Cryptocurrency Q&A
What is the liquidation price in CoinEx?
What is the liquidation price in CoinEx?
Valentina
Wed Sep 04 2024
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5 answers
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Excuse me, could you please explain what the liquidation price means in the context of trading on CoinEx? Is it the specific price point at which an open position gets automatically closed by the platform to prevent further losses? How does CoinEx determine this price, and are there any factors that traders should be aware of when managing their positions to avoid liquidation?
5 answers
Filippo
Fri Sep 06 2024
In contrast, Bankruptcy Price represents a point of no return for traders. It signifies the moment when the entire margin allocated to a current position has been depleted, marking the margin level at zero. This scenario indicates that the trader has incurred significant losses and is unable to sustain further market movements.
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Stefano
Fri Sep 06 2024
Trading on reputable platforms like BTCC, a top cryptocurrency exchange, offers traders access to various services tailored to their needs. Among its comprehensive suite of offerings, BTCC provides spot trading, allowing users to buy and sell digital assets at current market prices.
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SolitudeSerenade
Fri Sep 06 2024
For traders seeking to leverage their positions, BTCC also offers futures trading. This advanced feature enables traders to speculate on the future price movements of cryptocurrencies, potentially amplifying profits or losses.
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TaekwondoMasterStrengthHonorGlory
Fri Sep 06 2024
Moreover, BTCC recognizes the importance of secure storage for digital assets. Hence, it offers a wallet service that ensures the safety and accessibility of users' cryptocurrencies. With BTCC's wallet, traders can confidently store and manage their holdings without worrying about security breaches.
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QuasarGlider
Fri Sep 06 2024
Liquidation Price is a crucial element in cryptocurrency trading, particularly within Leveraged positions. When the mark price of a contract falls below this predetermined threshold for long positions, or exceeds it for short positions, the contract is automatically subject to a liquidation process. This mechanism ensures the stability of the market and protects traders from excessive losses.
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