How does the strike price formula affect the value of Ethereum futures?

1 answers

• Dec 26, 2021 · 3 years ago
  As an expert in the field, I can tell you that the strike price formula has a significant impact on the value of Ethereum futures. It determines the price at which the contract can be exercised, and therefore affects the potential profitability for both buyers and sellers. The strike price is usually set based on market conditions and expectations, and it can vary from contract to contract. Traders analyze the strike price in relation to the current market price of Ethereum to determine whether the contract is overvalued or undervalued. This analysis helps them make informed decisions on whether to enter into or exit positions in Ethereum futures. The strike price formula is an important factor to consider when trading these futures contracts.
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