#ArbitrageTradingStrategy Here's a sharp breakdown of the #ArbitrageTradingStrategy — one of the most unique and low-risk ways to trade crypto:
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💱 What is Arbitrage Trading?
Arbitrage is the practice of buying crypto on one exchange at a lower price and selling it on another at a higher price — profiting from the price difference.
> 🎯 Goal: Risk-free (or low-risk) profit from price inefficiencies across platforms.
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🔄 How It Works
Step Description
1️⃣ Find a price gap between two exchanges (e.g., BTC is $30,000 on Binance and $30,300 on Coinbase)
2️⃣ Buy low on one exchange, transfer/sell high on the other
3️⃣ The price difference = your arbitrage profit (minus fees/slippage)
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📊 Types of Arbitrage Strategies
Type Description
🔁 Exchange Arbitrage Buy on Exchange A, sell on Exchange B
⚡ Triangular Arbitrage Exploit price difference between 3 trading pairs on the same exchange (e.g., BTC/ETH, ETH/USDT, BTC/USDT)
🌍 Geographic Arbitrage Take advantage of price differences in regional exchanges (e.g., U.S. vs Korea – “Kimchi