To make crypto arbitrage[1] works, you need to economically calculate all the fees included in the process, and then withdraw your coin to correct platform , guarantee your order will be placed, and therefore you must check the following:
- Coins withdrawals speed and the number of confirmations required for depositing: Arbitrage is speculation against time, any delay means losing money.
- Withdrawal fees: Withdrawal fees and network transmission costs are a critical factor in determining the amount of profit.
- Trading volumes: If the platform does not contain sufficient trading volumes, the buy or sell order may not be executed.
- Speed of trading bots: Trading bots need to be fast enough.
* In short, manual arbitrage will fail on centralized platforms and currencies with high trading volumes because it is difficult to find spreads that bring you significant gains.
* You can succeed in some altcoins and decentralized platforms, but you risk losing your money and in most cases you will lose that money.
In short, it is for professional users and I do not recommend it.
[1] https://www.investopedia.com/terms/a/arbitrage.asp
Topic: How do you do a manual crypto arbitrage ? (Read 93 times)
i dont if still people do arbit but to do so you need a lot of consideration
- Confirmatin Withdrawl
- Confirmation the tx of token/coin
- Exchange fee
those 3 make arbit slighly delay
maybe it would be great if you do arbit on dex(decentralized exchange) but there platfrom like DodoEx and 1nch router that always find the best price through bunch of dex make arbit become unprofitable
- Confirmatin Withdrawl
- Confirmation the tx of token/coin
- Exchange fee
those 3 make arbit slighly delay
maybe it would be great if you do arbit on dex(decentralized exchange) but there platfrom like DodoEx and 1nch router that always find the best price through bunch of dex make arbit become unprofitable
Hi Everyone
Would like to confirm the correct way to do I manual arbitrage.
Press Buy/ Market on exchange A and the Press sell/market on exchange B
Withdrawn the fund from exchange A and send it to exchange B then exit the trade on exchange B.
Does volume matter if exchange A volume is 5k and exchange B volume is 100k?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
Can you arbitrage any coin? For example ZIL3S/USD-GateIO 0.379 to ZIL3S on MEXC – 1.81
Can you please recommend some arbitrage bots/software?
Thank you for replying
AT
Would like to confirm the correct way to do I manual arbitrage.
Press Buy/ Market on exchange A and the Press sell/market on exchange B
Withdrawn the fund from exchange A and send it to exchange B then exit the trade on exchange B.
Does volume matter if exchange A volume is 5k and exchange B volume is 100k?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
Can you arbitrage any coin? For example ZIL3S/USD-GateIO 0.379 to ZIL3S on MEXC – 1.81
Can you please recommend some arbitrage bots/software?
Thank you for replying
AT
This arbitrage trading is useless especially on CEX if you are using 2 exchange on arbitrage trading because exchange has a trading bot to balance the price of the token to the market price so if ever you saw high selling price on another exchange, Most probably the orderbook is very thin which is the main reason for this price spread.
I preferred same exchange arbitrage trading with different trading pairs.
Please can I have a example of same exchange arbitrage trading?
Hi Everyone
Would like to confirm the correct way to do I manual arbitrage.
I'm sure you're aware that USD pairs arbitrage trading isn't as popular as it once was, it was profitable back then when there used to be a price difference between exchanges, but you'll be hard pressed to find a trading pair with a large price gap between exchanges these days. However, some traders who use Dex and Centralised exchanges trade a single coin using different smart contracts. What they do is buy the coin but instead of withdrawing through mainnet, they make use of other chains like BSC to easily sell on pancakeswap. It worked for some coins but only a few, and if you aren't active and fast, other traders will quickly exploit it before you.Would like to confirm the correct way to do I manual arbitrage.
NB: Arbitrage is sweet when the withdrawal fee is low, don't try it on the Ethereum chain
Quote
Does volume matter if exchange A volume is 5k and exchange B volume is 100k?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
Can you arbitrage any coin? For example ZIL3S/USD-GateIO 0.379 to ZIL3S on MEXC – 1.81
Volume and liquidity are important, if you bought a coin worth $100k on exchange A at a price of 0.379 and exchange B is 1.81 but the buy order at that price was $2k and the rest is at 0.379 or below, you should know that you are doom already, don't even try to open market order because it is going to sell below the price you bought on exchange A
Quote
Can you please recommend some arbitrage bots/software?
How? Kucoin has a trading bot, you may try it out bot I'm not sure it close to what you are searching for.
Arbitrage trading is a tricky way to earn instant profits.I also tried arbitrage trading for several times. You should buy at low price and should transfer funds instant where you want to sell.
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Hi Everyone
Would like to confirm the correct way to do I manual arbitrage.
