Market Making Bot

WHAT IT DOES

Market Making Bot helps you design market making strategies by generating buy and sell order levels around the current market price. You provide the asset pair, current price, spread percentage, order size, number of orders on each side, and a range multiplier, and the tool calculates the precise price levels for buy orders (below mid price) and sell orders (above mid price). It displays the total buy and sell value, average prices, and estimated profit per trade. This is essential for traders and liquidity providers who want to profit from the spread by placing orders on both sides of the order book. It reads the current network chain ID from your wallet provider for context, but all calculations are performed locally.

HOW TO USE

Connect your wallet using the "Connect" button (required for network context). Select the target network (Ethereum Mainnet, Sepolia, Polygon, BSC, Arbitrum, Optimism, and testnets are supported). Enter the market making configuration: asset pair, current market price, spread percentage (%), order size, number of orders on each side, and range multiplier (spread factor). Click "Generate market making orders" — the tool will calculate buy and sell order levels, display the order book, and show estimated profit. The entire operation is read-only — no transactions are signed or sent.

TECHNICAL MECHANISM

The tool calculates the spread in price terms as midPrice * (spreadPct / 100). The spread factor scales from the minimum spread to maximum spread (spread * rangeMultiplier). Buy orders are placed at prices below mid price: midPrice - spreadFactor. Sell orders are placed at prices above mid price: midPrice + spreadFactor. The spread factor increases linearly for each order level. Total buy value is the sum of (price * size) for all buy orders. Total sell value is the sum of (price * size) for all sell orders. Estimated profit per trade is calculated as (avg sell price - avg buy price) * size. The tool uses ethers.js v5.7.2 for network context but performs all calculations locally. Results are displayed with color-coded indicators.

WHAT IT CANNOT SEE

The tool cannot guarantee that market making orders will execute at the specified spread or size due to slippage, gas fluctuations, or network congestion. It cannot execute trades automatically — only provides notifications and recommendations. It is limited by RPC provider availability and price feed freshness. It cannot place orders on centralized exchanges. It cannot adjust positions dynamically based on market conditions without additional logic. It cannot account for order book depth or liquidity.

PLEASE NOTE

This tool is for educational and analytical purposes. Always verify order levels and execute trades manually. The tool does not persist any data; all state is lost on page reload. EVM chains only.