Bitcoin Forum
April 26, 2024, 04:57:38 AM *
News: Latest Bitcoin Core release: 27.0 [Torrent]
 
   Home   Help Search Login Register More  
Pages: [1]
  Print  
Author Topic: Can individuals make arbitrage?  (Read 128 times)
jeffstuff7 (OP)
Newbie
*
Offline Offline

Activity: 1
Merit: 0


View Profile
March 12, 2018, 02:11:21 PM
 #1

Hello,

As far as I know, an arbitrage is a two-dimensional transaction that increases the number of coins on each exchange without having to transfer money.

For example,

Assuming that both A and B exchanges have BTC and ETH of 1 BTC and 12 ETH, respectively, with a total of 2 BTC + 24 ETH,

At any moment

A exchange 1BTC = 12ETH

B Exchange 1BTC = 13 ETH

We sell 12 ETHs on A exchange and buy 1BTC to become 2BTC total.
I buy 1 BTC at B exchange and purchase 13 ETH to become 25 ETH total.

The result is 2BTC + 24ETH and 2BTC + 25ETH.

There are blind spots here,

1. Because the bots will soon disappear, premiums must be traded quickly and individuals can not trade on their own. (4 ~ 5% of transactions, even within a few seconds, actually 3% profit due to time difference)

2. A few foreign exchange accounts (Korea, Japan, etc.) must be opened in advance, and coins must be deposited in a number of cases.

3. Mental problems, volume problems, troubles of using OTP, etc.

as you know
I already use this arbitrage to bite the difference.

The only way people can eat is to use things like reminders.

There are several alerting services in telegrams such as @cryptomarketalert_bot and @panicwatch.
It's also on Twitter and the website.

However, I am wondering how much I can really profit from the blind spots I wrote above.
I guess that there are a lot of bots for arbitrages so I'm not sure if individuals can make it.

If you have a good idea, I want to share it.
1714107458
Hero Member
*
Offline Offline

Posts: 1714107458

View Profile Personal Message (Offline)

Ignore
1714107458
Reply with quote  #2

1714107458
Report to moderator
Bitcoin mining is now a specialized and very risky industry, just like gold mining. Amateur miners are unlikely to make much money, and may even lose money. Bitcoin is much more than just mining, though!
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction.
Sword555
Sr. Member
****
Offline Offline

Activity: 619
Merit: 251


WPP ENERGY - BACKED ASSET GREEN ENERGY TOKEN


View Profile
March 12, 2018, 03:08:32 PM
 #2

nah i dont think soo.
I known only one good way to arbitrage if u have money on different exchanges.

Like you  sell on first and buy on second at one time , you have different instantly.
charlotte04
Full Member
***
Offline Offline

Activity: 504
Merit: 102



View Profile
March 12, 2018, 03:15:03 PM
 #3

Hello,

As far as I know, an arbitrage is a two-dimensional transaction that increases the number of coins on each exchange without having to transfer money.

For example,

Assuming that both A and B exchanges have BTC and ETH of 1 BTC and 12 ETH, respectively, with a total of 2 BTC + 24 ETH,

At any moment

A exchange 1BTC = 12ETH

B Exchange 1BTC = 13 ETH

We sell 12 ETHs on A exchange and buy 1BTC to become 2BTC total.
I buy 1 BTC at B exchange and purchase 13 ETH to become 25 ETH total.

The result is 2BTC + 24ETH and 2BTC + 25ETH.

There are blind spots here,

1. Because the bots will soon disappear, premiums must be traded quickly and individuals can not trade on their own. (4 ~ 5% of transactions, even within a few seconds, actually 3% profit due to time difference)

2. A few foreign exchange accounts (Korea, Japan, etc.) must be opened in advance, and coins must be deposited in a number of cases.

3. Mental problems, volume problems, troubles of using OTP, etc.

as you know
I already use this arbitrage to bite the difference.

The only way people can eat is to use things like reminders.

There are several alerting services in telegrams such as @cryptomarketalert_bot and @panicwatch.
It's also on Twitter and the website.

