Hey Steemit!

Today i have picked a random signal that our Arbitrage Bot sent out to analyse and outline the details.
As always hit me up on Telegram if you have any questions or want to join our private Telegram group @Crypto_Dino.

If you're interested in reading about a 0.75BTC opportunity spotted click here.

Arbitrage Key Details

• Arbitrage Window Selected: 2 Hours between 10AM to 12PM 19.03.2018*
• Pair Traded: BTC / EOS
• Buy Exchange: Binance
• Sell Exchange: Yobit
• Max Spread: 10.3%
• Average Spread: 3.4%
• Profit: 0.07BTC in 2 hours
• Volume Traded on Binance: 170 BTC (across 2 hours)
• Volume Traded on Yobit: 2 BTC (across 2 hours)
• Confirmed EOS wallets functioning for both Binance & Yobit

*the arbitrage opportunity was around for much longer but i just selected a 2 hour time frame for my analysis

Arbitrage in a Graph

The green area circled is the 2 hour window analysed. You can see that there was a decent amount of the liquidity in this time frame (2 BTC worth) and that the % spread profit was relatively constant hovering between 3.5% to just shy of 6%.

If you were to play this opportunity you had a total pot of around 0.07 BTC to earn.

This may not sound like much, but you need to bear in mind that arbitrage is all about making lots of consistent small profits and racking them up. Also our Bot is picking up lots of these signals continuously across all the exchanges so we carry out a trading strategy called "Chain Arbitrage".

Chain Arbitrage

There are so many arbitrage opportunities across exchanges that you can effectively make money on "both legs" of an arbitrage trade.

If we take the EOS trade as an example to explain what I mean;

• Leg 1: Buy EOS with BTC on Binance and sell it on Yobit back into BTC
• Leg 2: Find an arbitrage opportunity between Yobit and Binance and re-send your BTC that way

What this means is that on the same amount you are earning money on the money you send out of Binance and also to send it back into Binance (in Leg 2).

This increases your returns dramatically and the reason I call it Chain Arbitrage is because actually what we have seen is a "Chain" of different arbitrage opportunities linking one exchange to another. For example;

Arb 1 Binance -> Yobit (3.5%) // Arb 2 Yobit -> Kraken (4%) // Arb 3 Kraken -> Bittrex (3.5%) // Arb 4 Bittrex -> Binance (5%) and so on and so on

Compounding the returns you would have earned 17% in 1 hour (assuming each arb trade takes 25 minutes - this is super conservative and would be much less probably).

This lets you continuously earn money and take advantage of compounding interest.It's extremely powerful if done right (and as close as you can get to risk free!).

Conclusion

I hope you found the above informative & useful.

If you want to be made aware of arbitrage opportunities to take advantage of this "Chain Arbitrage" I describe above, or just be made aware of arbitrage opportunities across exchanges drop me a line on Telegram @Crypto_Dino and i'll add you to the channel.

Also feel free to hit me up with comments, questions or if you feel you need emotional support during this B$%@!H of a Crypto Bear Market

Have a great day evening all & hang tough!

Crypto Dino