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MEXC Leveraged ETF Leads the Cryptocurrency Market as Its Liquidity Ranks First

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MEXC Leveraged ETF Leads the Cryptocurrency Market as Its Liquidity Ranks First


[PRESS RELEASE – Please Read Disclaimer]

Crypto asset trades emerge one after another, and leveraged ETFs are becoming the next star product after futures. MEXC, the cryptocurrency exchange with the highest futures trading liquidity on the Internet, takes the lead again in the cryptocurrency market with leveraged ETFs.

Comparing the leveraged ETF depth indicators of trading platforms such as Binance, MEXC, Kucoin, Gate, and Huobi, and analyzing their leveraged ETF transactions of mainstream cryptocurrencies with the highest market cap, it is found that the top three platforms in depth performance are MEXC, Binance, and Kucoin. The data shows that in terms of the trading depth of BTC 3L, ETH 3L, LTC 3L, and EOS 3L, MEXC ranks first in the aspect of liquidity.

Taking BTC 3L as an example, the depth of 1% on MEXC is 14,403,439USDT; The depth of 1% on Binance, which ranks second, is 87,359.56USDT; And the depth of 1% on Kucoin, which ranks third, is only 48,479.6USDT. At this depth, MEXC has surpassed the sum of Binance and Kucoin, and the gap tends to widen.

MEXC

Comparing ETH, LTC, EOS and other mainstream cryptocurrencies, it can also be seen that MEXC’s leveraged ETF trading has the best liquidity, and the depth of other trading platforms is much lower than MEXC. Meanwhile, according to cryptorank data, Binance’s 24-hour leveraged ETF trading volume was $23.67 million USD, accounting for 63.5% of the market; MEXC’s 24-hour leveraged ETF trading volume was $9.25 million USD, with a market share of 24.8%, ranking second.

MEXC/Cryptorank

The leveraged ETF was first launched by MEXC in November 2019. It is a perpetual leveraged product that magnifies the price change of the benchmarked asset, aiming to provide leveraged returns on the benchmarked perpetual futures. It can be understood as an exchange-traded fund with leverage multiples.

The trading rules of leveraged ETF products are as simple as those of spot products. It is not necessary to use part of the margin to occupy positions like futures. At the same time, it can achieve multiple gains and returns like futures, so it is favored by some investors with low-risk appetite.

At present, each token on MEXC supports leveraged ETF trading of 3x long (3L) and 3x short (3S), and some mainstream cryptocurrencies also support 2x, 4x, or 5x leverage and the risk is controllable. For example, when you want to go 3x long for BTC, you only need to buy BTC3L/USDT; When you want to go 3x short for BTC, you only need to buy BTC3S/USDT; And when you want to clear the position, you only need to sell the corresponding position. Leveraged ETFs do not use margins to occupy positions and do not have liquidation rules, so there is no need to worry about the risk of liquidation.

Leveraged ETFs have a rebalance mechanism, and the compound interest effect is obvious. In the continuous rising/falling market, the daily profit will be automatically transferred to the position and reinvested to realize compound interest, and the profit will be higher than that of margin or futures products of the same multiple. At present, MEXC supports leveraged ETF trading of more than 300 cryptocurrencies such as BTC, ETH, DOT, ATOM, SHIB, DOGE, AAVE, CRV, etc. It provides the most cryptocurrencies on the Internet, allowing traders to have different choices in different trends or unilateral market conditions.

About MEXC:

MEXC is the world’s leading cryptocurrency trading platform, providing one-stop cryptocurrency trading services for spot, ETF, futures, Staking, NFT Index, etc.,and serving more than 10 million users worldwide. The core team has a solid background in traditional finance, and has professional financial product logic and technical security guarantees in terms of cryptocurrency products and services. In October 2021, MEXC Global won the title of “Best Cryptocurrency Exchange in Asia”. Currently, it supports the trading of more than 1,500 cryptocurrency, and is the trading platform with the fastest launch speed for new projects and the most tradable categories. Visit the website and blog for more information, and follow MEXC Global and M-Ventures & Labs.

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Litecoin

Price analysis 12/7: BTC, ETH, BNB, XRP, ADA, DOGE, MATIC, DOT, LTC, UNI

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Price analysis 12/7: BTC, ETH, BNB, XRP, ADA, DOGE, MATIC, DOT, LTC, UNI


The current weakness in BTC and major altcoins shows that investor sentiment remains negative and that bears are active at higher levels.



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Litecoin eyes $100 after ‘rare’ LTC price breakout

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Litecoin eyes $100 after 'rare' LTC price breakout


Litecoin (LTC) could rise another 20% amid a rare trend reversal breakout that has already resulted in LTC outperforming most crypto assets in recent days.

LTC’s not-so-bearish symmetrical triangle

LTC’s price broke out of what earlier appeared to be a bearish symmetrical triangle.

Symmetrical triangles are trend continuation patterns, meaning breaking out of their range typically prompts the price to move in the direction of their previous trend. 

Litecoin formed a symmetrical triangle pattern between May and November after dropping 70% to nearly $40 in the prior trading sessions. Ideally, the LTC/USD pair could have resolved the pattern by breaking below its lower trendline.

But instead, it broke above the upper trendline in early November, as shown below. According to Edwards and Magee, the authors of Technical Analysis of Stock Trend, the breakout move is rare, given only 25% of symmetrical triangle breakouts have historically resulted in trend reversals.

LTC/USD three-day price chart. Source: TradingView

Litecoin followed up with its symmetrical triangle reversal move decisively and now eyes a run-up toward $100, or another 20% by December 2022.

This upside target is measured after calculating the distance between the triangle’s upper and lower trendline and adding the output to the breakout point (around $58 in Litecoin’s case).

Why is Litecoin price up?

Litecoin’s symmetrical triangle breakout move started in late October. It coincided with MoneyGram’s announcement that it would enable users to purchase, store, and use LTC alongside Bitcoin (BTC) and Ether (ETH) for payments.

LTC/USD three-day price chart. Source: TradingView

The LTC breakout lost momentum due to the FTX collapse in the first week of November and its negative impact on the broader crypto market. But, Litecoin resumed its upward trend amid speculations about its reward halving in the summer of 2023.

Related: Litecoin hits fresh 2022 high versus Bitcoin — But will LTC price ‘halve’ before the halving?

“Litecoin tends to rally in the months leading up to the halving,” noted market analyst, The Digital Trend, in his SeekingAlpha op-ed, adding:

“Then, the price tends to stabilize before entering a lengthier and more substantial bull market. Then, around halfway through the cycle, Litecoin enters a bearish/distribution phase like Bitcoin.”

LTC/USD price performance before and after halving. Source: TradingView/The Digital Trend

Litecoin’s price could reach $180 by July 2023 if the halving fractal plays out as intended, as Cointelegraph covered here.

The bearish take

Conversely, Litecoin can see a short-term correction as its three-day relative strength index (RSI) is turning “overbought.” The trigger for the downside move could be the RSI crossing above 70 from its current reading of 68, as shown below.

LTC/USD three-day price chart. Source: TradingView

LTC’s price downside target comes to be at around $40 in the event of a correction trend, down about 50% from current price levels.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.