Spot vs Futures Trading Strategy in Crypto: Key Differences
In crypto trading, spot trading involves buying or selling digital assets like Bitcoin or Ethereum for immediate delivery. You own the asset and can transfer or hold it. It's ideal for long-term investors and beginners focused on simple buy-and-hold strategies.
On the other hand, futures trading is a contract-based strategy where traders speculate on price movements without owning the asset. Futures allow leverage, enabling higher potential returns—but also higher risk. It's best suited for experienced traders.
Choosing between spot vs futures depends on your risk tolerance, market knowledge, and trading goals.
Keywords: spot vs futures, crypto trading strategy, leverage, spot trading, futures contracts.
