short sell orders placed through 3Commas allow you to profit when the entire cryptocurrency trading arena is in a bearish phase.


Smart Sell.


While the Smart Sell feature available through the SmartTrade hub may seem a bit complicated at first glance, once you get the hang of it it becomes a very valuable tool.

In its most basic form, Smart Sell allows you to sell a particular coin or group of coins and then, after a period of time, buy them back.

For example, suppose you currently hold a large amount of XRP, but are concerned that the price of this cryptocurrency is about to begin a short-term decline.

However, you are confident in the long-term viability of XRP, so you want to return to the market when the price reaches a certain figure.

Instead of doing it all yourself in all accounts on cryptocurrency exchanges, you can have SmartTrade do it on your behalf.

Smart Sell

If you want to go one more level higher, you can even try automatic dollar averaging.

You will buy a certain amount of coins each time their price reaches a new low.

For example, you could instruct the platform to buy £ 500 worth of bitcoins when the price reaches levels of £ 9000, £ 8000, £ 7000, and so on.

Automated Bots

As for automated trading bots on 3Commas, the official website offers two options.

If you are an experienced trader and want to enter your own trading conditions into the bot, you can do so without much difficulty.

If you are a novice trader with little experience creating trading strategies, you can copy other 3Commas users' portfolios instead.

However, before describing the main features of automated bots, it is important to note that technical analysis indicators cannot be added to the decision-making process.

We are talking about indicators such as the convergence/divergence of moving averages (MACD) or Bollinger Bands.

Although the 3Commas bot is mostly configured by the user, the decision-making process is actually based on the TradingView released program, which searches for signals on the cryptocurrency charts.

Tradingview Cryptocurrency Signal Finder

In a nutshell, TradingView Signal Finder will scan the cryptocurrency markets at intervals of a few microseconds in order to find potential signals for profit.

In total, the protocol supports four types of orders. These types are: "buy", "strong buy", "sell" and "strong sell".

Once the signal is sent, the instructions are triggered and the 3Commas bot automatically places multiple orders.

They always include an exit strategy with both profits and losses, which is determined by the TradingView algorithm.

However, the key point here is the ability to configure basic parameters, such as entry and exit times, as a "t" argument.

Customizing the trading bot

Here are the basic metrics that allow you to customize the 3Commas platform.

  • Exchanges. You can specify specific cryptocurrency exchanges on which your customized bot should trade. If you want to trade with large volumes, it is best to use several exchanges. In this case, the bot will execute your instructions simultaneously, as opposed to placing manually, where positions are entered one by one. Thus, by placing your orders on multiple platforms, you will not miss any potential trading opportunities. 
  • Pairs. You must specify which pairs your automated bot should trade on your behalf. For example, if you want your bot to trade BTC/USDT and BTC/ETH, simply select the pairs you want from the drop-down list. Before you do that, it's worth looking at the "Recommended Pairs" tab. This lists suitable trading pairs, taking into account the market conditions you specify below.
  • Initial trade size. You must tell the bot the size of the trade you want to open. Don't forget that when the initial order is executed, the bot will place additional trades according to the conditions you set. However, you must enter the amount in the base currency you wish to purchase. For example, if you plan to trade in BTC/LTC, the initial trade size must be specified in BTC.
  • Safety Trade size. The safety trade parameter is used for averaging costs. As we briefly described above, it allows you to reduce the average purchase price when the value of the coin falls. Typically, it places a protective position every time the price decreases against your position by 1%. For example, if you are trading ETH/USDT and you want the bot to start placing protective trades at 1.5 ETH, the bot will place such a position when the price of ETH falls by 1%, and will do so again if it falls by another 1%. As in the case of the base trade size, this parameter must be specified in the base currency. Thus, in the above example it will be ETH, not USDT.
  • Limit of protective trades. This parameter is derived from the above figure. As mentioned, the bot can decide to create a new protective order for every 1% drop against your position. However, you need to specify how many times the bot should do this. For example, if you set the number 4, the bot will place a new protective position when the price falls by 1%, 2%, 3% and 4%. After that, they will place more.
  • Deviation for a protective trade. If you don't want the bot to determine the percentage of price drop to place a protective trade, you can specify it yourself. Simply enter a fixed percentage value in the special field.
  • Scaling a protective trade. If you do not intend to be limited to a fixed percentage, you can instruct the automated bot to use a scaling strategy for the protective trade. For example, you can increase the size of the protection trade when the price decreases by a certain percentage.
  • Limitations on the trading volume. This particular parameter is very important. Basically, you can tell your automated bot to execute your instructions only if the pair you select reaches a set trading volume within 24 hours. For example, if you are going to trade on BTC/ETH, but you intend to enter the market only when the trading volume rises above 1000 BTC, you can do that quite well. Note that the minimum 24-hour volume must be specified in the base currency. Once again, if you are trading BTC/ETH or BTC/USDT pairs, in both cases the base currency will be BTC.

Security

The platform is hosted on a secure server, making it more secure to use and eliminating the need to install any desktop applications.

However, 3Commas strongly discourages providing full access APIs with withdrawal permissions. The platform protects customers from having funds fall into the hands of fraudsters.

3Commas also provides two-factor authentication (2FA), which further protects traders' accounts and personal information.

Profitability

3Commas is one of the few trading robots that openly declares its ability to generate profits. Although the software doesn't specify profit percentages for new users, the platform literally mentions in bold that users can "increase their profits."

And the service backs up its words by showing real-time profit percentages in various forms. At the same time, the platform's three-day trial, which doesn't require any payment information, also becomes a great way to test its services in real time.

Conclusion

The 3Commas bot is a great solution that can suit a wide range of day traders. But before signing up for its paid services, it is better to use the trial version and let the trading bot prove its abilities.

Jack Evans


I became a crypto asset owner in 2014, when the industry was in its infancy. Before that, I was working in the classic US and European stock markets. Since then, I have gained extensive experience in both cryptocurrency investing and day trading. I am happy to share with readers my experience with crypto exchanges, DeFi and NFT instruments.
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