However, I am wondering how much I can really profit from the blind spots I wrote above.
I guess that there are a lot of bots for arbitrages so I'm not sure if individuals can make it.

If you have a good idea, I want to share it.


Wow! I never thought that it was possible and indeed it is a useful technique to earn in quick profits! I will try that sometimes and will hope to have a better results on my tradings.
hodlftw
Full Member
***
Offline Offline

Activity: 326
Merit: 104


Santa Coin


View Profile
March 12, 2018, 03:25:31 PM
 #4

Hello,

As far as I know, an arbitrage is a two-dimensional transaction that increases the number of coins on each exchange without having to transfer money.

For example,

Assuming that both A and B exchanges have BTC and ETH of 1 BTC and 12 ETH, respectively, with a total of 2 BTC + 24 ETH,

At any moment

A exchange 1BTC = 12ETH

B Exchange 1BTC = 13 ETH

We sell 12 ETHs on A exchange and buy 1BTC to become 2BTC total.
I buy 1 BTC at B exchange and purchase 13 ETH to become 25 ETH total.

The result is 2BTC + 24ETH and 2BTC + 25ETH.

There are blind spots here,

1. Because the bots will soon disappear, premiums must be traded quickly and individuals can not trade on their own. (4 ~ 5% of transactions, even within a few seconds, actually 3% profit due to time difference)

2. A few foreign exchange accounts (Korea, Japan, etc.) must be opened in advance, and coins must be deposited in a number of cases.

3. Mental problems, volume problems, troubles of using OTP, etc.

as you know
I already use this arbitrage to bite the difference.

The only way people can eat is to use things like reminders.

There are several alerting services in telegrams such as @cryptomarketalert_bot and @panicwatch.
It's also on Twitter and the website.

However, I am wondering how much I can really profit from the blind spots I wrote above.
I guess that there are a lot of bots for arbitrages so I'm not sure if individuals can make it.

If you have a good idea, I want to share it.


Wow! I never thought that it was possible and indeed it is a useful technique to earn in quick profits! I will try that sometimes and will hope to have a better results on my tradings.
That is because if you use the method OP describes there is a lot left up to risk and chance. You will have to wait the time it takes to transfer the Ethereum not to mention you picked the biggest altcoin to do this with. Some of the smaller alts aren't fast, and at the same time when you have a big discrepancy I have found the wallet to be in maintenance on one of the two websites. It is tough to find an arb spot like this, you either need a bot or loads of capital on lots of websites.

BrewMaster
Legendary
*
Offline Offline

Activity: 2114
Merit: 1292


There is trouble abrewing


View Profile
March 12, 2018, 03:30:21 PM
 #5

that is the weirdest explanation of arbitrage that i have ever seen, to tell the truth.
basically arbitrage trading is a simple method of trading by taking advantage of "price difference" between exchanges. it  does NOT increase the number of coins on one exchange! that part in your comment doesn't make any sense to me.

two things are for sure when performing Arbitrage:
1. you can do it without automation or a bot but it will be so much harder.\
2. you certainly do NOT need a telegram group to tell you what to do, and if you feel the need then you should stay away from arbitrage. 

There is a FOMO brewing...
sirenmoon
Member
**
Offline Offline

Activity: 121
Merit: 13


View Profile
March 12, 2018, 03:56:48 PM
 #6

that is the weirdest explanation of arbitrage that i have ever seen, to tell the truth.
basically arbitrage trading is a simple method of trading by taking advantage of "price difference" between exchanges. it  does NOT increase the number of coins on one exchange! that part in your comment doesn't make any sense to me.

two things are for sure when performing Arbitrage:
1. you can do it without automation or a bot but it will be so much harder.\
2. you certainly do NOT need a telegram group to tell you what to do, and if you feel the need then you should stay away from arbitrage. 

