faq

About

AlgonautBot. What is it?
AlgonautBot is a cryptocurrency trading service that uses automated algorithms — bots.

A bot independently executes trades on a cryptocurrency exchange based on a pre-developed and thoroughly tested strategy. Anyone can connect to the bot from their exchange account and start trading.
How does AlgonautBot work?
The bot runs on a secure server and trades 24/7 without human intervention. You don’t need to keep your computer on or download any software. After a simple setup in your algonautbot.com, the bot will start trading and working for you — no complex actions or costs required.
What currency do you need to trade?
AlgonautBot supports over 10 different currencies. The available currencies vary depending on the bot type and the connected exchange . Check the bot’s configuration page or your exchange dashboard for the full list of supported assets.
Which crypto exchanges are supported for trading?
AlgonautBot currently supports Binance, ByBit, OKX, Deribit. We plan to add more exchanges soon.
Why is automated trading better than manual trading?
Automated trading eliminates emotion and enforces strict discipline in decision-making. Human emotions like greed and fear often lead to poor trading results. Additionally, our strategies are rigorously backtested on historical data and proven in live markets. Continuous performance tracking helps refine the strategy and reduce the risk of ineffective trades. That said, like all market trading, it still carries risk.
Is it like copy trading?
It’s similar in concept. In traditional copy trading, you follow an individual trader’s orders. With AlgonautBot, you follow a strategy developed and tested by algorithmic trading professionals. It’s a hybrid between an algorithmic fund and copy trading — without transferring funds to third-party accounts.

Beginning Of Work

How to get started?
To get started, you need:
  • register at algonautbot.com
  • have an account at one of the available exchanges or register a new account with our help
  • create API keys with access for trading in your account at the crypto exchange
  • specify the API keys from the exchange in your account on algonautbot.com
  • add and enable a bot in your personal account

Don't worry, this is easier than it sounds, and we have instructions for each step.
What are API keys and is it safe?
API keys provide access to an account on the exchange for AlgonautBot. When creating the keys, user chooses what actions can be performed by the one to whom the keys were provided to. AlgonautBot only requires the rights to trade and view the wallet balance. The service has no option to withdraw funds from an account at the exchange. User can always delete the API keys in his account at the exchange and deny access for AlgonautBot.
How to connect an exchange?
On the Exchanges tab, you need to enter the API key & Secret key for the exchange to which you want to provide the access. This data must be copied from the account on the exchange where the keys were created.
Which connection to choose for Binance?
For Binance, you are to choose one of two connections: to BINANCE USDT FUTURES if the main currency for trading is USD (t) and BINANCE COIN FUTURES if the main currency is BTC or ETH.
Do I need to transfer funds to the bot?
For trading there is no need to transfer funds, it is enough to give the access to trading operations. All funds remain with users on exchanges, and the access can be stopped at any moment.
Which exchange to choose?
We support only large, reputable exchanges. You can choose any exchange that operates in your jurisdiction.
How to add and configure a bot?
In the Bots section, you need to click Add Bot. In the form that appears, select the exchange to work with (having connected it in the Exchanges tab in advance). Then you select the main currency for trading, instrument, and risk. You can name the bot at your discretion and click Submit button.
What is the risk level?
The risk reflects the calculated drawdown that is possible when working with a bot. You can choose one of 3 types of risk: Low (15%), Medium (20%), High (25%). The higher the risk, the higher the profitability, and vice versa.
Can I trade multiple currencies?
For a single currency pair, you can only have one active bot at a time. However, you can run multiple bots if they are trading different currency pairs.
Can I trade multiple instruments with USD?
When trading with USD main currency, you can trade several instruments at the same time.
How to start the bot?
After adding a bot, it will be displayed in the Trading bots list. In the Actions column, click on the Play button. If the status of the bot has changed to Active, it means that the bot is enabled. If everything works correctly you will observe the pending request submitted by AlgonautBot at the exchange in the Open Orders (or Stop Orders) section.
How to stop the bot?
In the Trading bots list, click on the Stop button. This will stop the bot and remove all active requests. When the button is not active, it means that the bot is either already stopped, or there is an active position. If you want to stop the bot anyway, you must first click on the "Close position" button, and then stop the bot.
How to contact support?
Send an email to support@algonautbot.com and ask any question you have.

