AscendEX Perpetual Contract Data

AscendEX perpetual contracts provide a comprehensive trading solution for crypto enthusiasts with key features like endless contracts, leverage, continuous settlement, and funding rates.

Nov 26, 2024 at 10:20 am

AscendEX Perpetual Contract Data: A Comprehensive Overview

AscendEX, a leading global cryptocurrency exchange, provides users with access to a range of advanced trading tools and instruments, including perpetual contracts. These contracts offer traders the ability to speculate on the price movements of cryptocurrencies without having to hold the underlying assets.

This in-depth article delves into the world of AscendEX perpetual contracts, exploring their key features, benefits, and usage. Whether you're a seasoned trader or new to the realm of cryptocurrency trading, this guide will equip you with the knowledge and insights you need to navigate this exciting market effectively.

Understanding Perpetual Contracts

1. Definition:
   A perpetual contract is a derivative instrument that allows traders to speculate on the price movements of an underlying asset (in this case, cryptocurrencies) without owning or selling the asset itself. Perpetual contracts are a type of futures contract similar to traditional futures but offer some key differences and advantages.
2. Key Features:
3. No expiry: Unlike regular futures contracts, which have a defined expiry date, perpetual contracts are designed to exist indefinitely. Traders can hold positions indefinitely or close them at any time without the hassle of worrying about contract expiration.
4. Leverage: AscendEX perpetual contracts offer leverage options, allowing traders to amplify their positions and potentially increase their profits. However, leverage is a double-edged sword and should be used cautiously, as it can also magnify potential losses.
5. Continuous Settlement: Perpetual contracts are settled on a continuous basis, meaning that traders can realize their profits or losses in real-time as the market moves. This eliminates the risk of settlement delays or price discrepancies common with traditional futures.
6. Funding Rates: To maintain market equilibrium, AscendEX perpetual contracts incorporate a funding rate mechanism. Funding rates are periodic (typically every eight hours) adjustments applied to positions to incentivize market participants to keep the contract price aligned with the underlying spot price.

Benefits of Trading AscendEX Perpetual Contracts

1. 24/7 Trading: AscendEX perpetual contracts are available for trading 24 hours a day, seven days a week. This unrestricted access to the market enables traders to capture opportunities or manage their positions at any time, regardless of geographical location or market hours.
2. Diversification and Hedging: Perpetual contracts provide traders with a flexible tool to diversify their portfolios and manage risk. By entering into long or short positions, traders can speculate on price movements or hedge against potential losses in the underlying cryptocurrency market.
3. Leverage and Potential Profit Enhancement: As mentioned earlier, perpetual contracts offer leverage options, allowing traders to multiply their potential gains while minimizing capital requirements. However, leverage increases both profit and loss potential, requiring traders to exercise caution.

How to Use AscendEX Perpetual Contracts

1. Create an Account:
   To trade AscendEX perpetual contracts, you'll need to create an account on the AscendEX platform. The registration process typically involves providing personal information, completing an identity verification process, and linking a supported payment method.
2. Fund Your Account:
   Before you can start trading, you must deposit funds into your AscendEX account. AscendEX supports a range of deposit methods, including wire transfer, credit/debit card, and cryptocurrency deposits.
3. Choosing a Trading Pair:
   AscendEX offers a wide range of perpetual contract trading pairs, each representing the underlying cryptocurrency asset and the quoted currency (USDT or