🔥Why Arbitrage Spreads Occur in Cryptocurrency? How to Trade them Like a Pro?
The ArbiSwap platform has been great at finding arbitrage opportunities in the few months it has been introduced to the public. Just 4 hours ago the alert below was emailed to all our members for ticker ADX/BTC informing them of an arbitrage deal with a potential profit of 20.484%.
At the time of occurrence, ADX/BTC was trading at $1.19 on Bittrex and $1.47 on Binance. Now that’s a huge spread and an opportunity worth taking if you gave the alert your undivided attention! Right? While this opportunity only lasted 45 minutes, all members that acted on this alert have made a profit anywhere from 15% to 28% on their investment. Simple Put!!! Anyone with funds on Bittrex would have easily been able to buy it, transfer it to Binance and then sell it for a very nice profit! Also, volume was plentiful; making the trade very liquid.
Why do arbitrage opportunities occur and how common are they?
Arbitrage opportunities usually occur during large transactions on one exchange with that transaction not registering across other exchanges in a timely manner. These irregularities can occur for short durations or longer durations, (sometimes seen over the course of hours). They usually happen during the release of major news or because…