What is Futures Portfolio?
Futures Portfolio is an automated strategy that dynamically adjusts the user’s pre-selected combination of cryptocurrencies. The strategy uses a rebalancing mechanism, where users can set triggers based on thresholds or fixed periods. It locks in profits from fast-growing assets and buys slower-growing ones, rebalancing the portfolio and generating additional returns.
Suitable Scenarios to Use Futures Portfolio
Markets often experience rotations between one asset class and another, even in cryptocurrencies. When one group rises and starts to pull back, another group may start rising. Holding positions without adjustments could lead to missing profits due to price pullbacks. By taking profits from one asset and buying into others, users can lock in gains and increase positions in potential assets, securing excess returns through rotation.
Features and Advantages
- Diversified Risk: The strategy spreads assets across different cryptocurrencies, reducing the risk of profit loss due to price corrections in a single asset.
- Take Profits at High Prices, Buy at Low Prices: The strategy allows the robot to sell at high points and buy at low points, generating rotation profits.
Compared to just holding positions, the strategy automatically adjusts based on market fluctuations, making it more dynamic and potentially more profitable.
Disclaimer
Futures Portfolio is a trading tool and not financial or investment advice. Its performance may be affected by market trends or parameter settings, and users can adjust strategies based on market conditions.