Hi All!
I have notices that a (random) coin can have a different price depending the Exchange it is traded on.
Take, for example, XRP. It is traded on a number of exchanges and the price is different per exchange. The difference is small, but still it's a difference.
Is the price of a coin not synced between Exchanges?
If not, how does this system work? How come that the difference is still small although not synced. And, how do I make sure I trade on the Exchange which is offering the best price?
Maybe stupid questions but would like to understand how this works.
Cheers!
Arbitrage happen between exchange only if it's profitable.
If you buy lower on an exchange to sell higher on an other, you must be sure that the withdraw fee + trading fee are good to make a profit. Else it's not interesting.
It's one of the reasons you can have a small difference between exchanges.