Trading bitcoin inverse futures contracts

ep = entry price    ex = exit price   N = number of contractsPNL = (1/ep - 1/ex) * N 
PNL = (1/16000 - 1/8000) * 16000 = -1

Long on inverse

60 000 * 1 * (1/600 - 1/700) = 14.286 XBT
60 000 * 1 * (1/600 - 1/500) = -20 XBT

Short on inverse 1x leverage to lock-in USD (hedge)

ep = entry price    ex = exit price   N = number of contractsPNL = (1/ex - 1/ep) * N 
PNL = (1/10000 - 1/8000) * 16000 = -0.4 BTC
1.6 * 10 000 = $16 000
ep = entry price    ex = exit price   N = number of contractsPNL = (1/ex - 1/ep) * N 
PNL = (1/5000 - 1/8000) * 16000 = 1.2 BTC
2 BTC + 1.2 BTC = 3.2 BTC
3.2 * 5000 = $16000
Before
After
https://twitter.com/ThinkingUSD/status/965510598736822272
long liquidation price
short liquidation price

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derivatives trader

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Romano RNR

Romano RNR

derivatives trader

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