#BTCRebound
Bitcoin's future price without owning the actual asset.
Futures contracts are agreements to buy or sell Bitcoin at a predetermined price on a specific date.
Leverage enables traders to control large positions with a small initial investment, increasing potential profits and risks.
Long positions bet on Bitcoin's price rising, while short positions profit from price declines.
Margin requirements vary by exchange and determine how much capital traders must deposit.
Funding rates apply to perpetual futures contracts to balance long and short positions.
Liquidation occurs if a trader's losses exceed the margin balance, forcing their position to close.
Exchanges like Binance, CME, Bybit, and OKX offer Bitcoin futures with different contract types.
Risk management strategies, such as stop-loss orders, help traders minimize potential losses.
Market volatility in Bitcoin futures can be extreme, making it a high-risk, high-reward trading option.