This repository contains an advanced crypto market-making trading algorithm that focuses on the "IOTA/BTC" trading pair on the Binance exchange. The algorithm is designed to leverage market-making strategies to profit from bid-ask spreads while effectively managing risks arising from price fluctuations and inventory changes.
- Dynamic Initial Balance Calculation: The algorithm queries exchange APIs to determine the initial account balance, forming a reliable baseline for P&L calculations.
- Advanced Order Book Analysis: Accurate market-making decisions are informed by in-depth order book analysis, optimizing bid and ask prices for optimal trade execution.
- Real-time P&L Monitoring: Trades are executed dynamically, with the algorithm consistently updating the Profit and Loss (P&L) value after each trade.
- Stop Condition Implementation: A stop condition mechanism is embedded to mitigate risk. If the current P&L falls below a predefined percentage of the initial balance, the algorithm halts trading operations.
- Replace API endpoints and keys in the code with actual credentials for Binance and Kraken exchanges.
- Incorporate the code into your trading infrastructure, ensuring thorough testing in a controlled environment before deploying it for live trading.
- Utilize the provided CSV output to monitor trading positions, P&L performance, and adherence to the stop condition.
- Use this code responsibly and after thorough testing.
- The integrated stop condition feature provides a safeguard against significant losses, enhancing the algorithm's viability for successful crypto market-making endeavors.
If you are interested in learning more about Market Making, refer to my medium article: https://vishnugovind10.medium.com/unveiling-the-world-of-decentralized-finance-defi-and-decentralized-exchanges-dexes-2e180a440e52