In terms of trading flexibility, which is better: perpetual futures or quarterly futures in the cryptocurrency industry?
jahnavi akkirajuDec 16, 2021 · 3 years ago1 answers
When it comes to trading flexibility in the cryptocurrency industry, which type of futures contract is more advantageous: perpetual futures or quarterly futures? What are the key differences between these two types of contracts in terms of trading flexibility?
1 answers
- Dec 16, 2021 · 3 years agoPerpetual futures and quarterly futures are two popular types of futures contracts in the cryptocurrency industry. In terms of trading flexibility, perpetual futures have the edge. With perpetual futures, traders have the flexibility to enter and exit positions at any time, as there is no expiration date. This allows for greater adaptability to market conditions and the ability to take advantage of short-term trading opportunities. On the other hand, quarterly futures contracts have a fixed expiration date, which may limit the trading flexibility for some traders. However, quarterly futures contracts offer the advantage of being more predictable, as the expiration date is known in advance. It's important for traders to carefully consider their trading goals and risk tolerance when choosing between perpetual futures and quarterly futures.
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