#ArbitrageTradingStrategy
Arbitrage is a low-risk trading strategy where traders exploit price differences of the same asset across different markets or exchanges to make a profit.
✅ How It Works
You buy low on one exchange and sell high on another — instantly.
🔍 Types of Arbitrage
1. Spatial Arbitrage (Across Exchanges)
Buy BTC on Binance at $60,000
Sell BTC on Coinbase at $60,200
Profit: $200 (minus fees)
2. Triangular Arbitrage (Same Exchange)
Exploit price differences between three trading pairs:
End up with more BTC than you started with.
3. Statistical Arbitrage
Use algorithms to trade based on historical price correlations.
Best for quant traders with bots.
4. Decentralized Exchange (DEX) Arbitrage
Use DeFi platforms like Uniswap and SushiSwap
Take advantage of slower price updates
5. Funding Rate Arbitrage (Futures vs Spot)
Buy spot BTC and short futures when funding is high
Collect funding fee as profit
