#SpotVSFuturesStrategy

🔹 1. Spot Trading Strategy

What is Spot?

You buy/sell BTC instantly at the current market price. You own the asset.

✅ Common Spot Strategies:

🟢 Buy and Hold (HODL)

Best for: Long-term investors

Idea: Buy BTC during dips and hold for months/years.

Tools: DCA (Dollar Cost Averaging), cold wallets.

🟢 Swing Trading

Buy low, sell high over days/weeks.

Uses: Technical indicators (RSI, MACD, Moving Averages).

Goal: Catch short- to mid-term moves.

🟢 Breakout Trading

Wait for: Price to break key levels (resistance/support).

Entry: On breakout with volume.

Exit: Near next resistance/support.

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🔹 2. Futures Trading Strategy

What is Futures?

You trade contracts that speculate on BTC's price — without owning it.

You can Long (buy) or Short (sell) with leverage (e.g. 10x, 20x).

⚠️ Risk: Higher reward = Higher risk (liquidation possible)

🟡 Scalping

Very short-term (minutes to hours)

Use: 1–15 min charts, order book, volume spikes

Target: Small profits, multiple times

🟡 Trend Following

Use: Moving Averages (like 50/200 EMA), MACD

Long: When price above key MAs

Short: When price below

🟡 Funding Rate Arbitrage

Earn passive profit from differences in funding rates (longs vs shorts).

Usually needs big capital.

🟡 Hedge Strategy

Spot + Futures combo

Example:

Hold BTC in spot

Open a short position in futures to protect against a drop

Good during uncertainty

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✅ Best Practice:

Action Spot Futures

Long-term holding ✅ ❌

Short-term trading ⚠️ ✅

Leverage ❌ ✅

Risk level Low–Medium High

Liquidation ❌ ✅

Best for beginners ✅ ❌