PredictHub Docs
  • Abstract
  • Introduction
    • What is Prediction Market?
    • Info Finance - Tokenizing Real-World Events
    • Why Decentralize Prediction Markets?
    • Market Potential
    • PredictHub: Explained Like I'm 5
    • What Sets PredictHub Apart from the Rest of the Market?
  • Mechanics
    • Central Limit Order Book
    • How does it work?
    • Fees Structure
  • Incentive System
    • Orbit Point
      • Passive Orbit
      • Become a Maker
    • Nova Point
      • For Taker
      • Leaderboard Bonus
    • Multiplier
    • Rewards Protection
  • Referral Program
  • Partnered Market
  • Tokenomic
    • Token Utility
  • Roadmap
  • In The Pipeline
    • URF Market
    • Rolling Position
      • Rolling Forward
      • Rolling Up or Down
      • Rolling Across Markets
    • OTC Market
    • Margin Trading
  • How to use PredictHub
    • Create Your Account
    • Fund Your Wallet
    • How to make your first trade?
    • Using Order Book
    • How to Withdraw?
  • FAQ
    • Where markets come from?
    • Who are you trading with?
    • Are there any country restrictions for users on PredictHub?
    • When do markets close and settle on PredictHub?
    • How Are Market Outcomes Determined on PredictHub?
    • Why Isn’t My Market Suggestion on PredictHub?
    • Why Do I Need Crypto on PredictHub?
  • Restricted Regions and User Eligibility
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  • Example:
  • Benefits:
  1. In The Pipeline
  2. Rolling Position

Rolling Up or Down

Adjusting Stake Amounts

Rolling Up or Down strategy lets users adjust their stakes based on market performance. Users can increase their stakes when the market trends favorably to boost profits (Rolling Up) or decrease stakes when the market moves against them to minimize losses (Rolling Down).

Example:

You’re participating in a prediction market where Bitcoin is expected to reach $100,000 in 2024. You start by purchasing shares at a strike price of $65,000. As Bitcoin’s price surges and nears $75,000, you can employ the Rolling Up to amplify your stake. The system will automatically sell your shares at the $65,000 strike price, locking in your principal and profits, and then reinvest those funds into shares with a $75,000 strike price. If Bitcoin ultimately hits $100,000, you’ll reap even greater profits than with your original position.

Conversely, if Bitcoin’s price starts to decline and seems unlikely to hit $100,000, you can use the Rolling Down strategy to reduce your stake, protecting your capital and minimizing potential losses.

Benefits:

  • Maximized Profits: Capitalize on favorable market trends by increasing your stake.

  • Minimized Risks: Reduce exposure to potential losses when the market trends unfavorably.

  • Flexible Position Management: Adapt your strategy to real-time market performance, optimizing your investment.

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Last updated 9 months ago

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