Spot vs Futures Trading Simplified
Hey Binance Square fam! Trading crypto isn’t just about buying and holding. Two main strategies dominate the market: Spot trading and Futures trading. Spot trading is simple—you buy and own the actual crypto, profiting when the price rises. Futures trading, on the other hand, lets you speculate on price movements without owning the asset, using leverage to amplify gains—or losses.
Both have their pros and cons. Spot is lower risk and easier for beginners, while futures offer high potential returns for those who manage risk carefully. Knowing when to use each strategy is key.
Traders who combine both approaches often find better balance, hedging positions in volatile markets. Learning both can make your crypto journey smarter and more strategic!
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