Profiting in the cryptocurrency market involves much more than simple buy low, sell high strategies. Besides basic spot trading, there exists a relatively low-risk trading strategy that requires sharp market insight—arbitrage crypto. Unlike traditional trading that relies on technical or fundamental analysis, arbitrage trading focuses on capturing market dislocations to achieve relatively stable returns.
The essence of arbitrage trading: capturing market asymmetry
The core logic of arbitrage crypto is to exploit price differences of the same asset across different exchanges or trading pairs. Due to differences in market participants, liquidity, and supply-demand relationships, the quotes for the same crypto asset often vary across platforms. These discrepancies are the profit sources for arbitrageurs.
For example, currently, Bitcoin (BTC) is priced at $87.31K, Ethereum (Ethe