Understanding the knockout price in CoinEx Dual Investment is like having a precise ruler; it directly measures whether your return can go from “possible” to “certain.” This price isn’t randomly set, but rather a key threshold calculated using a professional option pricing model (such as the Black-Scholes model) based on the current spot price, implied market volatility, risk-free interest rate, and product term. It clearly defines the product’s return scenario: at maturity, as long as the price of the underlying asset hasn’t reached or broken this “warning line,” you can receive the agreed-upon high annualized return; conversely, the product will terminate early, and you’ll only receive lower current account interest.
Specifically, the knockout price is divided into “bullish knockout price” and “bearish knockout price,” and their direction depends on the type of product you choose. Suppose you invest in a 7-day “bullish” dual-currency investment product pegged to BTC using USDT. The current BTC spot price is $60,000, and the product’s stated knockout price might be set at $63,000 (i.e., 5% higher than the current price). This means that if the price of BTC reaches or exceeds $63,000 at any time during the next 7 days, the product will be immediately “knocked out” and terminated. At this point, you will receive your principal in USDT and a small return calculated at a current account rate (e.g., 1% annualized). Conversely, if the price of BTC remains below $63,000 after 7 days, you will successfully obtain the promised high annualized return (e.g., 28%). A vivid example is the week following the 2024 Bitcoin halving, when the market surged, triggering the knockout of over 40% of bullish products with a knockout price set within 5% of the current price. Many investors received only minimal compensatory returns.
The deviation of the knockout price from the current price directly reflects expected market volatility and the product’s potential return. Generally, the closer the knockout price is to the current price, the higher the risk of early termination, but the more attractive the promised annualized return. For example, a product with an outgoing price set at 3% of the current price might have an annualized return as high as 40%; while a product with an outgoing price set at 10% might only have an annualized return of 12%. This requires a clear understanding of your market judgment: if you firmly believe the market will be extremely calm in the coming week, then choosing a product with an outgoing price closer to the current price (e.g., ±3%) can maximize returns; if you expect increased volatility, choosing a product with an outgoing price further away (e.g., ±8%) can increase the probability of obtaining high returns. Historical data backtesting shows that during consolidation periods when BTC’s 30-day historical volatility is below 60%, choosing products with outgoing prices deviating from the current price by 5%-8% has a greater than 65% probability of successfully obtaining the agreed-upon high returns.
On the CoinEx Dual Investment purchase interface, the outgoing price and its corresponding annualized return are clearly displayed side-by-side. An efficient strategy is to observe multiple products with different outgoing prices simultaneously, constructing a “probability and return” matrix that matches your risk appetite. For example, when the BTC price is $60,000, the platform might simultaneously offer bullish products with knockout prices of $61,800 (+3%), $63,000 (+5%), and $64,200 (+7%), with annualized returns of 35%, 28%, and 20%, respectively. You can allocate your funds based on your capital and judgment: invest 60% in the medium-risk, high-return +5% product and 40% in the higher-safety-margin +7% product. During a moderate upward trend in March 2025, users employing this tiered investment strategy achieved an annualized return of approximately 25% for their overall portfolio, significantly higher than users who invested all their funds in a single high-risk product.
Therefore, reading the knockout price is essentially a quantitative decision about risk and reward. It’s not an isolated number, but a contract between you and market volatility. Before clicking “confirm,” you must ask yourself: Do I believe there is a sufficient probability that the underlying asset price will remain within the “safe zone” formed by the current price and the knockout price during the investment period? By analyzing historical volatility data and combining it with market news events (such as Federal Reserve interest rate meetings and major project upgrades), you can significantly improve the accuracy of your judgments. Ultimately, mastering the interpretation of CoinEx Dual Investment’s knock-out prices will transform you from an investor who passively accepts product results into a strategist who actively manages volatility risk and meticulously calibrates expected returns.
