#TradingTypes101
🔹 Spot Trading:
You’re buying actual crypto assets and holding them. Profit comes when you buy low and the market moves up. It’s straightforward — no leverage, just you and the market. Low stress (unless the market dips).
🔹 Margin Trading:
Here, you borrow funds to increase your buying power using leverage. If the market moves in your favor, your gains are amplified — but so are your losses. A single wrong move could lead to liquidation.
🔹 Futures Trading:
You’re not buying crypto itself, but trading contracts based on price movements. You can go long (buy low, sell high) or short (sell high, buy low). Futures also offer leverage, increasing both your profit potential and your risk.
📈 More tools = more potential, but also more risk — so know what you're doing before diving in.
