Consider the following scenario,

I have 365 USD in Btc-e and 1 BTC in Cryptsy, now I bought 1 BTC at a price of 362 USD in Btc-e and sell it on Cryptsy with 370 USD, now I made the profit of 4 USD (included txn fee), now the current market price of 1 BTC is 370 USD

Market price I mentioned was 1 BTC = 360 USDenter image description here

  1. How the market price affect my profit?

  2. Still I have 8 USD profit in Cryptsy or I made a loss/profit with respect to market price?

  • Note that both of those exchanges will charge you a fee - usually on the order of a third of a percent. (About 1 USD on each end.)
    – Nick ODell
    Nov 28, 2014 at 7:29
  • @NickODell, Ok lets take approx profit as 4 USD
    – M.R
    Nov 28, 2014 at 7:55
  • There is no one market price. Each exchange has it's own. Also you have made 0 profit until you have either the btc in your own wallet or the money on your back. I have a 10x profit on mtgox too. Other than that I don't understand your actual question.
    – Jannes
    Nov 28, 2014 at 9:54
  • @Jannes, If there is no one market price then how would you know the profit in USD?
    – M.R
    Nov 28, 2014 at 10:42
  • That's my point. You don't. As long as the USD is not in your bank account it's not USD but rather USD-on-Cryptsy or USD-on-BTCE. Or my USD-on-MtGox...
    – Jannes
    Nov 28, 2014 at 12:42

1 Answer 1


If you want to make money on arbitrage like this, you should have reserves on both exchanges, and at the moment when you are buying in btc-e, you should sell at cryptsy (for example). Otherwise te price can change to "wrong" direction when you are transfering bitcoins from btc-e to cryptsy or vice versa. Also, you should understand how to withdraw/deposit fiat to this exchanges fast with minimal expences, that can be the biggest issue especially for btc-e.

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