What does a high funding rate mean for Bitcoin?
In perpetual futures contracts, a high funding rate for Bitcoin refers to a rate that exceeds the baseline rate of 0.01%. Generally, the maximum upper limit for Bitcoin funding rates is
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In perpetual futures contracts, a high funding rate for Bitcoin refers to a rate that exceeds the baseline rate of 0.01%. Generally, the maximum upper limit for Bitcoin funding rates is
Read MoreA negative funding rate means that short positions in perpetual futures contracts must pay funding to long positions. This typically occurs when the price of the perpetual futures contract is
Read MoreFunding rate arbitrage can be divided into two types: Funding rate arbitrage between spot and perpetual: Funding rate arbitrage between spot and perpetual contracts refers to simultaneously executing two trades
Read MoreThe purpose of a funding rate in perpetual futures contracts is to ensure that the price of the contract stays close to the underlying asset’s price. The funding rate achieves
Read MoreTo avoid liquidation in crypto trading, here are some tips that traders can consider: Proper Risk Management: It’s essential to manage risk properly when trading cryptocurrencies. Traders should only invest
Read MoreWhen a trader is liquidated on a crypto futures trade, any remaining margin in their account is used to cover their losses. If the losses exceed the available margin, the
Read MoreIn the cryptocurrency market, spot trading and contract trading are two common methods of trading, with their main differences lying in trading methods and products. Spot trading refers to buying
Read MoreRisk reserve funds are designed to protect bankrupt traders from adverse losses and ensure that profitable traders receive full profits. The main purpose of the risk reserve fund is to
Read MoreTo manage risks in cryptocurrency contract trading, traders should first set clear risk management goals and strategies based on their risk tolerance and investment objectives. They should also keep track
Read MoreCoin-margined contracts use cryptocurrencies as the settlement currency, instead of stablecoins as collateral. Each contract has a multiplier that reflects its value. For example, a BTC contract is worth $100
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