To simplify this two answers you have stated. Bots for doing the arbitrage on the market do exist but they are still not so good developed to function properly. There are probably some bots that some anonymous traders are using and that is maximizing their proficiency but they for sure won't be revealed to the public because then the purpose of the market would be for nothing. Arbitrage without a bot requires constant tracking and fast hands. OP must bear in mind that he must also calculate the time when the transaction and exchange of the coin are happening. Telegram groups are usually benefiting only the manager because he is already selling his coins when the others are buying and when the time comes for them to sell price is already lowered drastically. The person capable of doing the arbitrage must be competent to do the same. Panic should be put aside and constant tracking should be put to priority. It is actually a stressful trading which requires the very calm mind of the investor for him/her to actually gain some profit from this method.

▶▶  [ WHITEPAPER ]  ◀◀              i v y              ▶▶  [ JOIN US NOW! ]  ◀◀
Ivy Disrupts The US$5 Trillion Per Day Money Transfer Market
TELEGRAM   ●   FACEBOOK   ●    TWITTER    ●   YOUTUBE   ●   LINKEDIN
nskendrovic
Full Member
***
Offline Offline

Activity: 285
Merit: 100



View Profile
March 12, 2018, 04:08:42 PM
 #7

Yes you can make arbitrage but you probably need bots to do that for you. Also if you are going to do small amounts than you are going to end up losing money as the exchange withdrawal fees are going to kill you.
toucan.crypto
Newbie
*
Offline Offline

Activity: 11
Merit: 0


View Profile
March 12, 2018, 04:13:13 PM
 #8

Hello,

As far as I know, an arbitrage is a two-dimensional transaction that increases the number of coins on each exchange without having to transfer money.

For example,

Assuming that both A and B exchanges have BTC and ETH of 1 BTC and 12 ETH, respectively, with a total of 2 BTC + 24 ETH,

At any moment

A exchange 1BTC = 12ETH

B Exchange 1BTC = 13 ETH

We sell 12 ETHs on A exchange and buy 1BTC to become 2BTC total.
I buy 1 BTC at B exchange and purchase 13 ETH to become 25 ETH total.

The result is 2BTC + 24ETH and 2BTC + 25ETH.

There are blind spots here,

1. Because the bots will soon disappear, premiums must be traded quickly and individuals can not trade on their own. (4 ~ 5% of transactions, even within a few seconds, actually 3% profit due to time difference)

2. A few foreign exchange accounts (Korea, Japan, etc.) must be opened in advance, and coins must be deposited in a number of cases.

3. Mental problems, volume problems, troubles of using OTP, etc.

as you know
I already use this arbitrage to bite the difference.

The only way people can eat is to use things like reminders.

There are several alerting services in telegrams such as @cryptomarketalert_bot and @panicwatch.
It's also on Twitter and the website.

However, I am wondering how much I can really profit from the blind spots I wrote above.
I guess that there are a lot of bots for arbitrages so I'm not sure if individuals can make it.

If you have a good idea, I want to share it.


If by "individuals" you mean doing arbitrage without a bot, yes you still can, on low market cap alts. If you spot a good spread it can go up to 30% profit.
However those kinds of opportunities are rare and hard to find

If you really want to do arbitrage in a serious and consistent way, you have to have a bot
there is a few open source bitcoin arbitrage bits on the internet, however due to API changes they might be outdated

you should write a bot that looks for good opportunities on the market then one that make the arbitrage
Coding this is trivial for most of the developers, there is no barrier for anyone who know how to program
jimbo2000
Full Member
***
Offline Offline

Activity: 336
Merit: 100



View Profile
March 12, 2018, 04:14:35 PM
 #9

If you want to stare at a screen all day and look for opportunities then some will present themselves, bots are not perfect and can definitely be beaten. As someone else mentioned the best way to do arbitrage is to have funds on both exchanges and that way there is no risk of price movements while you are waiting for funds to be moved from one to the other.

██████████████████████ ▀▄ Platio ▄▀ ██████████████████████
[TELEGRAM]│Smart Banking Ecosystem for crypto, fiat and│[FACEBOOK]
[TWITTER] │stocks, based on EOS blockchain technology │ [MEDIUM]
Leonard2016
Hero Member
*****
Offline Offline

Activity: 1036
Merit: 520



View Profile
March 12, 2018, 07:54:13 PM
 #10

sometimes arbitrage works just some little points
It takes some time to withdraw your coins , and it that time that coin could goes deep in the exchange that you are moving your coins .
second thing is the fee
sometimes fee is too much that it doesn't worth it.
But sometimes arbitrage works !


