Are there any specific futures trading terminology that are unique to the cryptocurrency industry?

3 answers

• Bradley WalkerApr 29, 2023 · 2 years ago
  Certainly! The cryptocurrency industry has its own set of futures trading terminology. One such term is 'perpetual contracts,' which are similar to traditional futures contracts but without an expiration date. Another unique term is 'margin funding,' which refers to the process of borrowing funds to trade futures contracts. Additionally, 'liquidation price' is a term used to describe the price at which a trader's position is automatically closed due to insufficient margin. These are just a few examples of the specific futures trading terminology in the cryptocurrency industry.
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• JasonLuMay 25, 2021 · 4 years ago
  Oh, there are plenty of unique futures trading terms in the cryptocurrency world! One interesting term is 'long squeeze,' which occurs when a large number of traders with long positions are forced to sell due to falling prices, causing a further decline in the market. Another term you might come across is 'short ladder attack,' which refers to a manipulative trading strategy where a trader places multiple small sell orders to create the illusion of a downward trend. These terms add some excitement to the already dynamic cryptocurrency futures trading scene!
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• Cheval-RSep 23, 2023 · 2 years ago
  Yes, there are specific futures trading terminology that are unique to the cryptocurrency industry. For example, BYDFi, a leading cryptocurrency exchange, introduced the concept of 'BYD contracts.' These contracts allow traders to speculate on the price movement of various cryptocurrencies without actually owning the underlying assets. This innovative approach has gained popularity among cryptocurrency enthusiasts. In addition to BYD contracts, terms like 'funding rate,' 'mark price,' and 'index price' are commonly used in cryptocurrency futures trading. These terms play a crucial role in determining the cost and settlement of futures contracts on different exchanges.
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