How To Generate Passive Income From Volatility in the Crypto Market
Crypto coins have turned out to be a great investment in the past, if we had the patience to hold on to them. This will likely continue in the future, even though the growth rate will probably slow down for most coins. One aspect of the crypto market that keeps many people from investing is the extreme up- and downswings we can witness almost every week. While this creates challenges if we want to use crypto to make or receive payments, there is a way we can benefit from these market movements and generate passive income.
What we like about this investment option is that it does not utilize any leverage, does not require you to go short on a crypto coin, and can generate a steady income stream of 5-20% per month if configured well. This is what your passive income could look like after a little over two weeks (amount in the middle):
The account balance is shown on the right, the profit generated from the bot in the middle, and P&L on the left shows the value change from the crypto coin you invested in combined with the bot profit. In this case the value of the coin dropped about 2% over two weeks, but since the bot generated 4.41% profit your account is still in the green! This shows the immense value of using bots in a sideways or even down trending market.
You can start with as little as $250 when using KuCoin or Gemini. You can either choose to reinvest the profit and accelerate your path to financial independence. Or you can take all or part of the profit out each month to pay your bills.
So How Does This Work?
The bot platform uses a grid trading system indicated by the thin red and green lines you see in the Ethereum / USD graph above. The red lines represent sell limit orders, meaning a portion of the Ethereum balance in your account will be sold if the price level is reached. And the green lines represent buy limit orders causing more Ethereum to be bought when the price travels lower. Green circles indicate where buy limit orders were triggered in the past and red circles do the same for sell limit orders. Even though the price traveled mostly sideways and a little bit down in the above graph, several sell limit orders were triggered causing the bot to generate a significant amount of profit from the price movement. Four sell orders were even triggered as the price moved down, generating profit for us as the market dropped.
You could set up a grid like this manually in your Gemini or Binance account as well. The basic idea is you choose a size of your grid step (let's say 3% of the coin price) and the number of grid levels (let's say 10). Next you buy / sell some of your assets so you have 50% available in the base currency (maybe USD) and 50% in the coin currency (maybe ETH). Then you create 5 sell limit orders above the current price, grid step size apart from each other and 5 buy limit orders below the price. When one of your orders gets triggered you wait until it gets at least grid step + transaction fee away from the price level and then close it (buy/sell the opposite direction) or let it hit the opposing orders on the other side. You can restore the limit orders that got triggered once per day / week / etc. depending on the grid step size and market movements.
It becomes a lot easier, less time consuming, and more efficient if you let the automated bots handle these tasks for you, of course. Click below to create your free trial account.
Step 1: Create an Account With a Crypto Exchange
If you don't already have a crypto account that is supported by the Crypto Bot Platform we introduce below, we recommend you create a free account using one of the buttons below. We also vetted these exchanges for having low transaction fees which is essential for a profitable Crypto Bot Strategy.
Step 2: Create an Account With The Crypto Bot Platform
This platform connects to your crypto exchange and can be configured to place automated trades on your behalf to benefit from market movements. Create a free trial account and explore the full functionality of the platform for 14 days:
We recommend you explore the Bots section after connecting your exchange and choose a currency pair that is among the top 50 coins or higher. The default settings of the Sbot or Classic Bot are usually fine to start. Use the Backtest feature to confirm if the currency pair would return a decent return for the last month. Aiming for 5% or more is usually a good idea. If you do not have a lot of experience with leveraged investments, both positive and negative, we highly recommend you stay away from the Combo Bot and the Futures offering in the platform, as well as currency pairs that use leverage.
If you are happy with the performance after the 14 days trial you can switch to one of their paid account options. Their plans are reasonably priced for the amazing value the bots provide. They also have a free account option with limited features.
Step 3: Make Sure You Added 10x Launchpad to Your Email Address Book
Please add 10x Launchpad <smrtdrplts@gmail.com> to your email address book or contact list if you have not done so already to ensure you receive valuable messages from us on how to maximize your passive income.
Step 4: Join Our Facebook Group to Access Our Training Video on How to Create and Configure Your Account
Learn more about crypto, passive income, and how to set your account up for massive growth. Connect with other members in our community and get answers to your questions, share ideas, and much more.
Disclaimer: Investment in crypto involves greater risk than is generally associated with investment in larger, more established assets and can result in significant capital losses.