Pump threshold: how far a coin must rise before the bot shorts it
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The pump threshold is the minimum percentage rise a coin must show before the Snapback bot treats the move as a pump and considers shorting it. It is the first and most important condition of the signal: until the rise reaches your chosen number, the bot ignores the coin and none of the other filters even run.
What it means in plain words
The bot watches the USDT perpetual contracts on Binance USDT-M futures. After every closed one-minute candle it looks at a recent stretch of time (its length is the pump window), finds the highest point in it and the lowest point that came before that peak, and calculates how many percent the price climbed between the two. If that number is at least your threshold, the coin becomes a candidate for a short.
Why it exists
The strategy rests on the idea that a coin which spikes sharply often pulls back afterwards. The threshold separates ordinary price wiggles from sudden jumps. A higher threshold means such jumps are rarer and look more like an artificial move. A lower threshold means the bot sees more candidates, including smaller and less pronounced moves. For background on the phenomenon, see what a crypto pump and dump is.
How it works in the code
The bot takes the last N one-minute candles (N depends on the window) and finds the candle with the highest high. The low is taken only from candles up to and including that peak. The rise equals (peak / low - 1) x 100. This is deliberate: if a coin shot up and then fell back, the distance from the peak down to the bottom is not mistaken for a pump, because that move was never a tradable pump.
The check runs every time a one-minute candle closes. The signal price, from which the entry is calculated later, is the close of that candle. The pump peak is stored with the signal and is needed for the "At the chart level" entry mode (see entry price).
Illustration of the mechanism only, not advice: the low in the window is 100 and the peak is 112, so the rise is 12%. With a 10% setting the signal fires; with 20% it does not.
Allowed values and defaults
Only 5, 10, 20 or 25 (percent). The code has no default for this field, so a value must be chosen. The wizard form pre-selects 10%, but that is just the form's starting choice.
What happens if it is higher or lower
- Higher threshold: fewer signals, each with a stronger move. The bot may go a long time without trading.
- Lower threshold: more signals, many of them weaker moves. The number of trades grows, and so does the load on your risk limits.
Whether a particular choice pays off depends on the market and your other settings. You can test it on history with a backtest, but past results do not guarantee future results.
How it connects to other settings
- Pump window: the same percentage rise happens more often over a longer time.
- Trading volume and the blacklist: they filter coins out even when the rise is large enough.
- Confirmation candle: requires the price to have already started pulling back.
Common mistakes
- Thinking the threshold is the size of the drop the bot expects. It is only the bar for a coin to be considered at all.
- Expecting the bot to short at the exact highest price. Entry is a limit order, and it may not fill.
- Comparing settings with different windows while changing nothing else: the threshold alone says nothing about how fast the move was.
Where to find it in the bot wizard
In the "New bot" (or "Edit") form, the "Pump" block, captioned "how much and how fast a coin must rise for us to short it". The first row has the rise cards (5%, 10%, 20%, 25%); the second row is the window ("within 1 h", "within 1.5 h", "within 2 h").
Frequently asked questions
What is the pump threshold in a trading bot?
It is the minimum percentage a coin's price must climb, from its lowest point up to its peak inside the window. Only after that does the bot consider the coin for a short.
What pump percentages can I choose?
Four options: 5%, 10%, 20% and 25%. You cannot type a custom number.
Will the bot open a short as soon as the price rises by that percentage?
No. It is only the first condition. The coin must then pass the other filters: trading volume, blacklist, confirmation candle and the not-all-time-high check.
Is the rise measured from the start of the window or from the lowest price?
From the lowest price before the peak inside the window. A drop after the peak does not count towards the rise.