Topic: Best tokens for arbitrage trading? (Read 593 times)

If you look here you can see that even many years ago there was a big difference between exchangers at that time from arbitrage trading to many dollars but they could make a profit like local exchanges and the top ones are Coinbase HitBTC etc. but there are still many differences.  If in can be noticed.

I have no idea if the most common hour on top of a particular token is lost when a certain token has different prices at different levels if not for profit but if I specify a specific token then it is not possible.  There are some tokens that can be bought for a good profit after a few days. It can be seen that there is a lot of loss from those tokens.

There is no specific best token, in my view. Most common arbitrage is, when a specific token has different value on different exchanges, then you can buy & sell for take profits. But if i mention any specific token, then its not possible, that token can be eligible for arbitrage always. most commonly People using bot for finding out, as well as many website offering paid subscription package for arbitrage trips. I can't remember those names right now, kindly DYOR for learn more about in this case

Truly a years ago, arbitrage is very popular like around 5 years onwards. But these days, the opportunity is hard to find but if you ever find one, there's no certain token to do the arbitraging because it's not choosing any token and whatever is available at that time, you have to grab that opportunity or else it won't show again. So if you find one, you're lucky if you take actions on quickly but if there's none then accept the fact that it's hard to see such opportunity these days.

Actually, I don't believe arbitrage trading generates as much profit as traditional trading. Arbitrage trading is when you buy a coin on one exchange and send it to another because of a price difference. They mostly earn from the price difference, but I believe transaction costs alone can go into your return if you don't have enough money to invest. So, before you begin, consider your options carefully.

I don't think there is any particular token that is best for arbitrage, because it all depends on the difference when certain tokens have different values ​​on different exchanges at the time, but I see only tokens that have strong fundamentals and have been listed on many exchanges. those who have the opportunity to be more flexible to be able to sell the tokens we want, of course, are the exchanges that have the highest value, but the key is that we have to have good information about the exchanges in crypto.

i think it was an option in earlier day's but as of now there are project's which are build to catch the smallest part of profit so i do not think that it is a good idea to dive deep in that whole arbitrage trading

Choosing the exchange is the first process in arbitrage trading, their processing speed and their transaction fees and their withdrawal limit and everything will be taken into account while doing arbitrage. Recently there are some local exchanges that will give you a much bigger profit margin that tradition exchanges we are aware. I used to arbitrage in the past but now a days i need to do some research before making any claims  .

Before deciding to do arbitrage trading, I will suggest you learn more about the advantages and disadvantages of abritrage. Additionally, you must also learn about how to do effective and worthy arbitrage trading because if you don't exactly know, you will get more losses than profits.
There are some consideration such as:
- The fee of transferring the coins
- The speed of transferring the coins
- The gaps of price between one exchange to another.
and of course, what cons that we better do for arbitrage.
For me, I will rpefer to choose the tokens or coins that nly need small fee transaction and fast tarnsaction widthrawal or deposits. So, I will still have chance to get profits in the addressed exchnage

Of course there are many good tokens for arbitrage, I often arbitrage because the difference between exchanges is very profitable, but the most important thing when arbitrage is to choose exchanges whose deposit and withdrawal processes are fast, and now FTX, MEXC are good choices because of low withdrawal fees and speed of processing .

Usually top coin always have the same price between one exchange on another exchange, but usually I use new coin listing on cex exchange market like Hotbit, Binance, Lbank and Kucoin always have different price with dapp exchange. But not brave for arbitrage with ERC20 coin when swap failed we have loss money but usually BSC coin is my favorite for arbitrage trading. I am looking which one new coin listing already listed on dapp exchange than first time listed on cex exchange like Hotbit or Lbank, will have above 4% different price and need lucky how faster we are.

That's the opportunity we have to look at investing, nothing is safe and definitely risky in investing, most people only consider risk, but rarely try to see risk to make big profits, return to the knowledge that people have, when risk is considered a loophole in seeking profit , the general picture you convey is the level of opportunity that can be exploited, need to be careful, but do it if you have a good chance, I like your view, that taking risky decisions is not always wrong.

I tried posting this here before, well see if they allow it now...

Hedge funds and similar concerns already have systems that address any arbitrage situations.

There is no shortage of funding. Getting $100 MM USD from the right investors isn't a problem The strategy is simple:
- On all major exchanges hold a sizable amount of:
 - - BTC;
 - - ETH;
 - - any other cryptocurrency with sufficient volatility, volume, etc.; and
 - - millions in cash and stablecoins.
 - Coin/ token drops lower than the prevailing price, buy
 - If another goes too high, sell.
 - Transferring between exchanges unnecessary, because prices always normalize.

