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Spot

A Spot bot type is designed to work on the spot market.

The mechanics, settings, and algorithm of a spot bot are the same as for other GinArea bots. However, there are certain differences and specific features caused by the differences between futures and spot trading on the exchange.

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Long Spot Bot

A long spot bot works with a USDT balance.

Main features:

  • After buying coins, the bot sells them at a higher price. Profit is fixed in USDT
  • When closing the position, the bot sells all coins under its management
  • Important: if you want to keep the coins purchased by the bot, you need to stop the bot and delete it without closing the position

Read more about stopping a bot on the page:
Bot Stopping Methods and Position Closing — link

Short Spot Trading

For short spot trading, you must have the corresponding coins available.

Main features:

  • A short spot bot sells coins at a higher price and buys them back in a larger amount at a lower price. Profit is fixed in the coin
  • If the price decreases, the bot will fix profit, and your coin balance will increase
  • If the coin price rises, the bot sells the coins
  • Important: when closing the position, the bot buys back the coins at the current price. If you do not want to buy back the coins at the current price, you need to stop the bot and delete it without closing the position

Read more about stopping a bot on the page: Bot Stopping Methods and Position Closing

Advantages and Disadvantages of Spot Compared to Futures Bots

Pros

No liquidation
There is no position liquidation risk on the spot market. In the worst-case scenario, you will keep the coins on your balance, even if they become illiquid.

Cons

Larger order size compared to futures
On the spot market, more funds are usually required to open positions than on futures

Higher fees
Spot trading usually has higher fees compared to futures trading. This increases the required deposit for comfortable trading and reduces potential profit

Some strategies are not available for spot trading

Additional Features of Spot Trading

  • When trading on spot, due to order rounding, a small part of the traded coin may remain on your balance. This amount can only be sold manually on the exchange
  • Running Long and Short bots on the same spot asset at the same time is possible only if both bots have the required collateral. Otherwise, the bots may stop with an error due to insufficient margin, because they will be buying or selling the coin used as collateral by the other bot