OKXs seven trading products to cope with volatile market conditions
The market is volatile. It rebounds just after you cut your losses, and plummets just after you buy the bottom. The repeated temptation to buy more and false breakouts make people lose their minds. How can you trade elegantly and make a profit in a volatile market? You must understand these OKX strategies!
First of all, you need to be clear about your trading style – are you a short-term hunter or a steady arbitrage player? Short-term traders can use tools such as contracts, grid trading, options, etc. to quickly enter and exit and seize arbitrage opportunities brought by market fluctuations; while steady arbitrageurs can choose tools such as dual currency win, shark fin, fixed investment strategy, etc., to steadily accumulate profits in the volatile market, and even easily achieve low buy and high sell. Secondly, stop relying on guessing the market, but use strategies to win profits. Whether it is using grid trading and Martingale strategy, automatically selling high and buying low for short-term arbitrage; or choosing dual currency win and bottom-picking profit-taking strategy to lock in stable profits within the volatile range; or using shark fin and option strategies to seize the opportunity of huge profits when the market breaks through, effectively control risks through the stop-profit and stop-loss functions, and reasonable risk management helps you avoid traps.
Next, we will deeply analyze the gameplay and applicable scenarios of these strategies, and comprehensively analyze the advantages and disadvantages of OKXs 7 major trading tools to help you find the trading method that suits you best. No matter which strategy you choose, choosing the right tool is always more important than blindly operating. Only by matching it with your own trading style can you calmly deal with market fluctuations.
1. You want low-threshold arbitrage
OKX spot grid is suitable for conservative users, and contract grid is suitable for advanced users. Because the capital utilization rate of contract grid is high, but there is a risk of liquidation, so strict risk control is required. The investment cost is 0 U or above, and the participation threshold is low. Grid trading is an automated quantitative trading strategy that divides multiple grids within a preset price range, buys low and sells high, and captures arbitrage opportunities brought by market fluctuations. According to the application scenario, the contract grid is further subdivided into long, short and neutral modes to adapt to different market trends. OKX spot contract grid supports custom parameters or AI parameters. Users can use it with just one click and invest in U, which is very convenient.
2. You want to profit from bottom-picking rebound
OKX provides two strategies: spot and contract Martingale. As a higher-risk strategy, Martingale is essentially a counter-trend strategy, so novices should use it with caution! Mature traders need to make trend judgments and strictly control risks. Martingale strategy, full name Dollar Cost Averaging (US dollar average cost), referred to as DCA, is a trading method that focuses on position management. The core concept is loss increase position to pull the average price, profit reset, and the main feature is to double the transaction amount after each loss until a victory is achieved. The basic assumption of this strategy is that as long as the capital is large enough, the final victory will make up for all previous losses and bring profits.
3. You can earn interest even if you don鈥檛 want to watch the market
Dual Currency Win is suitable for those who are not sure about the market direction but want to earn income, and those who are unwilling to engage in high-frequency trading. Dual Currency Win is a structured product created by OKX that guarantees interest but not principal, which can help users earn extra income while buying or selling digital currencies at the target price. Users can subscribe to Dual Currency Win and trade mainstream currency pairs, such as BTC – USDT, ETH – USDT), so as to enjoy stable income from any currency. However, it is worth noting that after the exercise is triggered, it may be exchanged for another asset. For this reason, OKX launched ETH/BTC currency-based Dual Currency Win, which supports BTC and ETH investment subscription to achieve low buying and high selling. Compared with the U-based Dual Currency Win, it provides a new way to earn income, 0 fees to realize the conversion between the two major mật mãcurrencies, continuous interest, and no fear of missing the market due to conversion to USDT, etc., which helps users hold coins without worry.
