--- title: 'AI Trading Strategy: Crypto Day Trading Bot (Setup From Scratch)' source: 'https://youtube.com/watch?v=t42_UZvpLl8' video_id: 't42_UZvpLl8' date: 2026-10-23 duration_sec: 353 channel: 'Thomas Reed' --- # AI Trading Strategy: Crypto Day Trading Bot (Setup From Scratch) > Source: [AI Trading Strategy: Crypto Day Trading Bot (Setup From Scratch)](https://youtube.com/watch?v=t42_UZvpLl8) ## Summary This video demonstrates how to build and deploy an AI-powered crypto day trading bot from scratch. The creator walks through the setup process, including installing a Web3 wallet, deploying a smart contract, adding liquidity, and activating the bot, while emphasizing that the system automates complex trading decisions. ### Key Points - **AI Trading Bot Overview** [00:01] — The creator introduces a crypto trading bot that uses AI and AI agents to automate trading, making it accessible for those unfamiliar with technical aspects of crypto. - **Core Mechanism** [00:41] — The bot operates as automated day trading, monitoring Uniswap for fast-moving opportunities, prioritizing transactions by paying higher gas fees, and executing buy-sell orders to capture small profits. - **AI Tools Enable Practicality** [01:22] — Rapid advancements in AI tools like Claude and ChatGPT have made building such automated trading systems more practical, given the high daily volume on decentralized exchanges. - **Setup: Wallet and Development** [01:34] — The setup requires a Web3 wallet extension, navigating to a development environment on Ethereum, creating a new file, and using provided code (also in the description). - **Deployment and Verification** [02:14] — After deploying the smart contract, the creator verifies the contract creator address matches the wallet address for ownership and control, all verifiable on the blockchain. - **Adding Liquidity** [03:24] — The recommended liquidity range is 2 to 8 Ethereum, with returns plateauing around 30 Ethereum. Going below 1 Ethereum may cause liquidity issues. - **Activation and Monitoring** [04:42] — The bot is activated and left to run. After a day, the balance is checked, and terminal logs show every action the contract performs, ensuring transparency. - **Educational Disclaimer** [05:25] — The creator clarifies the video is purely educational and not financial advice, sharing personal experience only. ### Conclusion The video provides a step-by-step guide to setting up an AI-driven crypto trading bot, emphasizing automation and accessibility, while reminding viewers of the educational nature of the content. ## Transcript been working on. A crypto trading bot that uses AI to do the heavy lifting. dependable ways to generate passive income. I've tested out tons of different online income strategies over the years, and honestly, AI trading has I've tried. Here's the thing that makes this special. I built the entire system from scratch using artificial intelligence and AI agents. [music] So, if crypto or trading feels like too much to wrap your head around, that's master every technical aspect because the AI automation handles all the complicated parts. It essentially runs the whole operation independently. So what's the actual mechanism here? The concept is pretty simple when you break it down. [music] Picture it as automated day trading. The bot keeps an eye on in and unis swap searching for very specific opportunities that move fast. When it identifies transactions that are the gas fee [music] so our transaction gets priority and processes first. Once ours goes through, it [music] immediately follows with a sell order. That's the core of how it works. We're basically capturing small profits from [music] transactions. The idea isn't complex, but timing is everything. These opportunities appear and disappear in seconds. And with AI tools like Claude and ChatGpt advancing so rapidly week after week, building an automated trading system like this has become much more practical. If you follow the crypto space at all, you know there's enormous amounts of money flowing through these decentralized exchanges daily. That volume is precisely what makes this AIdriven approach profitable. Okay, let's walk through the setup process. First off, you need a web 3 wallet extension installed in your browser. If you already have one, you're ready to go. After that, navigate to this using to develop on the Ethereum network. I've added all the necessary so you'll find everything you need there. Start by creating a new file and naming it. Keep it simple, whatever feels right to you. Here's the code we're going to use. I've also included it in the description for easy access. you're free to run it through any auditing service you trust if you want this tab. At the top, you'll see a version number displayed. Make sure it matches what you see here. Then click right here. Perfect. extension. Open this tab. Choose the option shown here from the drop down. option shown here from the drop down. [music] And when the connection prompt appears, approve [music] it. account details should pop up in the console. console. [music] transaction fee involved. This is completely normal when deploying smart [music] stress about it. Just wait until the confirmation message appears in the console output. That message confirms everything was set up properly. Here's the control panel. It's pretty intuitive and easy to navigate. verification on the entire configuration. You want to verify that the contract creator address matches your [music] wallet extension address. ownership and control. It's all verifiable on the blockchain through cryptography. Now, we need to add liquidity to fund the bot. The recommended range is between 2 and 8 Ethereum. Technically, there's no hard limit on how much you can add, but from my own testing, I've noticed returns tend to plateau around 30 Ethereum. More liquidity means the bot can handle more higher potential [music] earnings. That said, I wouldn't recommend going below one Ethereum. If the balance [music] drops too low, you might encounter liquidity issues, so keep that in mind. Click here to copy the bot's contract address we verified earlier. Make sure your wallet is loaded with whatever amount of liquidity you plan to use. Then go to the send function, select Ethereum as the asset, paste in [music] the bot's contract address, enter the amount you want to transfer, and confirm the transaction. All right, that went through successfully. Let's click here to verify successfully. Let's click here to verify it's been registered in the system. actually [music] start the trading bot. Click here. And we're live. [music] I'm going to let it run and come back to check on it later. Okay, a full day has passed since we activated it. Let's click here and check activated it. Let's click here and check the balance again. If you want to examine the details, the terminal logs show every single action the contract performed. It's all open source and fully [music] transparent. funds, just click here and confirm the withdrawal. [music] results. One last thing before we wrap up. This video is purely educational and positioning myself as any kind [music] of certified professional or financial adviser. Nothing here should be interpreted as professional advice. sharing what I've personally done and experienced with crypto trading. If you have questions, my contact info is in the description. Feel free to like the video and subscribe if you found this useful. I've got more content like this useful. I've got more content like this planned for the future.