#ArbitrageTradingStrategy
Arbitrage Trading Strategy (In Short):
A method to make risk-free profit by exploiting price differences of the same asset in different markets.
🔁 Example:
Buy Bitcoin for $30,000 on Exchange A.
Sell it for $30,200 on Exchange B.
Profit = $200 (excluding fees).
💡 Types:
Spatial Arbitrage – Different exchanges/locations
Triangular Arbitrage – Currency mismatch
Statistical Arbitrage – Mathematical models
Crypto Arbitrage – Between crypto platforms
Merger Arbitrage – In M&A situations
⚠️ Risks:
High fees
Fast-changing prices
Low liquidity
Regulatory issues
Goal: Profit from temporary price gaps before they disappear.