Topic: Best tokens for arbitrage trading? (Read 609 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.

Arbitrage is not something that is based on just tokens, it is something that you do based on the opportunity, one token can't have arbitrage opportunity all the time. The real deal is, if you really know what you are doing then you would be able to actually look at as many as possible and the low cap ones will have a vast difference.

Like for example, if it is a pancakeswap copycat, they will have LP and that means there will be multiple pairs and there will be very little trading between them since it is a low cap one. Those are the ones you could check and see if you could find different pairs that will lead up to making a profit in the swap.

I see the market is the same price on multiple exchanges hence arbitrage is obsolete for instant profit trading method, transaction fees on the ETH network make it impossible to profit from arbitrage, uniswap trading costs more than $100 to pay for transactions.

It's hard to find tokens nowadays that can have a fairly large price difference on several exchanges, not to mention the fees and time when making withdrawals, I think the arbitrage method is higher risk because sometimes there are some shady exchanges, I personally prefer spot trading on the main exchanges.

Arbitrage techniques are rarely used , we move to the future. but I believe you can do it manually monitor prices in different markets, try to use calculations so as not to lose in transaction costs.

Does arbitrage trading still works? There are very few arbitrage trading opportunities and also for a very short period of time. It's useless to look for arbitrage trading as by the time you will withdraw/deposit the coins, the prices of the coins will have come to normal & equal on all exchanges.
If you look for arbitrage trading on low volume coins on small exchanges, then you are putting a lot of risk with your investments.

you have to be smart and fast enough to make profit from arbitrage trading, To look out for good tokens you will first consider price volatility and trading volume and market dominance over a short range of time. Ada token could be nice consideration although not an investment advice you should still do your own research to be on the safe pace

Arbitrage is now rarely used I also don't understand why, but we used to use the tool to see the price difference, I forgot the application, I'm sure the tool is still there. Try to see the price of Coinmarketcap. or you can see the arbitrage signal on the telegram channel

As a rule, the difference in price is most often observed when the withdrawal and input of coins is suspended. In this case, the value of the coin is determined by supply and demand, as well as liquidity, on this exchange, and not by the average price on all exchanges, where the price is leveled thanks to bots.

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It's hard to do arbitrary in 2022, I mean with how the fees work and you have to take an account on the price on those exchanges you are aiming for. If you were in 2016 - 2018 then it was so much easier to get profit in arbitrary trading because there was no such thing as KYC on every exchanges you could find on the internet. But then things are going different now and it's so much harder to gain profit.

Of course this really depends on the speed of the transaction, I have arbitrage with a good price difference, but because of slow transactions I lost the moment for big profits, but in general a good coin for arbitrage is the one on the BSC network, which is usually spot exchange vs. DEX.

Both really need to be considered simultaneously, volume and price are two things that cannot be separated, the difference is, if the price is cheap but the volume is large there is also no result, as well as the high price but there is no volume, this is why this problem cannot be separated, a balance is needed to carry out both, without it there is no result that we can take advantage of.

Cryptocurrency arbitrage works best when you trade high amounts there may be small amounts of small earnings that may not be worth your time. In fact cryptocurrency arbitrage can be a very lucrative activity but only if you do your research guess and calculate tokens are a bit difficult to determine because tokens don't have a specific value so no one can guarantee that. You can estimate the amount of tax you will have to pay per trade when calculating arbitrage costs and potential profits.

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In my opinion, arbitrage can create good earnings opportunities. I can't make any recommendations for this. But thanks to arbitrage, I made good money. The most important risk is that your transfers between exchanges need to be processed very quickly. Otherwise, it can cause serious damage. For this, good opportunities can be caught by making analyzes on cmc or coinrcko. But fee amounts and risk analysis should be done very well.

Would really be random because price gaps could really differ on each exchange platform which means that it would be talking about different coins depending into those price gaps
but the big question on here is if those exchange are reputable or known enough for you to deal with? Come to know that there are platforms who do locked out funds from those
people who do tend to deposit or some of them ask out some kyc before you could withdraw or some of them do have wallet maintenances which would result into delay of such
transactions in between platforms and these opportunities do comes fast thats why time is crucial.

I tried several times arbitrage trading. But for now, not really.
Commonly, I will choose some coins or conditions that are:
- The tokens or coins have low withdrawal fees
- The availability of some networks to lower the fee such as TRC, BSC, and or other lower fees. Because if it uses ERC20, I will not choose it because of the high fees.
- The speed of withdrawal from the previous exchange and deposit process on the exchange. COnsider if it still has enough time to take profits.
- Some coins have commonly low prices but different gaps enough from one exchange to another.

Well, trading can be profitable no matter what strategy you have used but the question is if that really works on you? Perhaps, you could listen to them and have this as an inspiration to learn about trading but never expect that it has the same results when you do this. You need to choose coins that have a huge market trade volume like BTC or BNB for easy management. But what I said, the results will depend on how you perform, not just because you have this strategy.