There is NO WAY for an individual with, even $100K or even $1MM USD, to compete with the multiple funds and professional traders using automated, algorithmic solutions already doing ths.

Additionally, traders can easily anticipate and even precipitate these situations.

Blockchain technology's transparency allows informatics companies to provide deep analysis of real time market conditions. The bots traders develop know to look at each market's open long and short contracts, volume, volatility, etc. to prep a move. They can sometimes even figure out when the people holding certain positions (blockchain addresses) are asleep (based on times of active trades tied to addresses associated with particular traders), or on vacation.

Equipped with this data, it's easy to time a few well placed, large block sales or buys which can force a heavily margined target to get margin called. The forced liquidations can result in dramatic changes in the price of BTC or ETH. This price action would soon be reflected across many exchanges as rudimentary arbitragers do their best to make a few extra basis points.

Having planned the move, the trader would have had alternative, highly leveraged positions across many exchanges, making the 5-10% swing one way in the market a 20-50% windfall.

Of course with altcoins, where volatility and volume swings wildly across exchanges, fortunes are easily made forcing these liquidations of amateurs, and sometimes competing funds and traders.

Suggestions for individuals  to try to arbitrage are just looking for new, fresh meat to feed the hedge fund beast.

arbitrage trading mainly depends on opportunity and you can get an opportunity through any tokens! just need to have a look on altcoins ot you can use bot for that. But i think its hard to arbitrage trading with top coins cause those are same by price on every exchange. Mid range and low quality coins maybe perfect cause those coins value differ from exchange to exchange but be cartful. arbitrage trading with low quality tokens can be risky

I disagree, arbitrage opportunities are everywhere not only in this market but in all markets, however it is true that taking advantage of those opportunities is very hard and only a select group can do it.

After all you need at least to be fast enough to spot and then take advantage of those opportunities, and right now there is no way a human is fast enough to do that, so you need a bot to do this for you, but unless you are willing to let someone else code the bot for you then you will have to do it yourself, which is the best path as if you order a bot to a programmer then you will have no way to check if the code has any bugs at all, this reduces significantly the number of people that can try arbitrage trading, and if to this we add that arbitrage trading requires a lot of capital then this means that most traders have no way to try it even if they want to.

You can't name a particular token and say that it will be good for arbitrage trading, actually you have to watch the price of cryptocurrencies on different exchanges and if you find and noticeable price difference then you have to buy from cheaper place and sell where it is getting traded for high price but this is rare scenario and you can't make it on perfect time due to the withdrawal waiting period of exchanges.

Currently, with trading and withdrawal fees, I doubt you can have a good profit playing at those popular coins thru arbitrage trading. You might end up paying more fees compared to profit. Sounds like a hassle too unlike before where fees are cheap even for Bitcoin and Ethereum trades.

Even an arbitrage program or API only establishes a few profit percentages whether the market is on the bull or bear. It means arbitrate nowadays might not seem profitable compare before.

You can use any token or coin for arbitrary trading, they just have to have different prices on any exchange and have enough liquidity so if you want to buy or sell the order goes through. Bitcoin has been the popular coin for doing this because on all major exchange the price has never been the same.

For altcoins they can be dumped at anytime so you have to be careful with this, I would go for altcoins with very fast confirmations to avoid delay and those with less transaction fees so I can realized enough profit. Having to arbitrage trade with erc20 token would not be advisable since there is such much fees involved.

This is as risky as the normal type of trade therefore I wont say that it was a trend but trend is something that is popular because it is doable or profitable if done in trading.

@OP you might want to study arbitrage trading first before you start doing it because you said you do not have any experience about this and you do not want to lose are not you? Yup mate, speed is important when doing an arb because if you are slow the prices will fluctuate soon causing you to lose but choosing a more stable coin is also important just it case slowness on the network is unavoidable. BSC and matic are sorta popular right now so congestions can be prone on this two network.

Arbitrage is a thing of past and we would be just wasting our time and money trying to find arbitrage, moreover it's not just the dfferent in the price we have to consider the transaction charges and the time it will take for that particular token to be transferred to the exchange where you can sell it at higher price because low cap tokens will have price difference but either the withdawal fee will be very high or it will only be trade only token, even if you find tokens with price difference sometimes exchange will restrict the withdrawal and yes it has happened with me on Gate.io.