What is the ideal amount to undercut the orderbook on BitMEX for maximum profit?

3 answers

• Bipanshu KumarApr 08, 2023 · 3 years ago
  The ideal amount to undercut the orderbook on BitMEX for maximum profit depends on various factors such as market conditions, liquidity, and your risk tolerance. It's important to strike a balance between getting filled quickly and maximizing potential gains. A common approach is to undercut the orderbook by a small percentage, such as 0.5% or 1%, to increase the chances of getting filled while still capturing a significant portion of the spread. However, it's crucial to constantly monitor the market and adjust your undercutting strategy accordingly to adapt to changing conditions.
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• NanditaAug 14, 2020 · 6 years ago
  When it comes to undercutting the orderbook on BitMEX for maximum profit, there is no one-size-fits-all answer. It really depends on your trading goals and risk appetite. Some traders prefer to undercut the orderbook by a larger amount, such as 5% or 10%, to increase the likelihood of getting filled quickly. However, this approach may result in a narrower profit margin. On the other hand, undercutting the orderbook by a smaller amount, such as 0.1% or 0.5%, may allow for a wider profit margin but could take longer to get filled. It's important to experiment with different undercutting strategies and find the one that works best for your trading style.
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• Alexis SakarikosApr 23, 2025 · a year ago
  At BYDFi, we recommend undercutting the orderbook on BitMEX by a conservative amount to maximize profit. It's generally advisable to undercut the current bid or ask price by around 0.5% to 1%. This allows for a higher chance of getting filled while still capturing a significant portion of the spread. However, it's important to note that market conditions can vary, and it's crucial to stay updated with the latest market trends and adjust your undercutting strategy accordingly. Remember, trading involves risks, and it's always recommended to do thorough research and consult with a professional before making any trading decisions.
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