What factors determine the rollover rates for cryptocurrencies on Oanda?

3 answers

• GMN-dsMar 09, 2023 · 2 years ago
  Rollover rates for cryptocurrencies on Oanda are determined by several factors. One of the main factors is the interest rate differential between the two currencies in the currency pair being traded. This means that if the interest rate of the base currency is higher than the quote currency, traders who hold long positions will receive a positive rollover rate, while those with short positions will pay a negative rollover rate. Another factor is market liquidity, as cryptocurrencies with higher trading volumes tend to have lower rollover rates. Additionally, Oanda takes into account the current market conditions and adjusts the rates accordingly. These rollover rates can have an impact on trading costs, as they can either add to or subtract from a trader's profit or loss depending on the direction of their position.
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• dong wangAug 12, 2021 · 4 years ago
  When it comes to determining the rollover rates for cryptocurrencies on Oanda, it's all about the interest rate differentials. Oanda calculates these rates based on the interest rates of the currencies in the trading pair. If the interest rate of the base currency is higher than the quote currency, traders who hold long positions will earn a positive rollover rate. On the other hand, if the interest rate of the base currency is lower than the quote currency, traders with short positions will pay a negative rollover rate. Market liquidity also plays a role in determining these rates. Cryptocurrencies with higher trading volumes tend to have lower rollover rates. So, keep an eye on the interest rate differentials and market liquidity to understand the rollover rates for cryptocurrencies on Oanda.
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• PAKdevNov 24, 2024 · 8 months ago
  BYDFi, a popular cryptocurrency exchange, provides rollover rates for cryptocurrencies on Oanda. These rates are determined by various factors, including the interest rate differentials between the currencies in the trading pair and the current market conditions. When the interest rate of the base currency is higher than the quote currency, traders holding long positions will receive a positive rollover rate, while those with short positions will pay a negative rollover rate. Conversely, when the interest rate of the base currency is lower than the quote currency, traders holding short positions will receive a positive rollover rate, while those with long positions will pay a negative rollover rate. Market liquidity also affects the rollover rates, with cryptocurrencies having higher trading volumes generally having lower rates. It's important to consider these factors when trading cryptocurrencies on Oanda to understand the rollover rates and their impact on trading costs.
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