Triangle Arbitrage Bot
HTS's Triangle Arbitrage Bot monitors price differences in currency pairs, in relation to a Base Currency, to generate a profit. The Triangle Arbitrage Bot works well on exchanges that have high volume and multiple currency pairs. This bot runs internal arbitrage on a single exchange.
How it Works
This bot trades using three cryptocurrency pairs on a single exchange by looking for arbitrage between these pairs.
In the past, this bot was working well (with the thin orderbooks), but these days the orderbooks are filled, so making profits with this type of bot has become increasingly difficult. We still support this bot, but we generally advise not to use it. Trades are infrequent and have marginal profits. If an exchange offers zero trading fees then it is still possible to get some good trades with this bot. Keep an eye out for exchanges offering limited-time deals on trade fees. This bot can only be run on spot markets.
Backtesting this bot will not be accurate. The backtest cannot take into account the past order books so the numbers are estimated. This bot targets the orderbook and requires 3 trades to be executed. This means the bot has an additional risk of trades stalling since orderbook changes may occur in the time between trades.