🔹 In the world of cryptocurrency trading, understanding the differences between spot trading and futures trading is crucial for every trader, whether beginner or professional. Spot trading gives you ownership of the actual assets like Bitcoin (BTC), which I consider one of the strongest and most stable cryptocurrencies. Meanwhile, futures trading allows you to take advantage of market volatility with the possibility of using leverage, which increases profit opportunities but carries higher risks.
💡 Risk management here is completely different. In spot trading, it is advisable to determine the trade size based on the available capital while maintaining diversification. However, in futures trading, using stop-loss orders and position sizing carefully is essential to avoid significant losses.
🎯 My personal strategy is to use spot trading to maintain a long-term investment in Bitcoin (BTC) and to exploit futures contracts for quick profits through daily market movements, with a strict commitment to a risk management plan.
💬 Share your strategy with the hashtag and be part of the Binance community to exchange experiences and increase your points.