Press Buy/ Market on exchange A and the Press sell/market on exchange B
Withdrawn the fund from exchange A and send it to exchange B then exit the trade on exchange B.
Does volume matter if exchange A volume is 5k and exchange B volume is 100k?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
Can you arbitrage any coin? For example ZIL3S/USD-GateIO 0.379 to ZIL3S on MEXC – 1.81
Can you please recommend some arbitrage bots/software?
Thank you for replying
AT
Would like to confirm the correct way to do I manual arbitrage.
Press Buy/ Market on exchange A and the Press sell/market on exchange B
Withdrawn the fund from exchange A and send it to exchange B then exit the trade on exchange B.
Does volume matter if exchange A volume is 5k and exchange B volume is 100k?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
Can you arbitrage any coin? For example ZIL3S/USD-GateIO 0.379 to ZIL3S on MEXC – 1.81
Can you please recommend some arbitrage bots/software?
Thank you for replying
AT
This arbitrage trading is useless especially on CEX if you are using 2 exchange on arbitrage trading because exchange has a trading bot to balance the price of the token to the market price so if ever you saw high selling price on another exchange, Most probably the orderbook is very thin which is the main reason for this price spread.
I preferred same exchange arbitrage trading with different trading pairs.
On the exchange you want to buy from, the volume won't matter (if you're buying out of the order book - if you're placing a buy order then it will).
Most of the time it's safer to have a pool of coins on both exchanges when doing arbitrage to protect yourself against transaction issues (ie what if the exchange doesn't register the deposit and you have to wait a few days with support).
You'll want volume on the exchange you want to sell on to be high and preferably a few buy orders in the order book that'll make you in profit without having to risk much already (just to ensure there's some resistence there and it's not just got a high spread because no one's wanting to buy).
Most of the time it's safer to have a pool of coins on both exchanges when doing arbitrage to protect yourself against transaction issues (ie what if the exchange doesn't register the deposit and you have to wait a few days with support).
You'll want volume on the exchange you want to sell on to be high and preferably a few buy orders in the order book that'll make you in profit without having to risk much already (just to ensure there's some resistence there and it's not just got a high spread because no one's wanting to buy).
Press Buy/ Market on exchange A and the Press sell/market on exchange B
Withdrawn the fund from exchange A and send it to exchange B then exit the trade on exchange B.
Withdrawn the fund from exchange A and send it to exchange B then exit the trade on exchange B.
This should be clear, still, from what you've write it doesn't seem so:
In order to sell on exchange B you have to have the coins you're selling and they have to be on exchange B.
From what I know you cannot initiate a trade with coins you don't have.
So, since you don't know what coin will be best tomorrow for arbitrage, you may want to buy the coins, transfer them and only afterwards sell them.
Does volume matter if exchange A volume is 5k and exchange B volume is 100k?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
The volumes do matter because low volumes usually mean that you may not find sellers at A (if A volume is low) or, more often, buyers at B (if B volume is low), making you end up either a bagholder, either one selling at a loss (also make sure the spread on B is not too big).
Can you arbitrage any coin? For example ZIL3S/USD-GateIO 0.379 to ZIL3S on MEXC – 1.81
I will not look at this or that altcoin for you, sorry.
As long as you can withdraw the coin from A and deposit to B, it should work. But usually good arbitrage opportunity for too long means one of the following:
* you cannot withdraw from A
* you cannot deposit to B
* the volumes on A or B are too low (basically dead)
So be very careful. And also take the fees into account (especially withdrawal fees).
Hi Everyone
Would like to confirm the correct way to do I manual arbitrage.
Press Buy/ Market on exchange A and the Press sell/market on exchange B
Withdrawn the fund from exchange A and send it to exchange B then exit the trade on exchange B.
Does volume matter if exchange A volume is 5k and exchange B volume is 100k?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
Can you arbitrage any coin? For example ZIL3S/USD-GateIO 0.379 to ZIL3S on MEXC – 1.81
Can you please recommend some arbitrage bots/software?
Thank you for replying
AT
Would like to confirm the correct way to do I manual arbitrage.
Press Buy/ Market on exchange A and the Press sell/market on exchange B
Withdrawn the fund from exchange A and send it to exchange B then exit the trade on exchange B.
Does volume matter if exchange A volume is 5k and exchange B volume is 100k?
What if the volume on exchange A is 0 and the volume on exchange B is 100k will the arbitrage work?
Can you arbitrage any coin? For example ZIL3S/USD-GateIO 0.379 to ZIL3S on MEXC – 1.81
Can you please recommend some arbitrage bots/software?
Thank you for replying
AT
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