4. You don鈥檛 want to lose your capital
OKX Shark Fin is suitable for users who do not care about how much they earn but are unwilling to bear the loss of principal. Its core feature is that while enjoying the guaranteed income, they can also participate in the market and earn floating/extra income brought by the market. It allows users to earn annualized returns on assets such as USDT, BETH, and OKSOL in market fluctuations by tracking the fluctuations in currency prices. If the market conditions meet expectations, higher additional returns can be unlocked. OKX Shark Fin provides flexible participation periods of 1 day, 3 days, and 7 days. There is no need to watch the market. You can freely choose according to market predictions and fund arrangements to easily obtain stable returns. OKX provides bullish/bearish shark fins. Users can buy bullish and bearish shark fins at the same time, covering two-way fluctuations, increasing costs but diversifying risks. In addition, you can participate when the panic index soars, and the highest annualized rate provided by the platform is better under high volatility. In short, Shark Fin is suitable as a cash management tool to use idle funds to obtain returns when the fluctuation range is clear, but positions still need to be strictly managed.
5. You want to earn both price appreciation and interest income
OKXs bottom-picking and profit-taking strategy is based on dual-currency financial products to automatically bottom-pick, stop profit to earn coupons and currency price increase income. Circular arbitrage: use the two directions of low buy and high sell based on dual-currency financial management to carry out cyclic investment arbitrage. U-standard income: invest in USDT, use dual-currency financial management to buy low, and after the low buy is successful, stop profit, earn the currency price difference and interest income. This strategy currently only supports BTC and ETH, but the system can flexibly match according to the users target price, minimum annualization, and maximum investment period. In addition, the OKX bottom-picking and profit-taking strategy provides two modes: ordinary mode and advanced mode. The price of ordinary mode is set to a fixed absolute value, such as 75,000 USDT, which is suitable for scenarios with clear support/pressure levels and low flexibility. The price of advanced mode is set to a dynamic ratio, such as a 5% drop in market price, which is suitable for scenarios without clear points but predicted fluctuation ratios, and high flexibility.
Choose the right tool based on the market conditions
The essence of trading is not to predict the market, but to choose the right tools to deal with different market conditions. When the market fluctuates, blindly chasing ups and downs will only make the account take off – not a burst of profit, but an explosion. Smart traders will not be angry with the market, but use tools to make every market fluctuation become their own opportunity. For example, the OKX spot grid is suitable for Buddhist players who are too lazy to watch the market but want to earn some volatility income; the contract grid is an advanced tool with high capital utilization, but strict risk control is required. Dual currency wins allow coin holders to no longer lose lying down, and they can get extra income regardless of whether the market goes up or down; and the shark fin is the gospel of conservative users. It doesnt matter how much you earn, and stabilizing the principal is the kingly way.
There are three types of people in the market: the first type relies on luck, with huge profits and losses like a roller coaster; the second type relies on cognition, technical analysis + strategy execution; the third type relies on tools to model and automate complex transactions to maximize profits. The first two types compete on emotions and experience, while the third type is the victory of tool people. The diverse strategies and structured products provided by OKX allow you to no longer be led by emotions, but let tools help you execute your plans. For example, U-standard dual-currency win is suitable for traders who take stable income while waiting for the opportunity to enter the market, while grid trading is suitable for users who want to continue arbitrage and steadily obtain profits brought by market fluctuations.
The market doesnt lose money, its the retail investors who lose money. Although this sentence hurts, it points out a reality: the gap between speculation and trading is even greater than the gap between a bull market and a bear market. If you are still relying on snap trading, your opponent may have already used strategies to accurately calculate every transaction. Choosing the right tool is the first step to turn the market into an ATM. OKX has provided a wealth of strategic tools. Whether it is stable arbitrage or high-risk gambling, there is always one suitable for you. Instead of relying on luck, it is better to use tools to put the probability on your side.
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This article is for reference only. This article only represents the authors views and does not represent the position of OKX. This article is not intended to provide (i) investment advice or investment recommendations; (ii) an offer or solicitation to buy, sell or hold digital assets; (iii) financial, accounting, legal or tax advice. We do not guarantee the accuracy, completeness or usefulness of such information. Holding digital assets (including stablecoins and NFT) involves high risks and may fluctuate significantly. You should carefully consider whether trading or holding digital assets is suitable for you based on your financial situation. Please consult your legal/tax/investment professionals for your specific situation. Please be responsible for understanding and complying with local applicable laws and regulations.
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