#ArbitrageTradingStrategy

The idea of arbitrage trading is simply to buy an asset from a market where its price is low, and sell it almost immediately in another market at a higher price. The profit is the difference between the two prices after deducting trading fees.

Examples in the world of cryptocurrency:

Example:

Bitcoin price on Binance = $113,000

Bitcoin price on Kraken = $113,500

You buy 1 BTC from Binance and sell it immediately on Kraken.

Your profit = $500 (before fees).

When is the arbitrage strategy effective?

In highly volatile markets.

When liquidity is high.

When there are large price differences between global and local platforms.

In high-volume currencies or new projects listed on multiple platforms.

... It can be an excellent opportunity for beginners to understand market mechanisms and the differences between platforms, but it is recommended to first try this strategy on a demo account or with small amounts.