Understanding the basics of cryptocurrency and bonuses
Since the cryptocurrency market is constantly developing, cryptocurrency trading can be a high-risk effort, high-level. Among the various types of contracts available on these platforms are Futures contracts that salesmen are devoted to the potential of significant profits or losses if it is not correctly made.
In this article, we will delve into the world of Cryptocurrencies Futures and examine the concept of bonus in cryptographic markets. We will also discuss how to understand this cryptocurrency of commercial cryptocurrencies.
** What is a cryptographic futures contract?
The Cryptocurrency Futures agreement enables buyers and sellers to agree the price for a specific cryptocurrency amount at the future, known as “strike” or “expiry”. The difference between the offer (buyer) and queries (sale) of repression prices, which can be either profit if it is done correctly or a loss, if not.
** How does premium work?
Imagine buying 100 Bitcoin units each $ 10,000 with a Futures contract, which expires within six months. The price of the offer is set by the stock exchange, and is currently $ 9,500 per unit. However, there are also sales orders at this price that can be completed for USD 9,800 or more. In this scenario:
BID bonus: The difference between the offer (9500 USD) and the query (USD 9,800) is a bonus of USD 300.
Ask Premium:
If you want to sell 100 units for USD 10,000, the sale order will be completed for 9,900 USD, which will cause ASK (sale) or 200 USD.
Types of bonuses
There are two basic types of contributions:
- Premium market order : This is the difference between the prices of offers and tasks at a given moment. Basically, it is a spread created by market forces.
- Zero widespread bonus : In this scenario, the prices of the offer and tasks coincide, which does not cause bonuses.
Factors affecting premium
Several factors may affect contributions to Futures contracts in cryptocurrencies:
* variability : Higher variability leads to higher contributions due to increased commercial activity.
* Trading volume : More active market participants increase contributions because they compete for better transactions.
* Order flow : Lack of balance in the field of flow between purchase and sales orders may cause premium discrepancies.
How to avoid premium trade
To reduce the risk, traders should be aware of the following strategies:
- Use orders for stop-loss : Set the floor floor to limit potential losses.
- Dize your portfolio
: Spread your risk into many cryptocurrencies and market types.
- Monitor market conditions : Adjust the commercial strategy based on changing market conditions.
Application
Understanding the bonus in cryptocurrency markets is necessary to make informed commercial decisions. By browsing the basics of borets, you will be better prepared for navigation of complex financial instruments. Remember to maintain discipline and adapt your strategies as market conditions evolve.
Since the cryptocurrency market is constantly growing and maturing, the key is educated in terms of the complexities of the bonus to maximize potential profits, while the mini -mini losses.
