How does the rollover period affect cryptocurrency trading strategies?

1 answers

• May 08, 2022 · 3 years ago
  The rollover period plays a crucial role in cryptocurrency trading strategies. It refers to the time when open positions are rolled over to the next trading day. During this period, traders may incur additional costs or earn interest on their positions. It is important for traders to consider the rollover period when developing their trading strategies. For example, if a trader is holding a long position and the interest rate for the base currency is higher than the quote currency, they may earn interest during the rollover period. Conversely, if the interest rate for the quote currency is higher, they may have to pay interest. By understanding the rollover period and its impact on trading decisions, traders can make more informed choices and adjust their strategies accordingly.
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