What are the risks after the surge of #RARE ?
The dealer started to list small currency contracts
That is, he started to play with small things. Once this operation becomes popular,
there will be more and more.
But the dealer is the dealer after all. It is impossible for most people to make money. The ultimate purpose of new gameplay is to cut.
$RARE wants to arbitrage because of the high funding rate?
Please think twice before you act, so as not to lose all your money!
Understand the logic of funding fee payment:
Short position holders need to pay fees; vice versa. However, the positive and negative of this funding rate is directly related to the ratio of long and short positions. A positive rate means too many long positions!
Under the rules, undercurrents are surging, and the road to arbitrage is full of thorns.
Basic concepts must be known:
Contract pool and spot pool: Understanding the relationship between the two is the basis of arbitrage strategy.
Leveraged borrowing: a common method used by market makers to improve the ability to control the market by borrowing money and influence the market trend. Matching transaction mechanism: There must be a counterparty behind every transaction, and its source and motivation are worth exploring. The subtle interaction between contracts and spot:
Contract prices often follow spot prices, but premiums are often driven by funding rates, aiming to balance the prices of the two. In extreme markets, this mechanism may fail, exacerbating price deviations.
Leveraged currency trading strategy:
Market makers borrow currency to pull the market, reduce funds and risks, and return the market to make profits after the goal is achieved. Observing the leveraged currency data, you can get a glimpse of market trends. Profit strategy suggestions:
Decisive entry into short orders during the delivery phase to capture market correction opportunities, such as my previous successful operation on HIGH coin, is an example, more detailed strategies. Click on my avatar to follow us, we share contract spot passwords almost every day.