Some essential "tips and tricks" for beginners interested in #FutureTarding ures trading in the crypto market:
1. Learn the Basics First
- Understand how futures contracts work (perpetual vs. quarterly).
- Know key terms like 'leverage, margin, liquidation, funding rate, and PnL'.
- Start with 'spot trading' to get familiar with market movements before jumping into futures.
2. Start Small & Use Low Leverage
- High leverage (e.g., 50x, 100x) can lead to quick liquidation.
- Beginners should stick to 5x-10x leverage to reduce risk.
- Trade with only what you can afford to lose.
3. Use Stop-Loss & Take-Profit Orders
- Always set a stop-loss (SL) to limit losses.
- Use take-profit (TP) to lock in gains (avoid greed).
- Avoid market orders during high volatility to prevent slippage.
4. Avoid Over-Trading & Emotional Decisions
- Don’t revenge trade after a loss.
- Stick to a trading plan (entry, exit, risk management).
- Don’t FOMO (Fear Of Missing Out) into pumps or dumps.
5. Track Liquidation Levels
- Check where liquidations are clustered (helps predict market moves).
- Avoid setting leverage too high near key support/resistance levels.
6. Follow Market Trends & News
- Use technical analysis (TA) (e.g., support/resistance, RSI, MACD).
- Watch Bitcoin’s price action—most altcoins follow BTC.
- Stay updated on macro news (Fed rates, regulations, exchange hacks).
7. Manage Risk Properly
- Risk only 1-2% of your capital per trade.
- Avoid all-in trades—diversify positions.
- Hedge positions if necessary (e.g., long BTC, short altcoins).
8. Watch Funding Rates
- Positive funding = Longs pay shorts (bullish sentiment).
- Negative funding = Shorts pay longs (bearish sentiment).
- Extremely high funding can signal a potential reversal.
9. Avoid Trading During High Volatility
- Major news events (e.g., CPI reports, Bitcoin ETF decisions) cause extreme volatility.
- Liquidation cascades can happen suddenly—be cautious.
10. Practice with a Demo Account
- Most exchanges (#Binance , Bybit, OKX) offer demo trading.
- Test strategies risk-free before using real money.
Bonus Pro Tips:
- Scalping? Use tight spreads and low timeframes (1m-5m).
- Swing trading? Watch higher timeframes (4H, daily).
- Copy trading? Follow experienced traders but verify their history.
Final Advice:
> "The market will always be there—protect your capital first."
> Start slow, learn from mistakes, and gradually increase your skills.
