Bitcoin Forum

Hello

Please I need to know one question and it's important

If I deposit 5000 eur via wire transfer to BTC-E (cheapest way for this amount) and I buy BTC then send to Bitstamp and sell BTC and withdraw to bank

If arbitrage between BTC E and BITSTAMP is 2% ( the 2% of 5000 =50 eur profit) rest 15 eur of wire trasnsfer and maybe 10 for costs and withdrawal, this is net profit of 25 eur

Can I do that continiously depositing in BTCE and withdraw in BITSTAMP? What is the bad part of this idea? the will stop you or what?

OFC yes, 90% of the trading bots works on arbitrage

Its not without risk tho, a small movement in price in the wrong direction can still cause heavy losses.

It works in general, but there are still some risks with your plan and you won't make as much as you expect in the end. For example, in the hour it takes to transfer the bitcoins from BTC-e to Bitstamp, the price could drop 2%.

One of the problems that you can have is the time that takes the bank transference. You see an arbitrage oportunity, send the money by bank transference, and two days later, the oportunity disapears because the diferent price on both exchanges is low.

Not gonna work, the price tilts all the time and bank transfers take time.

Not to hijack this thread but are there any good thread for learning this?

BTC-e's Euro market is pretty tiny. A 5000 Euro buy on there might move the price a decent bit but it wouldn't budge an inch on somewhere like Kraken. You might totally screw yourself before you even got to do anything else. How quick is your deposit method?

I don't think its going to work for you because BTC-e euro market is not quick as USD so you can lost in long run and then its very hard to recover this all you must think about your hard earned money then do any work like this

you need to use a bot, and btc-e is not euro friendly, you need sepa for that not a standard wire transfer, too damn slow

maybe you can find some arbitrage opportunity among the chinese exchange

Cmmon people, this is classic arbitrage. This system s been dead for over 2 years now.

Maybe the problem is when I deposit SEPA in EUR and they take 15 eur, then when I buy BTCUSD they charge another fee for currency exchange EUR to USD, and If i buy BTCEUR is not enough liquid market and huge spread. No way to do it

If you can do that buy and sell fast than it seems to work for little profit. But i think deposit and withdrawl process will be faster through other online payment gateway like perfect money or okpay. Deposit fund via wire and than selll them in bitstamp and withdraw to gateway which both trading platform accepts. But arbitage trading is always a risky game if you can't do that fast.

If you want to be a trader you have to act fast and ou have to use each opportunity when a price gap occurs...
For example at this moment this is a good opportuniry with around 10-15%: https://bitcointalk.org/index.php?topic=1294441.0

The idea itself isn't new, but the fact is that BTC-E knows this is happening. They could slow down your deposits at some point if you repeat it too often. If all people do this, then not many coins will be left on BTC-E.

Why on Earth should they care? That's pretty much what they're there for. Arbitrage is a major factor in all financial markets. They get their fees, whoever's attempting to do it believes they're about to make bank.

This.

You do this 10 times and earn 250 USD. Then you find out your bitcoin which your bought at 450 are worth only 400. So you lose over ~10%.

~10% of 5k is 500.
Which means you are in loss now. But there is also another scenario.

Your bitcoins bought at 450 are worth 500 USD. so know you have earned 250 UDS + 500 USD - 750 USD.

Both scenario's are possible (the - / + offcourse).

This works naturally but for the fluctuations in the bitcoin price, you can gain more than 50 euro per trade if the price move higher than your expectations and vice versa, you can also use credit card to fund and withdraw profit from both website to avoid delay.

The best way to do this is to already have $5,000 worth of Bitcoin at bitstamp and then execute a buy order at BTC-e at the same time you execute a sell order on bitstamp, then you can initiate a fiat withdrawal on bitstamp and withdraw BTC from BTC-e and repeat. 

Although you probably wouldn't be able to do this at as high of volumes, a more profitable way to arb is to buy/sell Bitcoin on a P2P basis for below/above market price as your margins will likely be higher and the effort necessary to get fiat in/out will likely be less.

Haven't you noticed how low their volume is lately, and how thin their order book is? It has never been a strong order book, but it's becoming weaker and weaker. I don't say it has to do with people hunting for arbitrage profits, but it could be. It's easy profit when you buy around 100 coins there and sell them at Bitstamp or Bitfinex for $10 higher per coin. Easy money.

But that's what they're there for surely? If markets rejected arbitrage they'd lose a huge chunk of income.

I would've thought the order book anorexia is more down to there being many, many more options for buying these days that are cheaper and far more convenient than they are.

I was tried your system trading is like you. That need more time and more patient for couple dollars/euros.  :-\

i have never tried to do arbitrage before.
but i think the best method is to buy from bitstamp and sell in any chinese exchange site as they have the higher prices usually.
i did not try it because it required to have some capital to get profit and i do not know alot about withdrowing from chinese exchanges

By the time you throw in bank transfer waits, fees and exchange rate fluctuations, let alone finding some way of receiving CNY in the first place it's overwhelmingly pointless. China's fine if you're all coin. No good if you want fiat.

i am new on trading, i created an account on poloniex and i am looking for easiest options, what should be the best for a beginner
btc-e, bitfinex, poloniex??

I've also done anything like you, basically it is very pleasant to benefit a few tens of dollars but I realize that it is a big risk, a few days ago is often the case the transaction has not been confirmed by the tens of thousands so that my transaction is inhibited and when the price of bitcoin fell at least it makes me have to get a big loss   >:(

if you are new to trading then you'd better stay away from "arbitrage trading" and try to start with "regular trading" instead.
poloniex is fully altcoin trading and it has no fiat market apart from USDT which is another altcoin with the price of USD. try trading on bittrex or poloniex as start and as I said do normal trades of buying low and selling high.
the arbitrage trading that is the topic here is somewhat advanced and a very hard thing to pull off successfully because of many different factors such as fees, timing and the difference.

p.s. try making a new topic next time instead of bumping a topic from 2015!

like i have said i am new on trading i actually dont know the difference between  "arbitrage trading" and  "regular trading", for me are all the same, trading, thats why i posted here to get some knowledge, now i have two concepts to find and understand
apologize