Results of AlgonautBot strategy

What are the results of the strategy?
Results vary from year to year depending on market conditions. At its peak, the strategy has achieved up to 70% annual returns.
What instruments are recommended?
We currently recommend the Megabot as the most balanced option available.
Are the results real or backtested?
In the period 2017-2018, the results are obtained by testing, starting in 2019 the bot trades in real mode with the same results.
Is profitability guaranteed?
Unfortunately, when trading with a bot, it is impossible to guarantee profitability. Past profitability does not determine future profitability. It may happen that the market will change, and the bot will no longer be effective. However, for now cryptocurrencies are great for trending strategies.
What is the maximum drawdown?
The main risk measure for an algorithmic strategy is the drawdown value. The lower it is, the better. For the medium risk, AlgonautBot has a maximum drawdown of 35%.
What is drawdown?
Drawdown is the % reduction of the balance from the maximum point to the minimum. For example, your account grew from 1 BTC to a maximum of 1.4 BTC, and then fell to 1.2. Drawdown for you will be (1.4-1.2)/1.4=14.3%.
When does the bot work best?
The bot works best on medium volatility trend movement. Maximum drawdown can be noticed during the high volatility flat phase of the market.
How many transactions are made?
The frequency of transactions depends entirely on market conditions. There may be several trades in a single day, or there might be weeks between trades.
What is the win rate?
About 60% of transactions are closed with a profit. This rate strongly depends on the market, but the strategy is designed to be profitable in the long run.
Recommended trading period?
We recommend trading for at least 3 months to charge the outcome of the strategy. It may happen that you will get a good profit in the first month, or you may get a drawdown and have to wait. No one knows the future, but statistics is on our side.

Bot trading

How does the bot enter a position?
At first, the bot checks where the trend is directed and places orders only in the direction of the trend - TREND FILTER is used for this purpose. Positions are opened at the time of volatility surge or a breakout of the trading congestion.
How does the bot close a position?
Once the position is open, AlgonautBot places 2 orders to close: by TAKE PROFIT and by TRALING STOP. If the movement goes in the right direction, the position will close in profit at the TAKE PROFIT target price, if the trend has changed, the bot will quickly close the position at TRALING STOP, which is constantly “pulling up” as the price moves in the right direction.
How are Take Profit and Trailing Stop used?
Positions are closed either when the target price - TAKE PROFIT is reached, or when the TRALING STOP level is reached. TAKE PROFIT is determined in advance based on market volatility using an adaptive AI-mechanism.
How is risk managed?
When opening a position, the algorithm always considers that only a small % of the account can be put at risk. This allows you to avoid a serious loss and manage trading dynamically in the highly volatile crypto currency market.
What is position sizing?
An essential part of the risk management of the bot is position sizing. The higher the market VOLATILITY, the lower the position volume.
What leverage is used?
Leverage can reach 1.5-2x. It means that if the balance is 10,000 USD, the bot can hold positions on 15 000- 20 000 USD in total.
Can you give an example of a trade?
You have $ 10,000 and you are trading BTCUSD. December 30, 2020 AlgonautBot enters the position - BUY futures on BTCUSD for $ 16,000 at 28,400 (0.56 BTC) based on volatility of $ 235. TRAILING STOP is immediately set at 26 590 and is pulled up as Bitcoin grows. On January 4, 2021, the price reached the TRAILING STOP level of 31,300, and the bot exited the position. Profit: $ 1,624 or + 16 .24 % to the account. If you count in BTC, the profit was 1,624 / 31,300 or 0.0519 BTC.

Purchase

How much does it cost?
We charge a 20% commission on the profit made during the month. If there is no profit, you pay nothing.
When is the payment due?
Payment must be made by the 5th of the following month.
What happens if I don't pay?
If the payment is not received by the due date, the bot will be forcibly stopped and all open positions will be closed.