#ArbitrageTradingStrategy
Arbitrage exploits price differences of the same asset across markets for risk-free profits.
**How It Works:**
1. **Spot Price Gaps** - Find mismatches between exchanges (e.g., BTC priced higher on Exchange A vs. B)
2. **Simultaneous Trade** - Buy low on one platform, sell high on another instantly
3. **Auto-Execution** - Use bots for speed (manual trading is too slow)
**Types:**
• **Spatial**: Cross-exchange price gaps
• **Triangular**: Currency pair inconsistencies (e.g., BTC/ETH → ETH/USDT → BTC/USDT)
**Requirements:**
✔ Fast execution
✔ Low/no trading fees
**Limitations:**
❌ Small profit margins
❌ Requires large capital
**Best For:** Algorithmic traders with tech infrastructure.