How to Trade Cardano (ADA) Futures on BTCC

2023/01/23By: C, Fiona

 

To buy or sell Cardano at a specified future date and price is to enter into a Cardano Futures contract. The value of the futures contract is tied to the price of the underlying cryptocurrency, which in this case is Cardano. So, a Cardano future contract’s price follows Cardano’s price rather closely.

 

Therefore, futures trading is an alternative to buying and selling the underlying cryptocurrency (aka spot trading). It is possible to make a profit in spot trading by buying Cardano at a low price and selling it at a high price. It’s important to note that the Cardano price must be rising for this strategy to be profitable. Spot trading is unavailable, however, during a down market.

 

Further, in spot trading, you cannot use leverage. Futures trading in Cardano has various advantages over spot trading in Cardano, such as the opportunity to go long or short and the availability of leverage.

 

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What are Cardano (ADA) Futures?

 

Futures contracts for cryptocurrencies allow investors to wager on the value of a digital asset. Futures contracts allow investors to speculate on the price of a cryptocurrency without actually buying any of the coins themselves. However, when a futures contract expires, the buyer must buy the coin to settle the transaction.

 

Cardano, a cryptocurrency built on the Cardano blockchain, debuted in 2017. Proof-of-Stake (PoS) is its consensus method, and it was developed to be Ethereum’s scalability, sustainability, and interoperability successor. It is for this reason that Cardano has been dubbed a “Ethereum killer” by blockchain’s advocates.

 

Cardano added smart contract support in September 2021, paving the way for the development of dApps, NFTs, games, new cryptocurrencies, and more. Tokenized in honor of Ada Lovelace, a pioneering female mathematician of the 19th century, ADA is the native coin of the blockchain. These coins are intended for safe monetary exchange and to cover transaction costs.

 

Cardano futures are essentially agreements to buy and sell a set amount of ADA at a predetermined price. Cardano swaps and Cardano futures are two common names for the same financial instrument.

 

Those that invest in ADA futures anticipate a future increase in the value of the cryptocurrency and are banking on this. They stand to gain financially from any further price hikes if this occurs. But they risk losing money if the value of Cardano drops.

 

 

 

How to Long ADA Futures

 

If you intend to profit from a gain in Cardano’s price in the near future, you purchase ADA futures. This trading approach is also known as having a long position in ADA futures.

 

At a leverage of 10x, purchasing a $100 ADA futures contract allows you to ‘own’ $1,000 worth of Cardano. Note, however, that if the price of ADA falls by more than 10%, your position will be liquidated and you will lose your entire $1,000 investment.

 

Suppose ADA is now trading at 0.1 USDT per coin. A bullish ADA futures trader purchases 100,000 ADA futures contracts with 10x leverage to establish a long ADA futures position at that price.

 

With a contract size of 1 ADA per contract, the initial margin needed to open this position is: 100,000 x $0.01 / 10 = $1,000. Depending on the performance of the ADA price, the trader might either earn a substantial profit or lose his entire investment.

Why Trade Cardano (ADA) on BTCC

 

To trade ADA futures, you can choose BTCC crypto exchange.BTCC, a cryptocurrency exchange situated in London, UK, was founded in June 2011 with the goal of making crypto trading reliable and accessible to everyone.

 

 

BTCC Exchange

 

We specializes in crypto futures contract trading, offering perpetual futures contracts. The maximum leverage offered by BTCC for daily futures contracts is 150x. The vast variety of futures offered by BTCC accommodates the trading habits and objectives of both novice and seasoned traders.We offer the USDT-margined futures and Coin-margined futures . Users can trade futures using USDT or cryptos like BTC, ETH, and XRP. And Large orders of up to 300 BTC can be executed at the top price levels.

 

Here are the main advantages of using the BTCC crypto exchange to trade Bitcoin futures:

 

  • Largest variety of futures: Daily and Perpetual futures
  • Flexible leverage from 10x to 150x
  • Lowest trading fees 0.03%
  • Industry-leadingmarket liquidity
  • Plenty of campaigns to win exciting rewards

 

 

How to Trade Cardano (ADA) Futures on BTCC

 

STEP 1: Open the BTCC margin trading interface
STEP 2: Choose the type of ADA margin
STEP 3: Select the ADA order type
STEP 4: Choose the leverage
STEP 5: Choose the lot size
STEP 6. Set the take profit and stop loss price
STEP 7. Choose price direction:Buy when bullish, Sell when bearish

STEP 1: Open the BTCC margin trading interface

 

 

Log in to the official website of BTCC.com and click Margin Trading on the main menu. Or directly enter the web version link: https://www.btcc.com/en-US/trade/, and log in at the upper right corner of the page;

 

If you have not opened an account with BTCC, click here to quickly register a free account and top up the initial amount. You can deposit at least 2 USDT for an attempt. If the deposit amount is greater than 500 USDT, you can receive up to 2,000 USDT bonus.

STEP 2: Choose perpetual contract ADA

 

Select ADA perpetual contract at the top of the page.

 

STEP 3: Select the ADA order type

 

Select the BTCC margin trading order type at the top right of the page. BTCC margin trading orders are divided into market orders, limit orders and stop loss orders.

 

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  • Market orders: Users place orders at the best price in the current market to achieve fast trading.
  • Limit order: A limit order is used to copy the top/bottom, and refers to a buy/sell price set by the user. After the market reaches the limit price, the margin trading can be executed.
  • Stop Order: A stop order is an advanced limit order, and users can customize a buy/sell price. After the market reaches the limit price, the margin trading can be executed.

STEP 4: Choose the leverage 

 

BTCC provides 20x ADA/USDT perpetual contract.

 

STEP 5: Choose the lot size 

 

The ADA trading unit at BTCC allow users to choose the number of lots based on their investment situation, and the range can be selected from 1 to 1000 lots. There are real-time contract values and reference margins below.

 

STEP 6. Set the take profit and stop loss price

 

Market orders, limit orders and stop orders all need to set a take-profit and stop-loss price. The difference is that market orders are executed immediately at the best price, while limit orders and stop orders need to be set for the same day or a week.

 

STEP 7. Choose price direction:Buy when bullish, Sell when bearish

 

After setting the basic data information, users can choose to buy (open long) or sell (open short) after entering their ideal price. Note that the price cannot be higher or lower than the highest buying price or lowest selling price of the platform. Click the buy or sell button, and the ADA order is completed.

 

 

Finally, after the margin trading is completed, it will be displayed at the bottom of the position page; if there is no trading to be executed, it will be displayed at the bottom of the pending order page.

 

 

 

For more orders information, you can click on the margin trading report at the top right of the page to view. At this point, you have completed the ADA margin trading. If you have further inquiries, please contact the online customer service.

 

BTCC FAQs

 

1.Is BTCC safe?

Since its inception in 2011, BTCC has made it a priority to create a secure space for all of its visitors. Measures consist of things like a robust verification process, two-factor authentication, etc. It is considered one of the most secure markets to buy and sell cryptocurrencies and other digital assets.

 

2.Is it possible for me to invest in BTCC?

Users are encouraged to check if the exchange delivers to their area. Investors in BTCC must be able to deal in US dollars.

 

3.Can I Trade BTCC in the U.S?

Yes, US-based investors can begin trading on BTCC and access the thriving crypto asset secondary market to buy, sell, and trade cryptocurrencies.

 

 

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