             ▄          ▄▄▄▄    ▄
            ███      ▄██████▀  ▀█▀
            ███     ▄██▀
            ███     ███        ▄█▄   ▄█▄ ▄█████▄▄         ▄▄██████▄      ▄█▄ ▄█████▄▄         ▄▄█████▄▄        ▄▄█████▄▄
    ▄▄▄▄▄▄  ███     ███        ███   ██████▀▀▀▀███▄     ▄███▀▀▀▀▀███▄    ██████▀▀▀▀███▄     ▄███▀▀▀▀▀███▄    ▄███▀▀▀▀▀███▄
  ▄████████▄███  ▄█████████▄   ███   ████▀      ▀███   ▄██▀       ▀██▄   ████▀      ▀███   ▄██▀       ▀█▀   ▄██▀       ▀██▄
▄███▀    ▀█████   ▀▀███▀▀▀▀    ███   ███         ███   ███         ███   ███         ███   ███              ███████████████
███   ▄▄   ▀███     ███        ███   ███         ███   ███         ███   ███         ███   ███              ███▀▀▀▀▀▀▀▀▀▀▀
███   ▀▀   ▄███     ███        ███   ███         ███   ███         ███   ███         ███   ███         ▄    ███         ▄
▀███▄    ▄█████     ███        ███   ███         ███    ███▄▄   ▄▄████   ███         ███    ███▄▄    ▄███    ███▄▄   ▄▄███
  ▀████████▀███     ███        ███   ███         ███     ▀████████▀███   ███         ███     ▀█████████▀      ▀█████████▀
    ▀▀▀▀▀▀   ▀       ▀          ▀     ▀           ▀         ▀▀▀▀▀   ▀     ▀           ▀         ▀▀▀▀▀            ▀▀▀▀▀

       ▄▄▄▄▄▄▄
   ▄▄▀▀       ▀▀▄▄
  █               █ ▄
 █   █▀▄ ▀█▀ ▀█▀   █ ▀▄
 █   █▀▄  █   █    █  ▀▄
  █  ▀▀   ▀   ▀   █    █
▄▀ ▄▄           ▄▀    ▄▀
 ▀▀  ▀▀▄▄▄▄▄▄▄▀▀      ▀▄
        ▀▄▄      ▄▄▀▀▄▄▀
           ▀▀▀▀▀▀

                      ▄▄▄
  ▄█▄              ▄███████▄
  ▀████▄▄         ██████▀██████▀
    ▀▀▀████▄▄     ███████████▀
    ▀██▄███████▄▄███████████
     ▄▄▄▀██████████████████
      ▀████████████████████
▀█▄▄     ▀████████████████
  ▀████████████████▀█████
    ▀████████████▀▄▄███▀
       ▀▀██████████▀▀
           ▀▀▀▀▀

               ▄▄   ▄▄
              ▄▀ ▀▀█  █
             ▄▀     ▀▀
         ▄▄▄▄█▄
     ▄█▀▀▀▀▀▀▀▀▀▀█▄
 ▄▀▄▀              ▀▄▀▄
█  █   ▄█▄    ▄█▄   █  █
 ▀█    ▀█▀    ▀█▀    █▀
  █                  █
   █   ▀▄      ▄▀   █
    ▀▄   ▀▀▀▀▀▀   ▄▀
      ▀▀▄▄▄▄▄▄▄▄▀▀
New Age of DEFI
A Non-Code Platform for
Decentralized Trading Instruments

   ▄▄███████████████▄▄
 ▄█████████████████████▄
▄██████████████▀▀███████▄
████████████▀▀    ███████
█████████▀▀   ▄   ███████
██████▀▀     █    ███████
████▀       █     ███████
█████▄▄   ▄█      ███████
████████ ██▄      ███████
▀████████ ▀▄███▄▄███████▀
 ▀█████████████████████▀
   ▀▀███████████████▀▀

