Cryptocurrency Q&A Why are contract prices different from spot prices?

Why are contract prices different from spot prices?

SsamziegangStroll SsamziegangStroll Mon Dec 16 2024 | 7 answers 1660
I'm curious to understand why contract prices often deviate from spot prices. What factors contribute to this difference, and how does it impact the market? Why are contract prices different from spot prices?

7 answers

EchoWhisper EchoWhisper Tue Dec 17 2024
In cases where the contract market has lower liquidity, transactions become more sensitive to large orders.

Was this helpful?

367
90
Riccardo Riccardo Tue Dec 17 2024
Such large orders can cause significant price fluctuations in the contract market.

Was this helpful?

201
35
BenjaminMoore BenjaminMoore Tue Dec 17 2024
Leveraged trading introduces an extra layer of volatility in the market.

Was this helpful?

131
82
Stefano Stefano Tue Dec 17 2024
This volatility leads to discrepancies between contract prices and spot prices.

Was this helpful?

295
35
DigitalTreasureHunter DigitalTreasureHunter Tue Dec 17 2024
Participants in the contract market may have differing market sentiments and demands compared to those in the spot market.

Was this helpful?

110
46
Load 5 more related questions

|Topics at Cryptocurrency Q&A

Get the BTCC app to start your crypto journey

Get started today Scan to join our 100M+ users

The World's Leading Crypto Trading Platform

Get my welcome gifts