Topic: $100 price difference between exchanges ... - page 4. (Read 696 times)
Arbitrage opportunity presents itself every now and then between exchange and if you have fund present in both exchange, you can make a decent profit in a very short time.
Got to understand that some exchanges list a price they are offering to you, while others are listing offers from other traders. In the end, it generally works out to be the same price, although there are some ways some traders try and make profit from the differences across exchanges. Someone mentioned scalping, I believe arbitrage is more accurate to describe this action. Popular especially when price discrepancies happen, as has happened in past when demand spiked in S Korea, parts of Africa, Iran, and in India when it even dipped after a govt (temporary) ban.
In reality, Bitcoin's volatility makes it difficult to do this, price can move very quickly so unless you're on high liquidity exchanges, you might just as easily get stuck with losses that quickly add up. Manually managing accounts across different exchanges also not
That's exactly what he said.
In reality, Bitcoin's volatility makes it difficult to do this, price can move very quickly so unless you're on high liquidity exchanges, you might just as easily get stuck with losses that quickly add up. Manually managing accounts across different exchanges also not
Does Bitfinex trades BTC/USDT, not BTC/USD ?
That's exactly what he said.
Any possible reason for such a difference on bitcoin price between bitfinex and coinbase? Right now around $100 difference https://coinalyze.net/ ...
It is just common that the price difference between the exchanges but it may change at any moment so if you want to try arbitrage trading then you need to know the risk involved there and also you need to exchange huge amount if Bitcoin to save profits from the transaction fee. Typically yes, but in this case NO. The reason why there is a $100 difference between the BTC price on Bitfinex/Binance vs Coinbase is because Bitfinex trades BTC/USDT while Coinbase is directly BTC/USD. USDT, or tether, is currently a tiny bit below it's supposedly stable price, which is why you see the price difference. (USDT is currently $0.992881 compared to USD which is always $1)
Does Bitfinex trades BTC/USDT, not BTC/USD ?
Seetheummerallyeah
I didn't know that but why is coinbase's rate lower than preev's rate?
I didn't know that but why is coinbase's rate lower than preev's rate?
For preev all they do is take the average price of multiple exchanges. By default its Kraken and Bitstamp but if you also select Bitfinex the displayed price will be much higher.
Not only between bitfinex and coinbase, bitttex also has the same price as bitfinex. Btw on coindesk, price is nearly the same of what's on coinbase. Coinbase's rate is lower than preev's rate which isn't normal to my mind.
Personally I rarely see prices on exchanged, I use coindesk to know price.
Seetheummerallyeah
I didn't know that but why is coinbase's rate lower than preev's rate?
Personally I rarely see prices on exchanged, I use coindesk to know price.
Seetheummerallyeah
I didn't know that but why is coinbase's rate lower than preev's rate?
Typically yes, but in this case NO. The reason why there is a $100 difference between the BTC price on Bitfinex/Binance vs Coinbase is because Bitfinex trades BTC/USDT while Coinbase is directly BTC/USD. USDT, or tether, is currently a tiny bit below it's supposedly stable price, which is why you see the price difference. (USDT is currently $0.992881 compared to USD which is always $1)
Sure, it is possible. Already the price of each digital currency is different in each exchange. It isn't possible to have the same price in all of them, because the demand-supply determines the price and accordingly, the price is different in every exchange.
This is called ''scalping'' and is a way to make some profit. But, the prices are always variable, that's why earning is risky with scalping.
This is called ''scalping'' and is a way to make some profit. But, the prices are always variable, that's why earning is risky with scalping.
Any possible reason for such a difference on bitcoin price between bitfinex and coinbase? Right now around $100 difference https://coinalyze.net/ ...
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