There are actually two prices on the contract page, so don’t get them mixed up. One is the latest price—the price of the most recent trade. The other is called the mark price, and it’s used to calculate liquidations and unrealized profits and losses.
Just now, $BTC had a latest price of around 73,990 and a mark price of 73,962, a difference of less than thirty bucks. They usually track closely. But when there’s a sudden wick, the latest price might plunge for a bit, while the mark price won’t move as dramatically. You might think the liquidation threshold has been hit, but the system hasn’t actually reached it yet. It’s the same with $ETH : just now, the latest price was 2,056 and the mark price was 2,055—almost identical.
#BeginnerTips #Futures
Just now, $BTC had a latest price of around 73,990 and a mark price of 73,962, a difference of less than thirty bucks. They usually track closely. But when there’s a sudden wick, the latest price might plunge for a bit, while the mark price won’t move as dramatically. You might think the liquidation threshold has been hit, but the system hasn’t actually reached it yet. It’s the same with $ETH : just now, the latest price was 2,056 and the mark price was 2,055—almost identical.
#BeginnerTips #Futures