What is the optimal amount to undercut the orderbook on BitMEX in order to receive a rebate?

6 answers

• Harrington MikkelsenOct 06, 2022 · 4 years ago
  Undercutting the orderbook on BitMEX refers to placing a limit order to buy or sell at a price that is lower or higher than the current best bid or ask price respectively. By doing so, you can potentially get your order filled faster and receive a rebate. The optimal amount to undercut the orderbook depends on various factors such as market conditions, liquidity, and your trading strategy. It's recommended to start with a small undercut amount and gradually increase it to find the sweet spot where you can maximize your chances of getting a rebate without sacrificing execution speed.
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• KingDomainJan 10, 2025 · a year ago
  When it comes to undercutting the orderbook on BitMEX, there's no one-size-fits-all answer. It really depends on your trading goals and risk tolerance. If you're looking to get a rebate and willing to wait longer for your order to be filled, you can try undercutting the orderbook by a larger amount. However, keep in mind that larger undercuts may also increase the risk of your order not getting filled at all if the market moves against you. It's important to find the right balance and adjust your undercut amount based on market conditions.
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• Revanth RevanthAug 11, 2024 · 2 years ago
  As an expert in the field, I can tell you that the optimal amount to undercut the orderbook on BitMEX is not a fixed number. It varies depending on the specific market conditions and the trading strategy you're using. However, it's generally recommended to start with a conservative undercut amount, such as 1-2 ticks below the current best bid or ask price, and adjust it based on the liquidity and volatility of the market. Remember, the goal is to receive a rebate while ensuring your order gets filled in a timely manner.
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• McGarry ShieldsJun 21, 2022 · 4 years ago
  Undercutting the orderbook on BitMEX can be a profitable strategy if done correctly. While I can't provide specific financial advice, I can share some general tips. Firstly, it's important to closely monitor the market and understand the current liquidity and depth of the orderbook. Secondly, consider the trading fees and rebates offered by BitMEX, as they can vary based on the undercut amount. Lastly, backtest your strategy and analyze historical data to identify patterns and optimize your undercutting approach. Remember, trading involves risks, so always do your own research and make informed decisions.
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• Crispin HernandezDec 08, 2021 · 4 years ago
  Undercutting the orderbook on BitMEX is a popular strategy among traders looking to receive a rebate. While I can't provide personalized advice, I can give you some general insights. BitMEX offers a tiered fee structure, where the rebate increases as you undercut the orderbook by a larger amount. However, keep in mind that larger undercuts may also result in longer waiting times for your order to be filled. It's important to find the right balance between the rebate amount and the execution speed that suits your trading style. Experiment with different undercut amounts and monitor the results to optimize your strategy.
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• Mickael RandriaMar 21, 2021 · 5 years ago
  Undercutting the orderbook on BitMEX is an advanced trading strategy that can potentially provide a rebate. However, it's important to note that the optimal amount to undercut depends on various factors, including market conditions and the specific cryptocurrency you're trading. It's recommended to start with a small undercut amount and gradually increase it while monitoring the market. Additionally, consider using trading tools and indicators to analyze the orderbook depth and liquidity. Remember, trading involves risks, so always trade responsibly and be aware of the potential drawbacks of undercutting the orderbook.
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