#SpotVSFuturesStrategy #SpotVsFutures
Understanding the difference between spot and futures trading is essential for any crypto trader. Spot trading is straightforward—you buy and hold the actual asset. It’s ideal for long-term investors or those who want to own coins directly. Futures trading, however, involves contracts that let you speculate on price movement with leverage. It’s more flexible, but also riskier. Personally, I use spot for coins I believe in long term, and futures for short-term strategies or hedging. Each has its purpose depending on your risk tolerance and goals. Learning both has helped me improve my overall trading performance.
