#SpotVSFuturesStrategy a Spot trading is more suitable for long-term investment and accumulation, with a greater focus on the fundamentals of the asset and tolerance for short-term volatility. Risk management is more about capital allocation and diversification.

On the other hand, futures trading is a powerful tool for short-term trading and amplifying results, but it requires a much more rigorous risk management discipline, focusing on leverage, stop-loss, and precise position sizing to avoid liquidations. Technical knowledge of chart analysis and order flow is also much more critical in futures.

Ignoring these differences is a recipe for significant financial losses, especially in the futures market, where leverage can be a double-edged sword.