#ArbitrageTradingStrategy

Arbitrage trading is a strategy that exploits price differences of the same asset on different markets or exchanges. The goal is to buy low on one platform and sell high on another, profiting from the spread with minimal risk.

This can be done across crypto exchanges, such as buying BTC on Exchange A where it's cheaper and selling it on Exchange B where it's priced higher. Timing and speed are critical—these price gaps often close within seconds due to bots and high-frequency traders.

Types of arbitrage include spatial arbitrage (between exchanges), triangular arbitrage (using three pairs to exploit inefficiencies), and statistical arbitrage (based on historical data and probability).

While the strategy is low-risk in theory, real-world execution includes risks like transfer delays, fees, slippage, and sudden price moves. Automation tools and strong infrastructure are key for consistent success.

DYOR before investing. This is not financial advice.