Chatbot as a Trading Tool in the Cryptocurrency Market

Abstract

Today, cryptocurrencies and topics related to information technology are attracting more attention not only on the part of traders, but also scientists. More research is being carried out aimed at the thorough study of cryptocurrencies, as well as the search for ways to facilitate interaction with blockchain. The topic of data analysis for cryptocurrencies is becoming increasingly important as the number of companies dependent on cryptocurrencies is growing rapidly. There are problems related to the cryptocurrency trading process, such as forecasting prices and trends, forecasting volatility, building a portfolio, detecting fraud, analyzing indicators for various cryptocurrencies. To solve these problems, trading bots are used. Trading bots are software products or websites that offer so-called «algorithmic trading», as they automatically analyze the actions and indicators of the market, offer strategies to maximize the trader’s profits and increase his satisfaction. They can aggregate historical market data, calculate indicators, model the order fulfillment and can even be set up to execute strategies while the customer is asleep. When analyzing the needs of the market, it turned out that there was a lack of a chat bot that would help traders or simply persons interested in the topic of cryptocurrencies to receive fresh information about the latest changes in the market. The article considers the functions and examples of performance of the chat bot CryptoAlert, created by one of the authors, which helps users to always be aware of the latest changes in the cryptocurrency market. The main function of the bot is to receive notifications about significant changes in the price of the selected coin. The use of CryptoAlert facilitates the trader’s work and significantly increases the likelihood of successful trading in the market.