BitMEX has announced upcoming changes to the minimum price increases for Bitcoin (XBTUSD) and Ethereum (ETHUSD) perpetual swaps. According to the BitMEX blog, these adjustments will take effect on July 31, 2024 at 04:00 UTC.
Adjustment details
The minimum price increment, often referred to as the tick size, is the smallest increment that the contract price can move. The changes are as follows:
Permanent Swap | Current minimum price increase (USDT) | Minimum price increase (USDT) from July 31, 2024 |
---|---|---|
XBTUSD | 0.5 | 0.1 |
Ethereum Inc. | 0.05 | 0.01 |
Meaning for traders
A smaller minimum price increment could theoretically reduce the bid-ask spread, which is beneficial to price takers when trading across spreads. This adjustment aims to increase trading efficiency and provide more accurate price action for these high-volume perpetual swaps.
Industry context
This change comes amidst growing competition in the cryptocurrency derivatives market, with exchanges constantly looking to improve their products to attract traders. BitMEX’s move to reduce the minimum price increase for XBTUSD and ETHUSD is seen as a strategic effort to offer better trading conditions and more competitive spreads.
For further inquiries or assistance, traders can contact BitMEX via the Support page.
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