🔥 How to trade futures on Binance and avoid liquidation$BTC
Futures = powerful tool, but for beginners, it often leads to deposit loss. Here are key rules to help avoid mistakes and trade wisely.
📊 What is the funding rate?
The funding rate is a mechanism that balances the futures contract price and the spot market.
• Positive rate — long pays short.
• Negative rate — short pays long.
💡 Simple principle:
• 🔼 If the rate is too high → it is more profitable to open a short.
• 🔽 If the rate is negative → long is interesting.
Check the Funding Rate before entering a position. This can add up to 10–15% profit through passive payouts.
🧠 When is the best time to open positions?$ETH
• Long — when there is strong support, increased volume, and negative funding rate.
• Short — at resistance, in a overheated market, and with a positive rate.
Use indicators: OBV, RSI, Open Interest, Funding Rate.
🛡 How to avoid liquidation?$XRP
1. Do not use the entire margin. Use a maximum of 10–20% of your deposit on one trade.
2. Always set stop-losses. Even if you're '100% sure'.
3. Choose an appropriate leverage. Start with x3–x5 — no more.
4. Keep an eye on the liquidation price. It is always indicated in the order.
📈 IN SUMMARY:
✅ Look at funding
✅ Consider levels and volumes
✅ Manage risk
✅ Trade with the trend — not against it
Do you use futures or just spot for now?
💬 Share your experience in the comments👇
Subscribe to not miss the post about grids, hedging, and carry-trade strategies.
#BinanceFutures #cryptotrading #FundingRate #Binance #CryptoAnalysis
