How can I calculate the ideal amount to undercut the orderbook on BitMEX for maximizing rebates?

3 answers

• Schmidt AkhtarFeb 09, 2024 · 2 years ago
  To calculate the ideal amount to undercut the orderbook on BitMEX for maximizing rebates, you need to consider the current market conditions, liquidity, and your trading strategy. One approach is to analyze the depth of the orderbook and identify the price levels where significant buy or sell orders are placed. By placing your order slightly below the highest buy order or above the lowest sell order, you can increase the chances of your order being filled and potentially receive rebates. However, it's important to note that undercutting the orderbook too aggressively may result in your order not being filled or even causing slippage. It's recommended to use trading bots or algorithms that can help you automate this process and adjust your undercutting strategy based on real-time market data.
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• laminaaten pvcassenMay 22, 2025 · 3 months ago
  Calculating the ideal amount to undercut the orderbook on BitMEX for maximizing rebates requires a combination of market analysis and risk management. You can start by analyzing the orderbook depth and identifying the price levels with significant liquidity. By placing your order slightly below the highest buy order or above the lowest sell order, you can increase the likelihood of your order being filled and potentially receive rebates. However, it's important to consider the potential risks, such as market volatility and slippage. It's recommended to start with smaller undercuts and gradually adjust your strategy based on your trading experience and market conditions. Additionally, using limit orders instead of market orders can provide more control over the execution price and reduce the risk of unfavorable fills.
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• Akmal MaksumovJul 22, 2020 · 5 years ago
  Calculating the ideal amount to undercut the orderbook on BitMEX for maximizing rebates can be a complex task. However, there are several strategies you can consider. One approach is to analyze the historical orderbook data and identify the average spread between the highest buy order and the lowest sell order. By placing your order slightly below the average spread, you can increase the chances of your order being filled and potentially receive rebates. Another strategy is to monitor the market depth in real-time and adjust your undercutting amount based on the current liquidity and trading activity. It's important to note that market conditions can change rapidly, so it's recommended to use advanced trading tools and algorithms that can help you automate this process and make data-driven decisions. Remember to always consider the potential risks and consult with experienced traders or financial advisors before implementing any trading strategy.
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