Bitcoin Forum

Hi, All,  :D

I am very interested at the btc trading. I recently noticed that there is some price difference between different exchange center. Have anyone tried to buy the cheaper one and sell it at a separate place?

Does anyone interested in it? Let me know and we can talk about it more.

It's nothing much as far as I know , most of the time it's like couple of bucks maximum so what are you exactly going to earn by that ? and don't the exchange have some fees ? so I don't really see how are you going to make any profit using this method .

That is done by some people, but its more or less automated. You have to have huge sums of money 'invested' to earn even some bucks per day. Anyway if you're talking about huobi or BTC-E , those require you to withdraw money in a specific currency. I also remember seeing a bot, that , without actually transferring BTCs or USD for that matter, could make a profit using this.

I guess it will work if you have big investment, you do this kind of trading but it also risky since the price of bitcoin is keeps on fluctuating, if you can give some idea will be happy to join with your venture.

People were trying to do this with Mr. Gox way back and got burned big time.  It's called arbitrage and lots of people do it, and the more it happens the less opportunity there is to do it.  You can try it, but I think the exchanges are pretty evenly priced.  Not entirely sure however.  Then there's the issue of withdrawal delays and confirmation times and so forth.  That sort of stuff can make arbitrage difficult.

it is not as easy as you might think. this method of trading is nothing new, it has been going on forever. but the price differences are usually not that much and it balances itself out so fast. besides you should always take each exchanger fees into consideration when trading.

you need something like this, to do it seriously https://bitcointalk.org/index.php?topic=1359628.0

if you do it manually it will be to slo, and you cna lose the chance to take profit, because here we are talking about very small % and many swings in an hour, so you need to be fast as possible

Buying and selling bitcoins is probably the fastest and easiest way to try and make some money with bitcoin.  The value of the currency fluctuates so much each day, it’s a perfect target for traders.
bitcoin trading is very easy, the secret is normally not investing any money that you would not afford to lose because, you may be forced to sell your bitcoins at a loss, and the bitcoin economy may crash at any time.

There are definitely arbitrage opportunities between bitcoin exchanges, especially if you compare bitcoins traded in different currencies.

For example, right now you can make around 1,27% of profit (less exchange fees) if you buy BTC for Polish Zloty on BitMarket.net ( https://www.bitmarket.net/market.php?market=BTCPLN ) and then sell the BTC for USD on Bitstamp.

At this moment, you can buy up to 20 btc for the maximum price PLN 1632.23

You can exchange USD for PLN at the rate 3,9358, so you would be buying the BTC at USD 414,71

You can sell the BTC on Bitstamp for $420

Assuming you pay the highest rate of commssion on both exchanges, you will still make 0,57% net profit.
If you invest USD 8295, you will make USD 47 in net profit.


We cannot guarantee that these arbitrage opportunities will be there for long, but we invite you to check them out.

You might be looking at a 20-40 minute wait transferring coins between exchanges, sometimes plenty more. Your potential profit could easily go up in smoke in that time. If there's a seriously large gap in prices then that indicates a major problem or zero liquidity in which case you can't make a profit even if you want to.

Your plan is good, but needs initial investment. Only with that you can enter into the trading tactics by placing
your bitcoin value between the values of various exchanges

The process is called arbitrage, there are lots of people doing  this actually and needs a lot of capital and once the market is saturated, the price won't have much difference in the end.
but yeah good luck  and careful to some exchagne, you better have inside info.  ;D

For that issues You can buy a bitcoin debit card. If not bought yet Just try for that. Very less forex and exchange price for using that and most of the debit card they are delivering to home address itself.

In fact that's called arbitrage trading. If you have the needed money to put in various exchanges you can negotiate between them and make some good profits.
you even have a lot of apps to support this type of trading.

you are talking about "arbitrage trading"

There are several thread about. And yes...you can make some money

Spent fiat currency is kept out of the ecosystem until it is brought back to the bank, a process that can take anywhere from hours to years.  Bitcoin’s economy is self-sustainable, open to anyone, and simply better. Soon these will go away the people. We can use the bitcoin without trading for fiat currency. Still arbitrage kind selling like localbitcoins is going soon this will change.

