Ripple Futures Guide: Trade XRP Perpetual Futures on BTCC Exchange

2023/01/09By: L, Laura

Here we’ll explain what Ripple futures are, and how to use leverage in futures to amplify your returns, as well as giving a detailed guide on how to trade XRP perpetual futures on BTCC exchange.

 


Interested in trading XRP futures on BTCC exchange?

XRP Futures Contracts Listed On BTCC Exchange


 

Ripple futures enable you to take long (you profit when market goes up) and short positions (you profit when market goes down) on XRP. Futures have in-built leverage which acts as a multiplier to your returns. Currently, the following Ripple futures contract is listed on BTCC Exchange.

 

Ripple Futures Contract Details

Description Ripple Perpetual
Contract Name XRPUSDT
Max. Leverage 20x
Margin Currency USDT
Contract Type Perpetual Futures

 

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What is XRP Futures Trading?

Ripple Futures is an agreement between two parties to buy or sell XRP at a predetermined future date and price. The futures contract derives its value from the underlying cryptocurrency, Ripple in this case. Thus the price of a XRP futures contract moves broadly in sync with the price of XRP.

 

Trading futures is thus an alternative to actually buying or selling the underlying crypto (aka spot trading). In spot trading, you can make profit by buying XRP low and selling it at a high price. This trade however works only in a bull market, i.e. when Ripple price is going up. However, in a bear market, there is no trade possible in spot trading. Furthermore, leverage trading is not possible in spot trading.

 

Trading Ripple through futures offers several advantages over spot trading of Ripple, namely ability to both long or short and get access to leverage.

 

Benefits of Ripple Futures Trading


Trade Profitably in All Market Conditions

You can profit from rising XRP price by going long Ripple futures. And, when XRP price is falling, you can make profits by going short. This feature of crypto futures trading enable you to navigate all types of market conditions profitably. Compare this with directly buying XRP. When price is falling, you can either sell your XRP or suffer losses. In spot trading, there is no way of profiting from falling prices.

 

 

Risk Hedging

If you are a HODLer, you can still use futures to mitigate price risk. Say, you hold XRP. You can mitigate the risks you face when Ripple is falling by going short Ripple futures. In this case, a short futures position acts as a downside protection by effectively locking the $ value of your portfolio without the need for selling your Ripple. Judicious use of futures as hedge can make you a better and stronger HODLer.

 

Use Leverage to Amplify Returns  

Leverage enables you to open positions that are bigger than your trading capital. If you can open a position that is 10 times bigger than your trading capital, then you have 10x leverage available to you. The maximum allowed leverage for Ripple futures listed on BTCC Exchange is as high as 20x. There are two ways of thinking about leverage:

 

  • Leverage as capital efficiency driver : For opening a position of a given size, higher the leverage lower the trading capital required. The leverage in spot trading is always 1x, while it is 3-4x in margin trading. This means futures is 20 to 100 times more capital efficient than spot or margin trading.

 

  • Leverage as a returns amplifier: Because in a leverage trade position size is greater than the capital deployed, impact of prices moves gets magnified. The return on capital deployed is leverage times the price return. This means that you can amplify your trading gains the effective use of leverage.

 

If XRP increased from $0.3512 to $0.3556 your return would be equal to:

 

Advantages of XRP futures trading can be summarized as follows:


 Magnify returns through leverage

In-built leverage magnifies impact of XRP price moves on your return on capital.

 

Trading both rising & falling markets

Long when bullish. Short when bearish. Trade all market conditions profitably.

 

Trade more with less

Deploy the capital freed up by using leverage in other trading opportunities.

 

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How to Trade XRP Futures Perpetual Contract on BTCC?


Quick overview

  • STEP 1: Open the webpage of BTCC futures trading
  • STEP 2: Choose XRP futures perpetual contract to buy
  • STEP 3: Choose the order types of XRP
  • STEP 4: Choose the level of leverage
  • STEP 5: Choose the lot size
  • STEP 6. Set take profit and stop loss targets
  • STEP 7. Choose the price direction: Buy when bullish, Sell when bearish

 


STEP 1: Open the BTCC futures trading interface 

 

Log in to the official website of BTCC.com and click USDT-Margined Futures on the Futures menu. Or directly enter the web version link: https://www.btcc.com/en-US/trade/perpetual/XRPUSDT, 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 XRP perpetual futures contract

Select XRP perpetual contract at the top of the page.

 

STEP 3: Choose the XRP order type 

Select the order types for XRP at the top right of the page. The order types at BTCC included market orders, limit orders and stop loss orders.

 

  • 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 level of leverage

You can adjust the level of leverage based on your need. The leverage of LTC’s perpetual contract included 1x to 20x leverage.

 

STEP 5: Choose the lot size 

The XRP trading unit at BTCC allow user to choose the number of lots based on their investment situation, and the range can be selected from 100 to 50000 lots.

 

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 can be 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 to finish the XRP order.

 

Finally, after the futures 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 futures trading report at the top right of the page.

 

 

At this point, you have completed the Ripple futures trading. If you have further inquiries, please contact the online customer service.

 

Why Trade Ripple Futures on BTCC Exchange?


Increase profitability

Low trading fees, tight spreads & deep order books of our XRP perpetual contracts increase profitability of your trades.

 

Improve risk management

Set TP / SL with your order, Leverage advanced order types and instruments (Options, Interest Rate Swaps) to create hedging strategies.

 

Identify better trades

Use professional charts & advanced analysis tools to quickly identify trading opportunities.

 


BTCC has over 10 years of stable and secure operating history with a low investment threshold of 3 USDT, making it a solid option for anyone looking to continue or start their crypto journey. BTCC also launched tokenized futures this year, allowing users to trade stocks and commodities futures with USDT as the margin.

 

The process of trading futures with BTCC begins with registration and log in. New customers can now sign up here to get a welcome bonus of 10USDT, and complete the Know Your Customer verification process to access all BTCC’s features and BTCC discount. Once verified, you can explore the deposit bonus and start your crypto trading now.

 


 

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