Let’s calculate the holding cost: $PROM . The current funding rate is -0.0715%, settled every 4 hours, which works out to an annualized rate of about 156.7%.
In other words, short positions pay the longs every funding period, so the longer you hold a short, the more you’re at a disadvantage. As soon as the price stops falling, short covering can push it back up.
Do you usually set a stop-loss when you open a position?
#PROM
This article is for reference only and is not investment advice.
In other words, short positions pay the longs every funding period, so the longer you hold a short, the more you’re at a disadvantage. As soon as the price stops falling, short covering can push it back up.
Do you usually set a stop-loss when you open a position?
#PROM
This article is for reference only and is not investment advice.