13.5 C
Los Angeles
Monday, March 27, 2023
HomeCryptoDid you miss the...

Did you miss the bottom? Fret not, here is a way to buy ETH at 1400. | by OrBit Markets | Coinmonks | Aug, 2022

In this article, we present “Accumulator”, a popular structured product and explains how investors can use it to boost returns.

ETH has staged a spectacular rebound of 70% from the low as the dust from the recent havoc settles and investors get increasingly bullish about the upcoming Merge. You may have missed the bottom but don’t be annoyed. You can still buy ETH at 1400. Here is how:

Accumulator is a popular structured product in equity and FX. It allows investors to buy assets at a discounted price. This is achieved by incorporating a knock-out feature. As long as the knock-out barrier is not triggered, investors can keep accumulating a target asset at a fixed strike lower than the initial spot, hence the name “accumulator”.

For example, with ETH spot at 1700, an accumulator buys 1 ETH every week for 16 weeks at 1400 so long as ETH stays below 2000. If ETH went above 2000, the knock-out barrier would be triggered, the accumulator would be early-terminated and the investor would have profited from ETH bought thus far and could opt for entering a new accumulator.

Illustration of how accumulator works

The benefit of an accumulator is obvious. You can buy ETH at a price that is significantly cheaper than the spot. However, be reminded that this doesn’t come without risk. If the ETH price falls below the strike, you still have to buy at the strike.

An accumulator is similar to a Dollar-Cost Averaging (DCA) strategy in that both involve investing an equal amount of money in an asset at regular intervals over a certain period of time, regardless of the price. Both can be a reliable strategy for long-term investors who are committed to purchasing periodically but don’t have the time or inclination to time the market.

In certain scenarios, an accumulator can outperform DCA.

Comparing Accumulator and DCA

Accumulators are fully customizable products. Don’t hesitate to contact us for variations in the target asset, maturity, frequency, strike and barrier. Email us at [email protected] or via twitter @OrBit_Markets.

About OrBit

OrBit Markets is an institutional liquidity provider of exotic options and structured products in digital assets. Founded by a strong team of leaders in trading and computer science, and backed by Matrixport and Brevan Howard Digital, OrBit brings its expert know-how in options to the crypto market. Headquartered in Singapore, OrBit serves institutions across CeFi, DeFi and TradFi looking for more sophisticated investing and hedging solutions in digital assets. For more information, visit www.orbitmarkets.io.

Important Disclaimer

This article is intended for educational purposes only and does not constitute the provision of investment advice and is not intended to do so. OrBit specifically disclaims all liability for any direct, indirect, consequential or other losses or damages that may arise from any reliance on this article.

Trading in cryptocurrencies, derivatives and structured products may involve a high degree of risk and may not be appropriate for all investors. Under some market conditions, it may be impossible to liquidate a position. Investors may suffer substantial losses and even lose the entire amount of your investment.

The product described in this article is intended for sophisticated investors capable of evaluating the merits and risks of the product, its suitability and appropriateness and its legal, taxation, accounting and financial implications and that in making this evaluation, investors are not relying on any recommendation or statement by OrBit. Investors should ensure that they independently assess these things and fully understand the product. They should also consider seeking advice from their own advisers in making this assessment.

Prices provided in this article are illustrative only and do not represent a firm bid or offer price.

Join Coinmonks Telegram Channel and Youtube Channel learn about crypto trading and investing

Source link

Most Popular


Please enter your comment!
Please enter your name here

More from Author

Ari Lennox Shares ‘Princess And The Frog’ Video Audition

Ari Lennox revealed her fans were heartbroken late last year age gender location tourism Will be her last. "I love my loyal fans so much and can't wait to give you my all every night!!" she wrote on social media. "Europe, I love you, but...

DefiLlama resolves internal conflict, quelling ‘hostile takeover’ accusations

Decentralized finance (DeFi) analytics platform DefiLlam has resolved an internal conflict that threatened to result in a “fork” of the platform. The issue was first raised by developer 0xngmi, who claimed on Twitter on March 19 that DefiLlama was "subject to a hostile takeover" for launching a token...

Sifflet raises cash to expand its data observability platform

Organizations working with large amounts of data often struggle to ensure that data remains high quality. According to a research from Great Expectations, which creates open source data testing tools, 77% of companies have data quality problems and 91% believe that this affects their performance. With this...

Matt Kuhnemann gets ‘awesome tips’ from Ravindra Jadeja

Ravindra Jadeja he is a man of his word. India allrounder promised Australia spinner Matt Kuhnemann masterclass after the Border-Gavaskar series - and he did just that.Soon Fourth exam in Ahmedabad ended in a draw on Monday, Jadeja took time to speak to the Australian visitor....

At Ukraine’s front, police try to evacuate holdout families

AVDIIVKA, Ukraine -- Pale and grimy from living in a damp, dark basement for nearly a year, the crying teenager and her mother emerged to the sound of pounding artillery and made their way to a waiting armored police van that took them into salvationRussian forces were...

Rabbit Hole Cast Had No Idea About The Show’s Twists Until The Very End [Exclusive]

Meta Golding also came as a bit of a surprise to co-star as Hayley Winton in the series alongside Kiefer Sutherland. she told me: "When I first got the script, I think I had two episodes. At that point, I didn't even understand if she was good or...

Will Amazon Or Apple TV + Offer The Pac-12 Deal They Can’t Say No To?

By Jim Williams If we're to believe what we're reading in the trade press, the new Pac-12 media deal with ESPN, Amazon Prime Video, and Apple TV+ remains on the table. What we've been reading in the tea leaves is that potential conversations are heavy on distribution...

Abdur Rehman to be Pakistan’s head coach for Afghanistan T20Is; Umar Gul named bowling coach

Pakistan mentioned Abdur Rehman as a long-time principal and Umar Gul as the bowling coach for the three T20I matches against Afghanistan. Mohammad Yousuf and Abdul Majeed will continue as batting coach and player, respectively.Rehman is an experienced homework trainer with more than ten years of experience...

Ari Lennox Celebrates Sobriety With Splits In A Sexy Dress

go through Kay Lewis Posted on March 21, 2023 1:00 amAli Lennox released a series of Behind-the-scenes A picture was taken before she hit the stage, and they were kind of spooky. Ari Lennox Bling The singer wore what appeared to be gold coins, held together...

Arbitrum token finds its way to OTC market before the airdrop

The Arbitrum community has been speculating and selling its unissued ARB tokens in the over-the-counter (OTC) markets following Arbitrum's announcement. Arbitrum Foundation announced that ARB, Arbritrum's new token, will be released to eligible community members on Thursday, March 23rd. It was explained that ARB Marks Arbitrum's...