0 sats \ 0 replies \ @WeAreAllSatoshi 26 Aug 2023 \ on: Why do prices of Bitcoin differ across exchanges? bitcoin
Exchanges are made up of order books, filled with orders to buy and sell certain quantities at certain prices. These orders can only be filled on the exchange with which it is placed. So each exchange has a different set of open orders. The state of the order book determines the price on each exchange, somewhere between the current ask and bid prices