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JerryCurlzzz
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June 09, 2015, 11:06:31 PM |
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Its simple, if you see opportunity, you buy altcoin on one exchange at lower
price and sell on other exchange at higher price.
But is really hard to catch profitable arbitrage opportunity, because exchange fees
Calculating the fees is not such a big problem. Problem is the time, that the btc transfer takes. So you'd need many coins on many exchanges to catch all the opportunities. Bingo. Usually, the arbitrage opportunities are such small margin that the time-risk aspect is too great. It can be done, if you manage risk effectively, but if you can do that, you're probably just better off trading IMO. |
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arunka71
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June 09, 2015, 11:08:36 PM |
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If you have the infrastructure to move FIAT (from one country to country), there might be great opportunities. But I'm just a coder, not a banker.
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lissandra
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June 10, 2015, 12:08:42 AM |
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If you had a partner who lived in the same country that the exchange was held.
It would be easier, but it wouldnt be much of a arbtriage since youre relying the same way to deposit and sell quickly from more then 2 exchanges.
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arunka71
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June 10, 2015, 01:04:03 AM |
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Yeah. You trade immediarely and rebalance your funds later. That should work just fine. Would be cool to have such a trader network.
I already wrote software that should work for such a concept. But maybe I'd have to add new exchanges then.
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BTCjust
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June 10, 2015, 06:21:46 AM |
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an arb plan in last year: https://bitcointalk.org/index.php?topic=765074.0 at that time, there is little profits due to the high fee but both btc-e and lakebtc had decreased the rates, the fee is lower today, I think that plan could be acted now  |
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Amph
Legendary
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Activity: 3206
Merit: 1069
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June 10, 2015, 06:22:18 AM |
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If you have the infrastructure to move FIAT (from one country to country), there might be great opportunities. But I'm just a coder, not a banker.
then you can go ahead and make a bot that work with arbitrage, i'm sure it is possible to earn some low percentage, around 3-5% if you bot is well coded and it is fast enough |
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arunka71
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June 10, 2015, 11:42:21 AM |
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If you have the infrastructure to move FIAT (from one country to country), there might be great opportunities. But I'm just a coder, not a banker.
then you can go ahead and make a bot that work with arbitrage, i'm sure it is possible to earn some low percentage, around 3-5% if you bot is well coded and it is fast enough But how to rebalance funds? |
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Amph
Legendary
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Activity: 3206
Merit: 1069
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June 10, 2015, 12:05:24 PM |
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If you have the infrastructure to move FIAT (from one country to country), there might be great opportunities. But I'm just a coder, not a banker.
then you can go ahead and make a bot that work with arbitrage, i'm sure it is possible to earn some low percentage, around 3-5% if you bot is well coded and it is fast enough But how to rebalance funds? you can do it through api with your client, or with your online wallet, if let's the your balance is under a certain amount, you just code your bot so it can send more coins those should be easy stuff for any coders, i'm surprised that you're asking this... |
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arunka71
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June 10, 2015, 01:55:00 PM |
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So you transfer USD to btc-e, buy BTC, do the arb trades and end up with USD at LakeBTC. But there is no good (cheap) way to get the USD back to btc-e or your pocket? Or maybe you see other opportunities, than I cannot see... I already wrote bots to check for such opportinities, like this one: https://i.imgur.com/OoP0aNo.jpg, but I don't see any possibility for me at the moment to implement such a trading scheme. Write me a PM, if you are interested in a collab or have other ideas. I am willing to write some code and share the profits. |
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JerryCurlzzz
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June 11, 2015, 09:38:33 AM |
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So you transfer USD to btc-e, buy BTC, do the arb trades and end up with USD at LakeBTC. But there is no good (cheap) way to get the USD back to btc-e or your pocket? Or maybe you see other opportunities, than I cannot see...
I'm thinking that much of what people do here is not accurately described as arbitrage. Rather, people are buying BTC when it is low on one exchange to sell while it is high on another. Then rinse/repeat when the spreads return to the mean. |
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arunka71
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June 11, 2015, 11:38:08 AM |
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You could move the BTC back, when the prices are equal. That might take forever, though...
And you lose money due to fees. Same goes for the fiat transfer. This has to be part of the profit calculation!
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Franciem
Sr. Member
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Activity: 322
Merit: 250
Real power doesnt hit hard,but right to the target
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June 12, 2015, 03:06:27 AM |
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Does anyone knows Bitcoin Arbitrage?
How does it works?
Please explain
Buy on one Exchange for cheaper price and dump on another Exchange to higher price. This is Arbitrage.... You have to hold funds on both exchnages. |
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JerryCurlzzz
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June 12, 2015, 05:32:45 PM |
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You could move the BTC back, when the prices are equal. That might take forever, though...
And you lose money due to fees. Same goes for the fiat transfer. This has to be part of the profit calculation!
The problem is when funds get imbalanced due to strong bull or bear trends. Then, eventually, you are stuck with most or all funds on one exchange, and need to wait for an opportunity to rebalance. I believe efforts are better spent towards trading.  |
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arunka71
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June 12, 2015, 08:53:15 PM |
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Even for technical trading, bots can be very useful. braino has a slack channel discussing bots and strategies. Let him or me know, if you want to join.
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leonArdo@margin
Legendary
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Activity: 1988
Merit: 1008
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June 13, 2015, 08:33:01 PM |
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I agree that there appear to be bots trading these things. If you don't make or buy a bot you chances of arbitrage are slim. There is a bot that does arbitrage withing an exchange, when there is an inefficiency between 3 currencies, such as dollar, btc and ltc. But we are talking about really slim margins here. IMO you are better off using other methods of trading to make money. And trading isn't easy so be careful!
I suppose there are not many bots, especially for altcoins markets. Just checked live cross-exchange table ( http://www.bitcoinfo.ru/trading/ for example) and noticed many altcoin pairs with 5-10-20% arbitrage possibilities. Some make such trading manually but no signs for the bot activity. Another issue is liquidity. Just because BTC has a certain price on an exchange, if the volume is too low then it doesn't help much. |
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aysha9859
Member
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Activity: 93
Merit: 10
Srry 4 my bad English
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June 17, 2015, 07:29:56 PM |
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yes volume is important too. because you can buy btc but if you cant sell it, then arbitrage is down. and a big fees over there. waiting for you. you have to calc them also. arbitrage is really hard stuff. if anybody can do it, im really congrat to them. great job.
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arunka71
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June 17, 2015, 10:21:06 PM |
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It's not a problem...it's a challenge!  |
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gon
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June 19, 2015, 06:49:19 PM |
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You also need a lot of cash to make it interesting.
Some money on every Exchange.... Pfff ...It sound like danger to me.
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arunka71
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June 19, 2015, 11:22:15 PM |
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But I think, you only need minimal amount? At least most opportunities I see, are rather small..
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