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Prediction Markets: How to Trade What’s Coming Next

Author Image Nick Stein

by Nick Stein

Prediction markets: How to trade what's coming next
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What’s better than saying, “I told you so” when your predictions turn out right? Probably making money from being right. That’s exactly what prediction markets let you do.

Big events come with all the hype; debates, speculation, and endless hot takes. But once they’re over, what’s left? Maybe some bragging rights, maybe some frustration. But that’s it. Prediction markets change that. Now, your foresight isn’t just talk, it’s something you can actually trade on.

If you’ve got a sharp instinct for reading the game, whether it’s politics, sports, or global events, you don’t have to just sit back and watch. Morpher’s new prediction markets let you turn insight into action with zero commission on every trade.

In this guide, we’ll dive into what prediction markets are, why they’re taking off, and how you can trade future events right now on Morpher.

What Are Prediction Markets?

Prediction markets let you trade on the outcome of real-world events. Instead of buying an asset, you’re trading on whether something will or won’t happen, like who will win the next election or which team will take the championship.

Each event is its own market, and prices reflect how likely an outcome is. If more traders believe something will happen, its price goes up. If confidence drops, so does the price. If your prediction is correct, you can close your position for a profit. If not, the value of your position falls.

Prediction Market Process Flow

The key to prediction markets is crowd intelligence. By aggregating data from traders worldwide, these markets often deliver incredibly accurate forecasts. They don’t rely on guesswork or individual bias, they’re powered by collective knowledge and data-driven sentiment.

People love making predictions. But until now, those predictions were just talk. Prediction markets change that. Why are they catching on? Because they offer something traditional forecasts can’t:

  • They react in real-time. Unlike expert predictions that get outdated fast, markets shift as new information comes in.
  • They crowdsource the truth. Instead of relying on one expert, prediction markets aggregate thousands of traders’ opinions, balancing bias with real stakes.
  • They’ve been eerily accurate. In past elections, prediction markets have beaten polls at forecasting results. Traders put their money where their mouth is.

Case in Point: The 2024 U.S. Presidential Election

During the 2024 election, Morpher’s prediction markets weren’t just an alternative to polling, they were often a step ahead. Data from platforms like those studied by the University of Cincinnati showed that prediction markets consistently reflected shifts in public sentiment faster than traditional polling methods.

By aggregating insights from thousands of traders adjusting their positions in real time, these markets provided a more accurate read on the race’s outcome, proving just how powerful collective forecasting can be.

How Do Prediction Markets Work?

We’ve already broken down the basic structure of how prediction markets operate in the previous market process flow. Now, let’s see this in action with Morpher’s upcoming playoff market for the biggest game in American football.

As teams compete for the championship, traders adjust their positions in real time based on performance, injuries, and other key developments. Here’s how probabilities and market prices shift:

Probability and market price correlation in prediction markets: How do prediction markets work?

Playoff Start → The team enters the playoffs with a 50% chance of winning, setting the market price at €0.50.
Big Win → A dominant victory boosts confidence, pushing the probability to 70% and raising the market price to €0.70.
Key Player Injury → A major setback causes traders to lose faith, dropping the probability to 40%, which lowers the market price to €0.40.
Final Game Result → If the team wins, the probability settles at 100% (€1.00). If they lose, it drops to 0% (€0.00), and the market closes.

On Morpher, traders don’t just watch the game, they trade on it. With zero commission, you can adjust your position as events unfold, keeping more of your winnings. Read more about our zero commission policy here.

What’s Live on Morpher Now?

Morpher is already redefining event-based trading with its prediction markets. One standout example was the U.S. Election market, which introduced a binary structure; traders could take a position on either candidate, with the market closing as soon as the results were official on November 5, 2024.

This clear cut format provided a definitive end date, unlike traditional financial markets where positions can fluctuate indefinitely. It set the foundation for Morpher’s prediction markets, where traders can lock in gains based on real outcomes.

Prediction Markets Now on Morpher

Morpher’s prediction markets are built for traders who want to stay ahead without paying commissions. NFL prediction markets are here, allowing traders to take positions on key playoff matchups, championship winners, and other milestone events.

And we’re not stopping there. Premier League and Champions League markets are next, giving football fans an entirely new way to engage with the sport, not just as spectators, but as traders.

On Morpher, you’re always ahead of the game—literally.

Can You Predict What’s Next?

Morpher’s expert dev team makes every market more accessible, honestly they can turn almost any data into a tradeable market. If we wanted, we could even launch a market on what Morpher’s next prediction market will be!

We won’t go that far just yet, but new prediction markets are already live on Morpher, and there’s more to come. From sports to global events, the possibilities are endless.

What would you like to trade next? Let us know, because the future of trading might just be what you predict.

Start exploring Morpher’s prediction markets today.

Morpher Trading Platform
Disclaimer: All investments involve risk, and the past performance of a security, industry, sector, market, financial product, trading strategy, or individual’s trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. Such decisions should be based solely on an evaluation of their financial circumstances, investment objectives, risk tolerance, and liquidity needs. This post does not constitute investment advice.
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