With BitMax.io volatility product, users make prediction on the price movement in either direction for the underlying trading pair (up or down) over the defined time frame. Users who correctly predict the range of price movement will receive the payout equivalent to notional value of the card.
Products are currently available for BTC, ETH, and EOS Markets with prediction window of 10 minutes, one hour, or one day. Each card presents the prediction of range of price change for the upcoming target window.
Note: One day prediction window starts at 8:00 p.m. EDT and ends at 8:00 p.m. EDT the next day (UTC 00:00 - 24:00).
What is Turtle Card and Bunny Card?
BitMax.io Volatility product is offered in the form of Turtle Card and Bunny Card.
Turtle Card: The card represents the prediction of price percentage change within a certain range over the defined time frame. For example, if the user expects the 24-hour price percentage change for BTC/USDT < ±1%, then the actual price change < 1%. The user should purchase Turtle Card.
Bunny Card: The card represents the prediction of price percentage change for a certain window lies above a certain range. For example, if the user expects the 24-hour price percentage change for BTC/USDT ≥ ±2%, then the actual price change ≥ 2%. The user should purchase Bunny Card.
Calculation Rules for Price Change (24-Hour Window)
P1: last reference price before UTC 00:00
P2: last reference price before UTC 24:00
24hr Price Change % = (P2 -P1) / P1 *100%
Actual Price Change = Absolute Value of 24hr Price Change
In order to mitigate price deviation due to market volatility, BitMax.io uses composite reference price for the calculation of price change. The reference price is computed by taking an average last trade price from the following five exchanges (upon availability at the time of computation)- BitMax.io, Binance, Huobi, OKEx and Poloniex, and removing the highest and lowest price.
Note: The calculation of actual price change is based on the last reference price before the start of the prediction window and the last reference price before the end of the prediction window. Fluctuations within the prediction window will not be factored in the end result.
The last reference price before 8:00 June 2nd for BTC: 8,000 USDT
The last reference price before 8:00 June 3rd for BTC: 8,200 USDT
The final 24hr price change for BTC = (8,200-8,000)/8,000*100%=2.5%, which means the actual price change is 2.5%.
The last reference price before 8:00 June 4th for BTC: 8,000 USDT
The last reference price before 8:00 June 5th for BTC: 7,500 USDT
The final 24hr price change for BTC = (8,000-7,500)/8,000*100%= - 6.25%, which means the actual price change is 6.25%.
Example of Return