đ What is Futures Trading in Crypto? How does it work? đĄ
Futures trading is a type of trading where you profit or loss by predicting the future price of a crypto asset â without directly buying that coin.
đ How Futures Trading Works:
1ī¸âŖ Long Trade: Profit if you trade thinking the price will rise â loss if the price falls.
2ī¸âŖ Short Trade: Profit if you trade thinking the price will fall â loss if the price rises.
⥠Opportunity for Profit:
âĸ Leverage: You can make large trades with low capital using up to 2x, 5x, or even 100x leverage.
âĸ High Profit: If your prediction is correct, your profit can multiply several times.
â ī¸ Risks:
âĸ High Risk: With high leverage, the possibility of loss also increases.
âĸ Liquidation: If the price moves against your position, there is a risk of losing your entire capital.
đĄ Advice:
âĸ Do not engage in futures trading without market analysis.
âĸ Use stop loss.
âĸ Start with low leverage.