Since you are new and do not have experience with arbitrage, I do not advise you to work on it, especially at the present time, as it is difficult to take advantage of opportunities because they require accuracy and speed in performance. In the past, there were many opportunities that were exploited by smart people through trading bots, but now they are almost non-existent.
And in the event that you have a desire to engage in arbitrage, you can choose currencies with large volumes, and you must also be an expert in arithmetic operations in order to evaluate fees during transfers.!!

In trading arbitrage we must be able to choose coins that are high volume in order to reduce risk, but currently it is very difficult to benefit from arbitrage and very different from 2017, then we have to rely on several excharge in order to get maximum results, but currently many coins that have a price difference of only 0.1% on large exchanges so to get a big result is very difficult, Especially with the presence of the DeFi project then all coins have become resistance, I think currently doing arbitration can no longer be relied on.

Your suggestion is not the typical arbitrage trading because withdrawal on exchange has a flat rate and by doing so, you will already loss huge amount of your money because you will need to wait for your transfer to other exchange become confirmed which typically takes time.

Typical arbitrage in crypto are exploiting tiny difference in price for different trading pairs for a specific coin. Arbitrage trading need to be execute quickly because your is to have a profit for a small price difference on different pair.

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Top 10 crypto is the best token to do arbitrage. Do it when the market is sideways so that the price will not quickly change.

Last December, I'm doing arbitrage trading with MDT, I'm buying at Binance, and sold it over to Coinbase Pro, that was my first time doing arbitrage trading and I earned over $3K for a really small capital. Now I'm currently doing it with DAO Maker, I'm buying it at gate and sell it on Bithumb, but the difference is not that much compared with MDT before.

I don't know what is the best tokens for arbitrage trading since all of the coins can be arbitrage, most of the markets are decentralized and have their own prices and so there's a chance that you can arbitrage to any coin as long as there is a differences or greater differences between the coins. Some arbitrages using multiple coins for example buying token A and buying token B to buy token C before selling it.

As far as I know arbitrage trading crypto on arbitrage, is one factor to take advantage of other exchanges, it is a strategy that is often used by crypto traders today, The most widely used and traded coins are Bitcoin and Ethereum, what you need to understand in carrying out an arbitrage strategy is speed and volume, not a particular coin.

Many people are using bots nowadays mate so i don't think arbitrage still the same like what it was before wherien probably year 2017-2018 it's very common but at this point i don't know if it is still useful since most traders nowadays relies on bots to prevent risky situation especially those who don't have enough time to monitor their trades.  It's getting easier nowadays mate so we don't know if such old way is still useful and profitable because as time goes by there's always a new features around the space emerging in order to make good return from crypto..

You can check with erc20 coin for first time listing on MEXC exchange market or other like Hotbit or Gate.io you can see different price between Uniswap and cex exchange market, but you need have need much capital for arbitrage erc20 coin because spent almost 50$ eth as gas fees transaction and you need to get profit for one arbitrage coin above $100 or $200, under $100 you not get enough profit with paying higher fees when buying coin on uniswap.

Cant suggest a specific token or coin for arbitrage as its price is changing from time to time really fast in different echanges, you need to monitor it manually or by using automated software, one key to be able to succeed in arbitrage is you need to execute it as fast as you can inorder to take advantage of the price in every exchanges you are going to use.   

Arbitrage can indeed give us an advantage if we do it with the right coins and choose a good exchange because when doing arbitrage we have to do it quickly and must be ready to make decisions in a short time so it is mandatory for us to always choose a reputable exchange so that there is no delay when making transactions between exchanges, previously I have done arbitrage several times and I usually choose newly released coins to do arbitrage because new coins can provide greater profits if we do it well, but for beginners it is not recommended to choose new coins because it has a greater risk.

What I know is that good coins are those that have large or high volumes, the only difference is trade demand, where there is stability that we can find there, for example the coin is high in price, but no volume is generated, then how can we sell or liquidity the coin after we make the investment, this is quite basic that we must pay attention to, if not the same as a priceless coin.

A few years ago the difference between exchanges was very far, at that time I could make huge profits of up to thousands of dollars from arbitrage trading, namely my local exchange and top exchanges such as Hitbtc, coinbase and so on, but because now the difference is very thin then this is no longer profitable, better focus on investing and holding for the long term.

There has been talk of arbitrage trading for a number of years in this industry, so as more players move in, the less arbitrage opportunities exist. Nonetheless, in any industry this large and with numerous exchanges, there will always be arbitrage opportunities. I believe these opportunities are best exploited by automated software. Also, deep pockets can also be helpful in this endeavor, I suppose. I have also heard of people placing ridiculously low buy prices and waiting for flash crashes.

My own strategy is to focus on the long term, so arbitrage is out of the question for me.

Yep, exchanges found about this so called arbitrage trading and close the gap. And then bots comes along, pushing the boundaries, and then it's a war of bots now. But for sure the days are gone already, no where you will get profits from arbitrage trading.

Maybe the OP got it from someone that is not telling the truth or just wanted some money from him to play and trade in this game.

In my opinion solana and BNB are suitable if we use them for arbitrage trading.
Arbitrage trading is trading between two exchanges in this market exchange to another market exchange.
So that in different price disputes that's where the benefits we get.

