Crypto Arbitrage Spread Calculator
Calculate the arbitrage spread between two crypto exchanges. Find profitable price differences after accounting for fees and determine net arbitrage profit.
Calculate grid bot parameters including grid spacing, investment per grid level, and estimated profit per grid. Plan automated grid trading strategies.
Grid trading is an automated strategy that places buy and sell orders at predetermined intervals within a price range. When the price drops to a grid level, the bot buys. When it rises to the next level, it sells for a profit. This strategy works best in sideways (ranging) markets where the price oscillates within a defined band.
The key parameters are: the price range (upper and lower bounds), the number of grid levels, and the total investment. The bot distributes capital across the grid levels and profits from each up-down oscillation. More grids mean smaller profit per trade but more frequent fills.
This calculator helps you plan a grid bot deployment by computing grid spacing, investment per level, and estimated profit per completed grid trade. Understanding these numbers before deploying helps you set realistic expectations and choose optimal parameters.
Use the result to map token-release or fee scenarios and revisit the model when market conditions, unlock terms, or portfolio assumptions change.
Grid bots are popular for passive income in crypto, but poorly configured bots lose money. Setting grids too wide misses oscillations; too narrow and fees eat the profits. This calculator optimizes your grid parameters to ensure each grid trade is profitable after fees and shows the total capital required.
Grid Spacing = (Upper โ Lower) / Number of Grids
Grid Spacing % = Grid Spacing / Lower Price ร 100
Investment per Grid = Total Investment / Number of Grids
Profit per Grid = Investment per Grid ร (Grid Spacing % โ 2 ร Fee Rate)
Total Profit (all grids filled) = Profit per Grid ร Number of GridsResult: Grid spacing: $500 (0.83%) | Profit per grid: $3.76
Range $60,000-$70,000 with 20 grids: spacing = $500 (0.83%). Investment per grid = $10,000 / 20 = $500. Profit per grid = $500 ร (0.83% โ 0.08% fees) = $3.76. If all 20 grids trigger in one cycle, total profit is $75.20. In a volatile ranging market, grids may trigger multiple times.
The grid range should encompass the expected price movement for your time horizon. Use historical support and resistance levels, Bollinger Bands, or recent high-low ranges to set boundaries. A range too narrow will be broken quickly; too wide means sparse grid fills and inefficient capital use. For BTC, a 10-15% range is typical for weekly-monthly grids.
Grid density (number of grids per price range) determines the trade-off between profit per grid and fill frequency. High density (many grids) is ideal for volatile, choppy markets. Low density (fewer grids) is better for markets that make larger moves between reversals. Adjust density based on the asset's typical daily range.
Grid bots are not "set and forget" โ they require monitoring. Set alerts for when price approaches range boundaries. Have a plan for range breaks: either widen the range, stop the bot, or accept the accumulated position. Never deploy more than 20-30% of your portfolio in grid bots, as a sharp trend against you will lock up capital in underwater positions.
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If price drops below the lower bound, all buy orders are filled but no sell orders trigger. You're holding all positions at a loss. This is the main risk of grid bots โ they accumulate during downtrends. You need the price to return to the grid range to start profiting again.
If price rises above the upper bound, all positions are sold at various grid levels. You've taken profit on each grid trade but miss out on further upside. This is the opportunity cost of grid trading โ capped upside in strongly trending markets.
More grids = smaller profit per trade but more frequent fills. Fewer grids = larger profit per trade but less frequent activity. A good rule: grid spacing should be at least 0.5% for crypto to comfortably exceed fees. Experiment with 10-30 grids for a $5,000-10,000 range.
Grid bots are profitable in ranging markets where price oscillates within the grid range. They are not profitable in strong trending markets (either direction). Historically, crypto spends 60-70% of the time in ranges, making grid bots viable for many periods. Overall profitability depends on parameter optimization.
You need enough capital to fund all grid levels. With 20 grids and $500 per grid, you need $10,000. Under-capitalizing a grid bot means some levels can't be filled, reducing its effectiveness. Start with at least $1,000 for basic grids.
Yes, and this can improve overall returns through diversification. Running grids on pairs with different characteristics (some stable, some volatile) smooths returns. Ensure total capital allocation doesn't exceed your risk budget and that you can monitor all bots.
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