The difference do exists I agree but at most of the websites which are not too mainstream are due to the congested server  depending on third party API's.You can always refer either Google Search (which I'm assuming uses coinbase) or Prev because only those two rates are generally considered for any sort of trades.Moreover that rates differences doesn't remain for too long,as soon as you refresh the page,the prices are put in its place.This should not be taken as an opportunity to start the trades as when you buy ,only the correct rates will be offered replacing the delay.

Doing it with Bitcoin is a bit risky, because the profit will be low and you'll get burned by the fees. However, with the altcoins that quite easy to do ;) !

It depends on the trading fee and the time takes to transfer between the exchanges. It will even out the price difference between exchanges.

This is called arbitraging. Because of BTC's confirmation time (unlike forex and other forms of commodities), the only way to successfully make a profit from arbitraging is by holding BTCs at both destinations. However, daily price fluctuations then come into play. So, don't arbitrage unless if you can afford to lose your BTC.

i dont think some exchange have a high margin between other bitcoin exchange,we all know that btcchina alwasy have higher price than other bitcoin exchange,but you must be considering about fee and fee transaction.

I agree you still make some bucks with the difference of bitcoin price,but in the end you'll get a few or nothing because of withdraw fee

It depends on if you take into account the fees and time. Sometimes, there is big difference in different markets, you might make some money.

I had also thought about this ARBITRAGE Concept

However due to time taken by alt coins to reach other exchanges the price is getting settled back in less time

I would suggest members to hold balances spread across exchanges to get benefitted

Hi, DropsOfJupiter!

As everything on this planet, arbitrage trading also has some pros and cons. One of the biggest cons is definitely the execution of arbitrage: if you want to create pure arbitrage profit, you need to buy the lowest and sell the highest the same amount of BTC at the same time, which requires a lot of market observation and to capture the right moment. You also need to distribute you funds equally between more than 1 market and the profit you can create with arbitrage will be much smaller in a short run, than with "buy low - sell high" trading. It`s more like "slowly, but surly" way of trading. On the other hand, arbitrage trading is far less risky for money losses and also the most predictable way that exist for now to trade BTC - you will always know what you will get (without speculation), since the arbitrage profit is mathematically calculated price difference between two exchanges. The best way to trade BTC with arbitrage is to find a arbitrage trading platform. There are few on the market, which enable two ways of arbitrage trading - manual (you can code your own trading bot) or semi automated (you can capture custom arbitrage opportunities) or fully automated (you just connect your exchanges to the platform by API keys - and the platform will trade automatically).  

You need to be quick and get the money ready on different exchangers. Otherwise the opportunities will slip fast. Actually many ppl are doing it.

This is called arbitrage. It is possible, but it is hard to do due to the varying rates and how the exchange's support usually has to manually verify your withdrawal.

That`s true - it`s really difficult to make arbitrage without some kind of intermediate (automated algorithm) fast enough to capture arbitrage opportunities between markets and that`s the reason, why there are more and more arbitrage trading platforms emerging.

If somebody is interested, feel free to try out our recently released beta version of arbitrage trading platform (- free trial for 1 month). You can make arbitrage directly between markets (without any extra withdrawal confirmation needed) and exchange fees are always pre-included into the profit calculation, so you will always see the final profit with exchange fee already included. To trade with KRIP.TO you just have to connect your exchange accounts to the platform (only API needed) and our algorithm will start automatically search for arbitrage opportunities among connected exchanges and provide you with a real-time arbitrage trade opportunities. We support two ways of arbitrage trading: semi-automated (capture custom opportunities) and fully-automated. More info on http://beta.krip.to.