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Author: Admin | 2025-04-28
Arbitrage CalculatorInferenceWhen the fees are not taken into account, the profit is simply a multiple of the difference between the two prices. As a result, the profit on this trade would be $63 ($37,930 – $37,840) when exactly one BTC is invested.Case 2: With feesExchange 1Exchange 2Exchange nameBistam BinanceBTC price$37,839.66$37,902.89Fiat deposit fees (%)0.02–Exchange fees (%)0.250.25Bitcoin withdrawal fees (in BTC)0–Bitcoin deposit fees–0Fiat withdrawal fees (%)–1Invested quantity (in BTC)1Estimated revenue$37,329Invested money$37,840Profit/loss-$511InferenceIt can be ascertained that when fees come into the picture, the trade puts you in a loss of $500, despite the price being about $60 higher in the second exchange.We learn that fees play a major role in determining the profit/loss in an arbitrage trade. Also, the difference in the prices is another critical factor to keep on. Since fees usually remain more or less the same, our main focus must be on the prices between exchanges. A difference of few dollars is insufficient to generate profit; in fact, it would not even leave you at breakeven.Thus, once you find an arbitrage opportunity, we recommend you use the Simple Bitcoin Arbitrage Calculator and key in the values to verify if it would yield profits or not, before executing the trade.Pros of Crypto Arbitrage TradingThere are a number of advantages of crypto arbitrage if you know to do it well. Let us shed light on some pros of cryptocurrency arbitrage.Crypto market is relatively less liquidThe cryptocurrency market is still in its development stage. As a result, liquidity is less compared to other
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