Bitcoin Trading There is potential to make big money trading bitcoin. Unlike buying and holding, trading bitcoin means you buy at a low price and sell them back at a higher price. This requires practice and knowledge of the market and to some extent a crystal ball. Given that the cryptocurrency market is extremely volatile, this method can be very risky. There is money in Arbitrage The volatile nature of the market, however, gives rise to the opportunities for arbitrage. Arbitrage–as per Investopedia is the simultaneous buying and selling of securities, currency, or commodities in different markets or in derivative forms in order to take advantage of differing prices for the same asset. There are several reasons why bitcoin arbitrage takes place, Market demands, the difference in the quality of the markets and diversity in client behaviors to name a few. If you have a good knowledge of the market and you can keep surveillance over multiple exchanges spanning over multiple countries, there is a good chance of making a big profit margin. If you have at least some technical knowledge, you can also profit from using arbitrage bots.