Grid Trading Bot: Strategy and Code

Grid trading is one of the most popular passive crypto trading automation strategies. It places a series of buy and sell orders at regular price intervals, profiting from market oscillations without predicting direction.

How the Grid Works

Imagine a price range of $90,000 to $100,000 for BTC. You divide it into 10 levels, $1,000 apart. You place buy orders at each level below the current price and sell orders above. Every time price moves up one level, you sell. Every time it moves down, you buy. You collect the spread repeatedly.

Python Implementation

def create_grid(lower, upper, levels, qty_per_level):\n    step = (upper - lower) / levels\n    grid = []\n    for i in range(levels):\n        price = lower + i * step\n        grid.append({"side": "buy" if price < current_price else "sell", "price": price, "qty": qty_per_level})\n    return grid

When Grid Trading Fails

Grid bots lose money in strong trending markets. If BTC breaks below your lower bound, you accumulate a large long position at a loss. Always set a maximum position limit and monitor your crypto algo trading grid carefully.