📊Spot trading can save your capital ‼️
🤓 Spot trading, also known as cash trading, is a way of operating in financial markets where assets are bought or sold for immediate delivery, at the current market rate, called the spot price. In other words, it involves the transaction of an asset, such as currencies, stocks, or cryptocurrencies, at its current price with the expectation of receiving the asset (or its equivalent in cash) immediately.
🔹️Immediate delivery:
Unlike other types of trading such as futures trading, spot trading implies that the transaction is settled in a short period of time, usually within two business days.
🔹️Current price:
Trading is done at the prevailing market price, also called the spot price, which reflects supply and demand at that moment.
🔹️Varied assets:
It can be applied to different types of assets, such as currencies in the Forex market, stocks, cryptocurrencies, and commodities.
🔹️Simplicity:
It is considered a relatively simple and transparent type of trading, especially for beginners, as it does not involve leverage or contracts with future dates.
🔹️Risks:
While it is considered less risky than leveraged trading, it is still exposed to market volatility and potential losses if the asset price moves against the trader's position.
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