How the Max Price and Reserve Funds Options Work in the DCA Bot
This guide explains how the Max Price and Reserve Funds options work in the DCA bot. It covers when and how funds are reserved, what appears in the interface, and how these settings affect the bot's behavior.
For a DCA Long bot, the Max Price feature allows you to delay the bot’s start until the market price drops below your specified threshold. This is useful if you expect the asset to become cheaper and want the bot to start trading only afterward.
What Is the Reserve Funds Option?
When Max Price is activated, the Reserve Funds option becomes available and is enabled by default. It ensures that your full investment is reserved while the bot waits for the market to reach your Max Price (for Long bots, this means the price needs to drop).
This prevents your funds from being used elsewhere and guarantees the bot will start as expected once the market conditions are met.
How the Logic Works
1. When Max Price + Reserve Funds Are Enabled
Bot Setup:
- You configure the DCA bot and, under Manual Adjustments > Risk Management, set a Max Price below the current market price.
- The Reserve Funds toggle turns on automatically (you may disable it manually if needed).
- After confirming, the bot checks whether the current market price is above Max Price.
- If so, the bot places a limit order far away from the current price to lock the full investment amount on the exchange.
What You See:
- In the Bot List, the bot appears with the status: Funds Reserved (instead of “Range”).
- In the Performance Card, the reserved amount is shown.
- In the Asset Allocation section, the funds appear as reserved in orders.
- A limit order is displayed on the chart, labeled as a reservation order.
- Depending on the exchange's rules, there may be multiple limit orders if your investment exceeds per-order volume limits.
When the Price Reaches Max Price:
- The reserved limit order(s) are automatically canceled.
- The bot starts trading: it places the base order and builds the averaging grid.
- The bot status changes from “Funds Reserved” to “Active”.
2. When Max Price Is Enabled but Reserve Funds Is Disabled
- The bot places no orders until the market price drops below Max Price.
- It shows a “Range” status and does not reserve any funds.
- This means the funds may be used elsewhere, which could prevent the bot from starting later.
Why Reserve Funds Is Useful?
This feature allows you to:
- Delay bot activation until favorable market conditions are met.
- Ensure funds are securely locked and not available to other bots or manual trades.
- Prevent confusion or accidental overspending when managing multiple bots.
Interaction with Other Settings
- If Active Order Limit (AOL) is enabled, the reserved amount only includes the funds needed for active (non-on-hold) orders.
- If Profit Reinvesting is enabled, the reinvested profit is also included in the reserved amount.
- If your bot is set to launch based on indicator signals, the Max Price and Reserve Funds settings take priority. The bot will not start until the price crosses Max Price — even if an indicator gives a valid trigger.
Updating an Existing Bot
You can apply Max Price and Reserve Funds to an already running bot:
- Modify the bot and set a Max Price below the current market price.
- Ensure Reserve Funds is toggled ON.
- These changes will apply after the current cycle ends.
⚠️ If there are not enough funds available for reservation, the bot will enter the “Insufficient Funds” status, and the limit order may fail.
Notes
- For a DCA Short bot, the logic works in reverse: the bot places a limit sell order far above the current price to reserve the investment.
- Manual cancellation of the reservation order will cause the bot to re-create it.
- The feature works only for Spot DCA Bots (not supported on Futures)
What's Next?
- Increase DCA Bot Position with Manual Averaging: Explore advanced usage by manually adjusting positions to optimize your DCA bot's strategy.
- Increase Your Trading Strategy Options with Active Orders Limit on DCA Bots: Discover how to expand your trading potential by configuring active order limits.
Need Assistance?
If you encounter any issues or have questions, don’t hesitate to contact the Bitsgap Customer Support Team.