The principles of contracts and stock financing, as well as forex leverage, are the same. If you have a capital of 100 yuan, you can understand it as the trading platform lending you a virtual 900 yuan, so you have a total of 1000 yuan. You then go to the trading platform to buy or sell something worth 200 yuan, which allows you to buy or sell 5 items. If each item rises or falls by 10%, that means you earn 20 yuan for each, totaling 100 yuan. For you, this means a profit of 100%. Of course, losses work similarly.
In any mature industry, the big players eat the meat while ordinary people drink the soup. Especially for contracts, which are highly financial products, ordinary people have limited funds and poor risk tolerance. Therefore, contracts are not suitable for beginners. In the cryptocurrency world, you must always remember your limits. Success comes at a great cost; do you think the chances of a beginner becoming a success are greater or the chances of becoming a casualty?
As for experience, there are many paths to becoming a contract expert. Many people look for teachers to guide them in trading and teaching, but I do not recommend it. True contract experts do not make money in the trading market and then come to teach and charge tuition fees.
Here’s a relatively simple method for beginners. I taught this method to several family relatives to practice, and the results were okay. That is: choose one or two mainstream public chain cryptocurrencies that are not purely speculative NFT ecosystems and have been traded for more than a year and a half. First, play with their spot trading for about a year or so, familiarize yourself with their market fluctuations and various data. Then take a little spare funds, use low leverage contracts, and, based on your accumulated data experience and the current market conditions, engage in swing trading to exercise your psychological resilience and accumulate contract experience.
Also remember, bear markets are the conditions where contracts make money; in a bull market, you must build positions and take profits in batches.
I am a big shot, a professional analyst and teacher, a mentor and friend on your investment journey! As an analyst, the most basic thing is to help everyone make money. I will help you solve confusion and problems, and speak with strength. When you are lost and don't know what to do, follow me, and I will show you the way.#美联储降息预期