     ▄              ▄
   ▄███▄          ▄███▄
   █████▄  ▄▄▄▄  ▄█████
  ▄████████████████████▄
 ▄██████████████████████▄
 ████████████████████████
██████▀▀          ▀▀██████
█████▀   ▄      ▄   ▀█████
 ████   ███    ███   ████
  ████   ▀      ▀   ████
   ▀████▄▄▄▄▄▄▄▄▄▄████▀
     ▀▀████████████▀▀

   ▄▄████████████████▄▄
 ▄█████▀▀▀██████▀▀▀█████▄
▄████▀  ▀▀▀    ▀▀▀  ▀████▄
████▀                ▀████
███▀                  ▀███
███       ▄    ▄       ███
██▀      ███  ███      ▀██
██       ▀█▀  ▀█▀       ██
██▄     ▄        ▄     ▄██
▀██▄     ▀▀▄▄▄▄▀▀     ███▀
 ▀███▄▄▄▄▄▄████▄▄▄▄▄▄███▀
   ▀▀████████████████▀▀
debuni
Legendary
*
Offline Offline

Activity: 1162
Merit: 1002



View Profile
March 12, 2018, 09:27:05 PM
 #11

Yes, it's still possible do to a manual arbitrages.

I can give you one of most important lessons I learned the hard way: ALWAYS, always check the exchange wallet status BEFORE you start the arbitrage. Because you could end up with tokens for 10-20K what you can't withdraw, move or even sell.
milewilda
Legendary
*
Offline Offline

Activity: 3094
Merit: 1127



View Profile
March 12, 2018, 09:41:37 PM
 #12

that is the weirdest explanation of arbitrage that i have ever seen, to tell the truth.
basically arbitrage trading is a simple method of trading by taking advantage of "price difference" between exchanges. it  does NOT increase the number of coins on one exchange! that part in your comment doesn't make any sense to me.

two things are for sure when performing Arbitrage:
1. you can do it without automation or a bot but it will be so much harder.\
2. you certainly do NOT need a telegram group to tell you what to do, and if you feel the need then you should stay away from arbitrage. 
My head do ache when im trying out to read out the explanation of his when it comes to arbitrage trading which is really a confusing thing to read up specially to newbies which arbitrage do simply involve on selling out coins from to an exchange to another with a higher price. This is just a few words but a precise thing about definition of arbitrage.

avikz
Legendary
*
Offline Offline

Activity: 3066
Merit: 1498



View Profile
March 12, 2018, 10:32:41 PM
 #13

There are arbitrage bots available in the market but you must take caution before buying one. Also you need to have a good amount of initial investment if you wish to start with bot trading. But manual arbitraging is very much possible. However, I won't suggest to use bitcoin for arbitraging because of the time it takes to get confirmation. Either you keep decent amount of bitcoins in both exchanges or you need to use currencies like XRP, ETH, Deeponion or any other coins with almost instant transaction facilities.

But if you are new to the trading, arbitraging is not a recommended method for you. It requires quick decision making power and you need to be confident about your actions.

Xavofat
Hero Member
*****
Offline Offline

Activity: 938
Merit: 559

Did you see that ludicrous display last night?


View Profile
March 12, 2018, 10:44:17 PM
 #14

As far as I know, an arbitrage is a two-dimensional transaction that increases the number of coins on each exchange without having to transfer money.
This doesn't make any sense to me.  The easiest way to describe arbitrage is that it's trading to exploit price differences for profit.

Arbitrage between crypto exchanges is very risky even with a bot.  While the differences might make arbitrage appear appealing, there are often significant transaction fees, trading fees and shady exchanges which make it a tough business to get into, especially in the short term.

If you're trying to do it on your own without a bot, I would suggest going for obscure exchanges and low-cap coins to try and find price differences which people haven't thought about very much.

Be careful though.
Pages: [1]
  Print  
 
Jump to:  

Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!