How to Go Short on X-Perps

Going short means opening a position that profits when the price of an asset falls. On OKX, you can short any of the supported X-Perps markets, including BTC, ETH, SOL, ADA, DOGE, LTC, PEPE, PUMP, XRP, and SUI, using a sell position in the order panel. You profit if the price drops from your entry to your exit, and your loss is limited to the margin you put in (unless the position is liquidated). Short selling is one of the core advantages of derivatives over spot trading. In spot trading, you can only profit from rising prices. Derivatives let you express a view in either direction, meaning you can act on a negative market outlook, protect an existing portfolio from downside, or simply trade the full range of market conditions rather than just bull markets.

Before you start, make sure you have completed the suitability assessment and have funds in your trading account. If you haven’t done this yet, see the X-Perps overview for step-by-step instructions.

There are two main reasons a trader opens a short position on X-Perps.

If you believe BTC, ETH, or another supported asset is overpriced and due for a correction, a short X-Perps position lets you act on that view and profit from the decline. You don’t need to own the asset first. You simply open a sell position, and if the price drops from your entry to your exit, you realise a profit proportional to the move and the leverage used. With up to 10x leverage, a 5% drop in the underlying asset generates a 50% return on your margin at 10x, though the same amplification applies to losses if the market moves against you.

If you hold crypto in your portfolio and want to protect against a short-term drop without selling, a short X-Perps position offsets that downside. A fall in the asset price generates a gain on your short position that partially or fully covers the loss in your spot holdings. See the X-Perps overview for more on how multi-asset margin makes this possible without converting to cash.

1. Navigate to the X-Perps trading interface at okx.com/en-eu/x-perps

2. Select the market you want to trade; for example, BTC

3. In the order panel, set your leverage using the leverage selector

4. Select your order type, limit or market

5. Enter your position size or margin amount

6. Set a take-profit and stop-loss: TP/SL can be set in the order panel before confirming

7. Click Sell / Short to open the position

8. Confirm the order details and submit

1. Open the OKX app and tap Trade 2. Select X-Perps and choose your market (e.g. BTC) 3. In the order panel, set your leverage using the leverage selector 4. Select your order type, Limit or Market 5. Enter your position size or margin amount 6. Set a take-profit and stop-loss: TP/SL can be set in the order panel before confirming 7. Tap Sell / Short to open the position 8. Review your order details and confirm

Short positions carry the same leverage and liquidation risks as long positions, with one important structural difference that every short seller needs to understand before opening a position.

• When you go long, the worst case is that the price falls to zero, your maximum loss is the margin you put in.

• When you go short, there is no ceiling on how high a price can go.

If you short BTC at $80, 000 and the price rises to $120, 000, you are underwater by 50%. In practice, your position will be liquidated before losses exceed your margin, but a sharp upward move can wipe out your position very quickly, particularly at higher leverage.

X-Perps pay or receive funding every 8 hours. As a short seller, the direction of the funding rate determines whether you receive or pay. If the rate turns against you and you hold the position over multiple intervals, the cumulative cost reduces your net result even if the price moves in your direction.

• If the funding rate is positive, meaning long pay shorts, you receive funding

• If the funding rate turns negative, you pay

Always check the current funding rate before holding a short position overnight or for several days.

This content is provided for informational purposes only and may cover products that are not available in your region. It does not constitute investment or financial product advice, not it is a recommendation or solicitation to buy or sell financial instruments or to engage in any specific trading strategy.

Trading in financial instruments involves a significant risk of loss and may not be suitable for all investors. If you invest in X-Perps or other derivatives you may lose some or all of the money you invest. X-Perps are leveraged instruments; leverage can amplify both gains and losses. The value of investments and any income derived from them can go down as well as up, and you may not recover the amount originally invested. Past performance is not a reliable indicator of future results. You should carefully consider your investment objectives, level of experience, and risk appetite before engaging in any trading activity.

OKX Europe Markets Ltd ("OEM"), which is authorised and regulated by the Malta Financial Services Authority (MFSA) under the Investment Services Act (Chapter 370 of the Laws of Malta) as a Investment Services Licence Holder (Licence No. OEML-15905).

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