People think they can think up one formula which rules them all, thats not how it works. Throw in the fact that the market is ever evolving and you have a great way to lose your money very, very slowly. If you are going to run a crypto or stock bot it's best to run a paper trading algo that you can copy trade but with a discount.
What does that mean? First, make a high probability strategy (Whether it's a straddle, iron candor, or good old chart eyeballing), then, monitor the virtual trades that your bot makes. When you see the strategy is underwater on one trade, you enter. its like having a discount of 0.1 to 1%. *premium hands only* from time to time, you will need to change some stuff (as needed). If not needed then dont change anything.
The biggest thing is dont over trade, one trade a day can be enough. make hours for yourself and space for other things. While I'm not the biggest fan of leverage, dont be afraid to use it but always have an exit plan in case the trade goes south (basically, have a fucking strategy)entering when conditions are the best is like getting a nice hand in poker, you'd have to be a little retarded to fuck it up with a hand like that. but there is always the risk that the whales cut your run short because they can smell you have a good hand, make sure you exit in time.
Use leverage to decrease your exposure but also, to amplify gains.If this is the firt time you're hearing about leverage, disregard this completely though. A person with no money will have take on more risk using leverage, but there is no two ways about it unless you want to trade for 1 year to get $200. you either use more leverage, you take a loan or you find some other way to have more money.
also, your strategy should preferably work on stocks, crypto, commodities, leveraged etfs, most of the time. it can not work on every instrument but you should be able to see that it functions in all more or less. you should be able to trust it as much in bitcoin as you trust it in wheat or lumber or in some 3x direxion etf. again, not every time of course but thats why you limit your risk to something fixed and tangible in the first place. guys, no matter if you are automated or discretionary, you must to put in the hours.
When backtesting, if your exchange fee is 0.04 % for opening a trade, then crank that up to 0.1% in the backtest. make sure your sauce is robust. If your strategy cant handle the fees, you need to look for another exchange where there are free trades or something. If you want to defeat the fees, you have to scale in to your trades. This is not only useful against fees but is useful in general to get a better price. this means you need to bet carefully and intentionally.you see all those wicks and long candles on the 1-minute or the 3-minute chart chart? When there is not a real trend (which is relatively rare through out the day) those wicks are like good starting cards but if you hesitate and fold too early, you cant get those other cards to make the good hands. When your reptillian brain screams sell because of that wick downwards, thats when the monkey brain needs to wake up and open a long with a calculated order size.
Basically, your enemy is the trend, thats when the trend followers make money and this means reversionists are losing. Your job is to not lose money on those trends. The rest is fairly straightforward classic stuff. How to identify the trend? Well that's a topic for another time.
Overall, you need time to get good in trading so that you can set your bot up optimally. It's not going to be some set it up and forget it deal. If you're using a bot that you yourself did not code then watch out. You never know what that bot has access to. Possibly your whole account, possible withdrawal permissions. You will need to try and fail with your bot until something sticks. People think they can just glide in through the front door to get to mordor in one week. you have to spend hours upon hours to get good and to get a feel for the market. You have to fail to succeed, if you lose more than you wanted to, you need to learn some sort of lesson from what happened.
A good friend of mine likes to always say "You're picking up pennies in front of a freight train" with regards to the ammount of risk you take on for the sometimes meager reward of trading bots. That can be applied to just about anything in any market of course though, but I had to honorably mention it.