Theory- How to find Crypto Arbitrage
I’ve spent a lot of time trying to find arbitrage between exchanges. I’ve combed different websites, pulled data to a spreadsheet and looked on twitter. I’ve seen 20+ percent profit opportunities and gotten really excited, unfortunately there’s usually a catch.
One of the most common is that deposits are disabled on the more expensive exchange which prevents sending the coin from the cheaper exchange to even out the price. Or similarly withdrawals are disabled on the cheaper exchange which doesn’t allow them to be withdrawn to an exchange where it’s more expensive which keeps the value low.
Either way this was very frustrating to me, and I’m sure many of you but here’s how we can turn this to our advantage. Find good arbitrages spreads, odds are it will have this issue. Then receive notification when deposits become available and jump on it. We would just need to figure out how to get notified of such things, if you have ideas let us know in the comments.
An example of a great opportunity is that bitshares can’t be deposited on yobit so the price is more than double if we could get notified as soon as it becomes available we could jump on it and make a huge profit!!!
I hope you enjoyed this post or found it helpful, if you did an upvote would be greatly appreciated:)
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