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Title: Have you ever traded (crypto) volatility index? Post by: Stedsm on October 27, 2021, 05:11:31 PM For those who don't know about this term, below is an explanation:
Crypto Volatility Index (CVI) is the first-of-its-kind decentralized Crypto Volatility Index for the crypto market. The CVI allows users to hedge themselves against market volatility and impermanent loss. CVI is a full-scale decentralized ecosystem that brings the sophisticated and very popular “market fear index” into the crypto market. It is created by computing a decentralized volatility index from cryptocurrency option prices, together with analyzing the market’s expectation of future volatility. More at: https://defipulse.com/crypto-volatility-index Anyways, I'd like to know about anybody's experience who ever traded crypto volatility index or even forex markets based volatility index? I've learnt that making money on a constant basis is easier by trading this than going for risky altcoins' futures trades. While holding bigger risks, this index trading also gives us highest rewards if done properly. Title: Re: Have you ever traded (crypto) volatility index? Post by: SquirrelJulietGarden on October 28, 2021, 04:27:22 PM The index is represent for lots of asset so it can be less volatile than a single asset. Trading is related to volatility, the bigger volatility the better so I think trading Crypto Volatility index is not the best.
If you are a pro trader, you won't like it because you can have better options to trade with each of many coins. If you are not a pro trader, let be an investor and holder. Trading with single coin or index make you lost. Title: Re: Have you ever traded (crypto) volatility index? Post by: mk4 on October 28, 2021, 05:30:06 PM No idea on CVI, but the CBOE Volatility Index(VIX) is an index that's commonly traded in the traditonal finance world. And no, betting on volatility is not easier as it requires a different level of understanding concerning markets. But if you're able to trade it properly, then good for you!
While holding bigger risks, this index trading also gives us highest rewards if done properly. You can say the same with leverage trading and buying spot on small caps though; but yet they're still not recommended for most people.Title: Re: Have you ever traded (crypto) volatility index? Post by: Bitcoin_Arena on October 30, 2021, 08:20:37 AM Never traded it, and I don't think i will. Everything decentralized, which involves on Ethereum network, seems to be a big failed experiment right now when fees are so high. This is the same reason I have never used exchanges like Uniswap.
I wonder how much fees traders would have to use to execute the orders right now? I've learnt that making money on a constant basis is easier by trading this than going for risky altcoins' futures trades. While holding bigger risks, this index trading also gives us highest rewards if done properly. If it was easier, it would be popular. I just checked out the platform and I see an option of leverage. Isn't this the same as trading futures? So same risk.Title: Re: Have you ever traded (crypto) volatility index? Post by: Ararbermas on October 31, 2021, 03:12:31 PM I never heard such stuff, but perhaps a very useful method to let every traders knows that market is so volatile to trade especially those wants to gain quick profits in the market, it's a big advantage in my opinion . But i'll wait someone make experiment on that thing because to be honest I'm still very confused how it will really works even though i already read those inputs above. Lol I'll keep visiting this thread to obtain more information information in the future.. Thanks mate!.
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