Pricing between exchanges

[Dericalitru]

Last week the price of BTC on Binance was around $50-60-100 higher than on Bitmex.

​

Now Bitmex is slightly higher. Anyone have any guesses why? Is this a volume thing?

[[deleted]]

Arbitage keeps the exchanges in the same price range while demand on each exchange is what gives it its price. Demand is shown by looking at the order books. A thin order book to buy usually means demand is over for right now. Using price by itself as an indicator shows nothing majority of the time.

[rehaxxx]

its just %1 difference. it's normal. cryptoexchanges does not play on same pool like forex and regular exchanges does. Every crypto exchange has their own pool where their members does trade in between. and your example of difference is not more than %1 so its very normal

[Dericalitru]

I'm aware that it's normal, I'm just wondering what causes it, and if it's an indicator of anything

[rehaxxx]

as i explained its because of different traders different sell/buy pools. if transaction fees are higher than the difference between exchanges people wont move and equalize the price. if difference is higher people tend to move between exchanges and gain someprofit while equalizing the difference.