#TradingTypes101 Today ON a quick fundamental guide on the differences between Trading and Investing!!
what are the main goals of these two types of wealth accumulation methods??
-Trading 📈 involves taking advantage of highs and lows of the market, typically fort short term profit.
-Investing 🏛 is about playing the long run and holding money for long term profit.
So, what are the different ways to do that? 👇
🅰️ Trading Strategies!
1. Spot Trading: Buy/sell coins at market price.
2. Margin Trading: Use borrowed funds for higher gains—or losses.
3. Futures Contracts: Bet on future price moves with leverage.
4. Options: Pay a premium for the right, not obligation, to buy/sell later.
5. Day Trading: Open and close positions within a single day.
6. Swing Trading: Hold for days or weeks to ride trends.
7. Scalping: Capture tiny profits in seconds-to-minutes.
8. Arbitrage: Exploit price gaps across exchanges.
🅱️ Investing Strategies!
1. HODLing: Buy and hold for months or years.
2. Staking: Lock proof-of-stake tokens to earn rewards.
3. Yield Farming/Liquidity Mining: Supply tokens to DeFi protocols for fees.
4. Crypto Savings: Deposit with a platform for interest.
5. Masternodes: Run a node with collateral for steady payouts.
6. Index Funds/ETFs: Diversify via a basket of cryptocurrencies.
7. Token Sales (ICOs/IDOs): Invest early in new projects.
always remember to do your own research and match the preferred strategy to your risk tolerance and management!! 💸💸.$BTC