Features & explanation
What can a Market Maker bot do?
The Market Maker bot provides liquidity to a market of your choice.
The definition of a market-maker as stated by investopedia: "A market maker must commit to continuously quoting prices at which it will buy (or bid for) and sell (or ask for) securities. Market makers must also quote the volume in which they're willing to trade, and the frequency of time it will quote at the Best Bid and Best Offer (BBO) prices. Market makers must stick to these parameters at all times, during all market outlooks. When markets become erratic or volatile, market makers must remain disciplined in order to continue facilitating smooth transactions."
How does the Cryptohopper Market Maker bot work?
The Market Maker bot of CH allows you to place layered limit buy and sell orders, thus keeping the market liquid. By placing these orders the orderbook of the exchange will change, and the market will move accordingly.
What does the Market Maker bot Cost?
An adventure / hero subscription
Setting up the Market Maker bot
Selecting the Marketmaker
When creating a new hopper, you will be prompted with three choices:
- Trading Bot
- Arbitrage Bot
- Market Maker
Go with the Market Maker option
The General Settings
The General settings are the same as for your regular hopper!
First up, the Basic settings
- Name
- Live bot
Then, the Exchange settings
- Exchange
- API Key
- API Secret
Lastly, the Notifications
- Exchange
- API Key
- API Secret
The Market Maker Settings | Market & Pricing
A new widget has been created for Market Makers, in which they will be able to set a whole array of new settings!
- Market
The market where you want to do market making on.
- Strategy
The strategy that dictates the market trends and switches between them
- Market trend
Can be either Neutral, Uptrend or Downtrend
- Order sequence
buy and sell at the same time, first buy then sell, or first sell then buy.
- Order Layers
Order layers represent the tiered buy and sell orders you are going to be placing
- Buy Amount (within layer)
The buy amount with which the market orders will be placed.
- Percentage Higher ask (within layer)
If configured the ask/sell price of the sell order will be increased with this percentage.
- Percentage Lower Bid (within layer)
If configured the bid/buy price of the buy order will be increased with this percentage.
The Market Maker Settings | Auto cancel
A new widget has been created for Market Makers, in which they can choose when to open, and when to close positions!
- Autocancel time
the autocancel time. The market maker bot will automatically cancel the orders after this configured period. Minimum time is 30 seconds, maximum time is 99 days.
- Cancel on trend change
When enabled you can auto cancel orders when the market trend changes and you have enabled this market trend configuration.
- From neutral To downtrend
- From neutral To Uptrend
- From downtrend to Neutral
- From downtrend to Uptrend
- From uptrend to Neutral
- From uptrend to Downtrend
- Cancel on percent change
When enabled you can auto cancel orders when the market changes with X percent in X amount of time. This will only cancel orders that older than the configured period of time.
- Percent change: (only if cancel on percent change is enabled)
the percent change.
- Percent change period (only if cancel on percent change is enabled)
Select the period (candle) of the time to measure the change. Make sure to set your autocancel time longer than this configured period. Minimum is 1 minute, maximum is 24 hours.
- Cancel on depth
When enabled you can auto cancel orders when the there are an X configured better bids or asks above or below your configured price in the orderbook.
- Depth limit:
Enter the depth limit on which you want to cancel your orders. Minimum is 1, maximum is 500
The Market Maker Settings | Stop-loss
In the Settings tab, You can set stop loss orders and direct your bot on what to do when the market turns
- Enable
The market maker bot will wait this period before placing new orders.
- Upper limit price
- Upper limit price
- cancel market makers
When enabled your market maker orders will be cancelled when a stop-loss limit is hit.
- allow revert / retry
When enabled your cancelled orders can still be reverted or retried according to your configuration.
The Market Maker Settings | Revert & backlog
In the Settings tab, you have a completely new setting, revert & backlog
- Move failed to backlog
When enabled market maker orders which are failed or cancelled will be automatically moved to your backlog.
- Automatic match backlog
When enabled market maker orders moved to the backlog will be automatically matched together if it will result in a correct and successful match: same amounts, same price or profitable.
- Revert cancelled orders
Select if you want to revert cancelled and failed market maker orders. If for example a sell is successful and a buy order is cancelled, the buy order will be placed again at a different price and the profit/loss will be recalculated.
- Only revert/retry with profit
only attempt to revert if it would result in a profit, no matter how small.
- Maximum loss %
If configured the ask/sell price of the sell order will be increased with this percentage.
- Neutral trend
- Do not revert / retry
- buy / sell for BBO
- Buy/sell according to trend config
- Sell for best offer, buy with config
- Buy for best bid, sell with config
- Sell for best bid, buy with config
- Buy best offer, sell with config
- Uptrend
- Do not revert / retry
- buy / sell for BBO
- Buy/sell according to trend config
- Sell for best offer, buy with config
- Buy for best bid, sell with config
- Sell for best bid, buy with config
- Buy best offer, sell with config
- Downtrend
- Do not revert / retry
- buy / sell for BBO
- Buy/sell according to trend config
- Sell for best offer, buy with config
- Buy for best bid, sell with config
- Sell for best bid, buy with config
- Buy best offer, sell with config
The Market Maker Settings | Settings
In the Settings tab, you have a couple of options that allow your hopper to go into cooldown, and remove the order after a certain time has passed.
- Cooldown period
The market maker bot will wait this period before placing new orders.
- Autocancel time
The market maker bot will automatically cancel the orders after this configured period.
The Dashboard
In the dashboard, there are quite a few new custom made widgets for the Market makers to enjoy.
The tradingview widget
A visual graph to showcase the current price. We have narrowed the price down to one minute!
The Orderbook
The depth of the order book, you will be able to see where the volume is located and adjust your buys and sells accordingly.
you will also be able to see where your hopper has placed buy and sell orders.
Auto Confirm
Auto confirm buy, sell and cancel. When auto confirm is enabled, you can buy, sell and cancel without having to confirm your action. You will also stop receiving success and error notifications of your actions.
Manual market making
When enabled your buys and sells will be connected to each other and will be handled as normal market making orders in your bot. How it works: when you first place a buy order and then a sell order, then they will be connected. When you do 2 buys and 2 sells, the first sell is connected to the first buy etc.
Open orders
The current open orders.
Market Makers
The current active market making orders.
Backlog
In the backlog all trades that have failed to be executed are placed.
Last 5 trades
The last 5 sales done by your hopper.
Market trend
The trend your chosen market is currently in according to your strategy. The trend can be either : Uptrend, Downtrend or Neutral.
Market Makers
Your active market making orders.
Hopper enabled / disabled
If the hopper is enabled and / or disabled, it will be shown here, same goes for buying and selling.
It is no longer possible to enable or disable buying / selling separately, as both are required for marketmaking.
total Base currency returns
The total returns that have been made using the market making tool, it will give you an accurate representation of your profitability.
Total coin you are holding
As marketmaking is done for 1 trading pair, this will list the amount of your chosen coin you still have on your exchange.
Total basecurrency you are holding
The total amount of your basecurrency that you are holding. It lets you know if you have made profit or loss as well.
Manual order
This widget allows you to create a Manual order, in case you want to overrule the hopper.
Current Assets
This is an overview of ALL coins in your portfolio
Read everything in our documentation page