Best Crypto Arbitrage Opportunities for Making Quick Profit
Call me an opportunist, a capitalist, or an arbitrageur; all I know is that I look for loopholes to make the easiest money and that is how I think every business-minded person should be.
If you actively trade crypto, then you've probably heard of crypto arbitrage. It sounds like a buzzword or some secret strategy that only a few gurus can pull off.
But let me tell you something. Everybody can make money with crypto arbitrage. It's no secret, and it's not a difficult thing to do.
You only have to know what platform to use and what to do exactly. That is exactly why I'm writing this post.
I want to show you the exact way to move in and out of crypto arbitrage opportunities, and make your quick profit without noise.
Hopefully, in your crypto arbitrage journey, you could find even better opportunities for crypto profit and share it with others, just like I'm doing.
So, let's get right into it.
P2P Shuffle Trade
Remember how I said you should move in and out of crypto opportunities and make your quick profit?
This is one of the easiest ways to do it.
With p2p shuffle trading, you could adjust with p2p market changes and make some quick profit.
To get started, you first have to become a p2p trader on any of the major platforms. Binance, Bybit, Kucoin, etc.
Ok, Binance might not be available for Nigerians at this time, but you can use the other platforms.
For example, on Bybit, you can easily set up a p2p ad and start buying or selling crypto depending on which part of the trade you want to start with.
Whichever side of trade you start with, you want to shuffle up and down, as price increases and decreases.
The plan is to keep your trade limit tight and your price at least 20% lower than the top buy trades, and 20% higher than the top sell trades.
Here's an example of a crypto arbitrage trader shuffling the market by keeping his price at least 20% away.
Keeping your trade limit tight is strategic and targets a specific kind of trader, for example, first time traders or those who trade in small volume.
With a tight trade limit, you might have to play the waiting game and wait for your trade to come, but it will definitely come and you'll make your profit.
Payoneer to Crypto
Another way to do crypto arbitrage is to source for cheap funds via payoneer payment gateway.
Payoneer is the most used PayPal alternative in Nigeria, and it is widely used by freelancers and online businesses in Nigeria who get paid in foreign currencies.
The way to source for cheap payoneer funds is to position as an exchanger on Nigerian digital marketing forums or exchanges like Paxful and Noones.
What you want to do is solicit dollar funds from freelancers and online businesses who need to exchange their dollars for Naira.
The official payoneer Dollar to Naira exchange rate is usually way below the official rate, and takes some time to get completed.
If you can propose a reasonable exchange rate that is higher than the official payoneer exchange rate, then you'll be able to attract a consistent stream of customers willing to trade with you.
Thereafter, you can resell the dollar fund or exchange it for crypto, which you can then exchange for Naira.
The most important part of the deal is to make sure that you don't buy dollars at the official rate.
Having a minimum buffer of 30% will ensure that you're always profitable in your arbitrage business.
Arbitrage Between Exchanges
This is the most complex way to do crypto arbitrage. It works, but you'll need to have the skill, funding, and attention to keep the arbitrage profitable.
Inter-platform arbitrage involves trading the same crypto simultaneously on different exchanges via p2p.
The idea is to complete only favorable trades on either platform by following the basic principle of buying low and selling high.
Before executing trades, you must compare both platforms to know which trade is more favorable to trade.
For example, if I hold 1000 USDT in both Bybit and Kucoin as a p2p exchanger, I will constantly shuffle my prices on both platforms based on how price changes on either of them.
So, if the highest price on Bybit for a sell trade is 2,000 Naira to 1 USDT, and the highest price for the same is 1,900 Naira on Kucoin, I will choose to sell on Bybit and buy on Kucoin.
The next plan is to set my usual price buffer of at least 20% from the highest price.
So, I put up a sell ad on Bybit at 1 USDT to 2,400 Naira, and a buy ad on Kucoin at 1 USDT to 1,520 Naira.
These prices would be constantly shuffled as price changes across both platforms throughout the day.
Buy Dust Crypto
One of the most underrated ways to do crypto arbitrage is via accumulating dust crypto.
Many crypto holders and traders have wallets and accounts with leftover crypto that have no meaningful use.
$0.30 worth of Ethereum here, and $0.5 worth of Solana there.
These dust cryptos might look small and useless to holders, but when you accumulate dust cryptos from thousands, if not millions of crypto holders, you'll see that these crypto platforms are sitting on a huge pile of free money.
So, why not capitalize on it?
You could start buying these dust crypto directly from users and then convert them to a stablecoin like USDT, which you can exchange for cash.
The good thing is, you can do this across platforms to reach a wider audience, and accumulate more dust crypto for your arbitrage business.
Conclusion
To stay profitable with crypto arbitrage, you have to ensure that your price entry is way below the official baseline, and that your exit is above it.
That is the only thing you have to keep in mind.
Every good arbitrageur must find a way to buy the asset at ridiculously cheap price, either by entering the market early or by looking for desperate sellers.
If you can buy ridiculously cheap and sell high, your crypto arbitrage system would be very profitable.
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