Perpetual future: a complete guide for cryptocurrency dealers
The cryptocurrency trade world is a very fragile and fast landscape, with new opportunities every day. One of the tools that have received considerable attention in recent years is the eternal future. In this article, we are immersed in the concept of eternal trade in the long term, its advantages, its risks and how we can use cryptocurrency dealers.
What is the eternal future?
Eternal term transactions, also called eternal contracts or eternal opportunities, are financial derivatives that allow traders to receive the future price of assets without expiration date. Unlike traditional options, which have an expiration date and must be exercised in a certain calendar, the Eternal Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Futures Future Futures
How does eternal future work work?
During eternal term transactions, the merchant concludes a contract with a buyer or cryptocurrency seller (short) and undertakes to buy or sell the asset at a specific price at a future price. The contract is generally constructed as follows:
* Basic tool: Trade is a basic cryptocurrency tool.
* Strike: The predetermined price to which the merchant closes his position.
* The violent time (tif): is the moment when the buyer or the seller must fulfill their obligations. Tif is generally between 3 and 30 seconds, allowing traders to react quickly to market developments.
* Nominal size: The total value of the contract is generally expressed in the units of the underlying device.
When a merchant concludes an eternal contract, it is essentially welcomed in the movement of selected prices of cryptocurrencies. If the market accumulates against them and the price of the strike falls below the current market price, the merchant will have the duty to buy or sell the exercise price. On the other hand, if the market moves to their advantage and the exercise price exceeds the current market price, the merchant is required to sell or buy.
** Advantages of cryptocurrencies
Eternal Futures Commerce offers many advantages that offer an attractive opportunity for cryptocurrency dealers:
LEVER: ** Using eternal term transactions, traders can strengthen a minimum risk. The lever factor is generally higher than traditional opportunities and cryptocurrencies, allowing traders to control larger positions with higher capital.
* Low risk: Eternal term transactions eliminate the need for conventional options or liquidity risks.
* Market observation: Traders can monitor market activity and quickly define their position on changes in the price of underlying assets.
* Evolution:
Eternal Futures Futures Futures Futures Futures Futures Future Future Allocation allows you to exchange higher amounts at lower costs, making it an ideal choice for speculative merchants.
Risk of eternal term transactions of cryptocurrency dealers
Although eternal trade in the long term offers many advantages, there are risks linked to the market:
* Volatility of the market:
is known for the strong volatility of the cryptocurrency market, which can cause rapid price movements and major losses.
* Liquidity risk: Eternal term contracts often have low liquidity, which makes it difficult to entry or exit rapid. This may increase the time required to close the position and can cause significant losses if market conditions deteriorate.
* Useless risk: Traders are exposed to harmful risks if they negotiate with other parties on the eternal platform in the long term. If one party fails, the other cannot fulfill its obligations or compensate for them for losses.