Kraken Pro, Crypto Exchange Kraken’s advanced trading platform has announcement That XRP is now available for margin trading against Ethereum (ETH).
The list of XRP pairs available for margin trading also includes XRP/EUR, XRP/BTC, XRP/CAD, and more.
How margin trading works
Margin trading allows traders to open up larger positions by relying on borrowed funds.
The new pair will allow you to increase the price against the flagship Altcoin with bets on XRP.
Traders can borrow money to go on to XRP for a longer period of time. Conversely, if you believe that ETH can outweigh ripple-linked tokens, you can also shorten the pair.
With Kaken, users can trade with most of the available pairs and up to five times the leverage. However, for XRP/ETH, leverage is limited to three times. Leverage restrictions tend to vary depending on factors such as liquidity and market volatility.
For example, if a user has 5 ETH deposits as collateral, they can potentially open up to 15 ETH positions.
Kraken originally began trading margins in 2015 along with the BTC/EUR pair.
Will ETH surpass XRP this year?
The ETH/XRP pair has plummeted more than 14% since the peak of 0.00096 ETH recorded on July 22.
Over the past week, ETH has risen by 1.9% and XRP has fallen by 10.6%.
XRP has steadily gained evidence against ETH since November. In April, the current peak of the year reached 0.0114 ETH. At the time, ETH was in the middle of a rather serious sale.
However, flagship Altcoin managed to bounce back, helping Joseph Lubin’s Sharplink promote the corporate adoption narrative.
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