How Has the Emergence of Automated Trading Bots Impacted the Landscape of Crypto Arbitrage?
The emergence of automated trading bots has significantly impacted the landscape of crypto arbitrage by increasing the speed and efficiency of trades. Bots can monitor multiple exchanges and execute trades in milliseconds, capitalizing on arbitrage opportunities that would be impossible for a human trader to exploit.
This has led to a more competitive environment where arbitrage opportunities are often short-lived. As a result, successful arbitrageurs increasingly rely on sophisticated algorithms and high-speed trading infrastructure to maintain a competitive edge.
The use of bots has also made the market more efficient by quickly correcting price discrepancies between exchanges.