#ArbitrageTradingStrategy Arbitrage Trading Strategy: Profiting from Price Inefficiencies
Arbitrage trading is a strategy that exploits price differences of the same asset across different markets. Traders buy low in one market and simultaneously sell high in another, locking in a risk-free profit. Common types include spatial arbitrage, triangular arbitrage, and statistical arbitrage. This strategy relies on speed, automation, and low transaction costs. With cryptocurrencies, price discrepancies between exchanges are frequent, making crypto arbitrage popular. However, opportunities are short-lived and competition is high. Efficient execution, real-time data, and quick order placement are essential. While low risk in theory, arbitrage requires precision and infrastructure to succeed consistently.