๐ 1. Short Selling (Using Futures or Margin)
How it works: You borrow crypto and sell it at the current price, hoping to buy it back later at a lower price.
On Binance:
Use Binance Futures (USDT-M or COIN-M contracts).
Choose a short position (sell/short).
Profit if the asset price drops.
Risks: Liquidation if the market goes up. Requires strict risk management.
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๐ฐ 2. Buy Inverse ETFs / Tokens
Binance offers Leveraged Tokens, including inverse ones like:
BTCDOWN โ Gains when BTC falls.
ETHDOWN, etc.
Note: These tokens are rebalanced daily and not suitable for long-term holding.
๐ผ 3. Hedge Your Spot Portfolio
Use derivatives to hedge against losses:
If you hold BTC in spot, short BTC in Futures.
This can offset losses during a crash.
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๐ง 4. Stablecoin Farming / Staking
When the market is falling:
Move funds to USDT, USDC, or BUSD.
Stake or use DeFi/Launchpool features to earn yield without exposure to price drops.
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๐ 5. Dollar-Cost Averaging (DCA) During Crash
While not profitable during the downfall, DCA lets you:
Buy gradually at lower prices.
Profit long-term when market recovers.
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๐ 6. Use Volatility Strategies (Options or Grid Bots)
Options (like on Binance Options or platforms like Deribit) allow profits on volatility.
Grid Trading Bots (available on Binance) can profit from price swings if set with wide enough ranges.
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โ ๏ธ Tips & Risk Management
Always use stop-losses.
Limit leverage unless youโre experienced.
Understand fees, especially in Futures and Leveraged Tokens.
Never โrevenge tradeโ losses in a bear market.