Arbitrage trading fizzled out not only because it became less profitable in an organic way but also because exchanges themselves made sure prices are not that different from each other. This is probably one of the reasons why exchanges themselves are involved in making bid and ask orders. And not only that, they are also involved in filling those orders. So I doubt arbitrage trading will once again play a role in the crypto market.

Arbitrage is completely different than other forms of trading, so there is not really a best coin to do this, any coin that shows a difference in price big enough to be taken advantage of is a good coin for arbitrage trading.

However you need to remember that even if you prefer to trade this way there are a lot of pitfalls on which you can fall, one of the most common is to try this form of trading without enough capital, as the profits you can get are so low that the fees alone could take all your profits if your capital is small.

but remember you need to incorporate the fees involved and the possible profit that you may get from here is just right to pay for the fees. but if you have large capital, that is where you will see your profit.
hard to suggest any coin for arbitrage trading because it depends on the exchanges you will use, the liquidity of the coin, the fees involved. and aside from that, the price volatility is also big factor to consider.

Those with stable price but still you have to analyze and look for every market. I just hope that before doing this you should study further since you are still inexperiences because this can still be risky especially if you do it incorrectly. Better to do regular trading which I think is more profitable but of course you still need to analyze because trading needs it in order for you to make more money.

Probably stablecoins?

If you believe in a stablecoin's ability to hold peg and there is a short term depeg, this can be an excellent opportunity to capitalize.

E.g. UST has depegged to less than 90c before which means that if you could snatch a bunch up at that price it would essentially be 10%+ instant profit as the peg recovered.

I think it's not on the token but on the exchange, you need to find an exchange where there's a gap between other trading sites so you can find an opportunity to trade, it is existing though but you need to be active in monitoring to find such opportunity, some uses a programming tools in order to find that gap or opportunity because arbitrage trading has no risk, it's just that it's not easy to do it.

I find it similar to sports betting arbitrage, possible but not easy to do.

I am not suggesting you use arbitrage trading to make a profit as you do not have experience in trading. Maybe you should try regular trading and understand how the market works before using arbitrage trading. At least you know how to trade because arbitrage trading is different than regular trading. Besides that, when you learn about trading, you will know how to minimize the risk and select the coin to trade to help you make a profit.

Newbies are probably the ones who think that arbitrage trading is still a thing until now because they haven't experienced how it became an easy source of money back then but eventually fizzled out. Nowadays, with a price difference of only a few cents, it is impractical to get into such trading. The fees itself might even be enough to kill potential profit. And knowing how volatile the crypto market is, the moment the tokens arrive the price might already have moved significantly.

If you want to try arbitrage you can visit Coinmarketcap, then look for coins that have a fairly large price difference from exchange A to exchange B. Make sure the coin has sufficient volume / liquidity.
I can't give the name of the coin, you have to find it yourself.

Is arbitrage trading still a thing today? I think it is no longer profitable to get into arbitrage trading these days. The price difference of coins between exchanges is insignificant after you deduct all the fees. So you need to have a really big amount to play with in order to make a decent profit. And since the risk is high, I'd rather not get into it.

Even if you have the money, you better use it for classic trading. Scalping is probably more preferable than arbitrage trading these days. But still very risky.

But to answer your question, choose tokens that have high liquidity.

1000% aggree with u back in the days all people using centralized exchange to do arbit trade and yes is profitable but now after DeFi coming is not much profitable sniping bot become profitable for quiet some time but recent smart contract become resitance to sniping bot

the difference is so low it would be great if u trade in one place rather than arbit

You should understand about arbitrage trading first.

In short arbitrage trading is taking advantages of the price gap between two exchanges, let's say you buy from exchange A for $100/coin and then you sell it on exchange B for $110/coin. It's same coin and you're made profit for $10/coin.

So, you're looking for exchanges sell the cheapest and highest, not the coins nor tokens! Beware of shady exchanges, the legit exchanges only has 0.1-0.5% difference with the other exchanges.

I have seen projects that tried to do arbitrage but unfortunately as far as I know they all collapsed. There are so many bots these days and they are so fast that arbitrage is actually impossible. If you manage to do arbitration, then only on very small exchanges, with a tiny volume and even less confidence to them.

I guess the best token are those with high volume. There are tokens with huge discrepancies on their price but the difference is on the trading volume or demand. Yes you got a high price on one market but has only got few volume so youll probably find difficulty to liquidate the tokens you bought on another party. Anyway best way is to locate it on such tracker like coingecko and coinmarketcap.

I'm not really sure if arbitrage trading is still profitable though, I mean in 2017 yeah, you can do it, buy from some korean exchange and then go and sell it in US exchange.

But now the game has changes, day traders or arbitrage traders are using bots now, so it's hard to compete with them if you are going to start with it. So if you are inexperience then most likely you are going to lose money in the beginning and now sure how you can sustain this kind of trading strategy as there are competitions, just saying.

Hello friends
I have heard that there are people who earn income by trading arbitrage. I am very inexperienced at this. Which token or coin do you think would be suitable for arbitrage trading? Thank you.