#SpotVSFuturesStrategy Spot vs Futures Strategy in crypto trading has fundamental differences and distinct strategies.
Spot Trading is the direct purchase of assets (for example, buying ETH at the current price). This strategy is suitable for long-term investors (HODL), safer because it does not involve leverage, and has no liquidation risk. Focus on buying at support, selling at resistance.
Futures Trading allows profit from price increases or decreases (long/short) using leverage. This strategy is suitable for experienced traders. It can yield profits more quickly, but the risks are much higher due to potential liquidation and rapid fluctuations.
Combination Strategy:
Use spot for accumulating solid assets (BTC, ETH) during corrections.
Use futures for scalping or taking advantage of short-term momentum (for example, during major news events).
Maintain discipline in risk management and separate capital for spot & futures.
Understand the characteristics of each to make strategies more effective and avoid overtrading.