Can you explain how tick value is calculated for different digital assets?

3 answers

• Aya TollahJan 12, 2022 · 4 years ago
  Tick value is calculated by multiplying the tick size (minimum price movement) by the contract size (number of units in a contract). For example, if the tick size is $0.01 and the contract size is 100 units, the tick value would be $1. This calculation remains the same for most digital assets, including cryptocurrencies like Bitcoin and Ethereum. However, it's important to note that tick value can vary for different trading pairs and exchanges.
  448

  224
• imbecile23Oct 16, 2024 · a year ago
  When it comes to calculating tick value for digital assets, it's all about understanding the specific parameters set by each exchange. Different exchanges may have different tick sizes and contract sizes, which directly impact the tick value. It's crucial to check the trading rules and specifications provided by the exchange to determine the exact calculation for tick value. Additionally, keep in mind that tick value can change over time due to market conditions and adjustments made by the exchange.
  504

  168
• Thomas GeorgeAug 13, 2021 · 5 years ago
  Tick value calculation for different digital assets can vary depending on the exchange you're trading on. For example, on BYDFi, tick value is calculated by multiplying the tick size by the contract size. However, it's important to note that tick value can differ across exchanges, so it's always recommended to refer to the specific trading rules and guidelines provided by the exchange you're using. Understanding tick value is crucial for risk management and determining the potential profit or loss of a trade.
  514

  129