Zillur Rahman Chowdhury
--
#TradeStories #TradeOfTheWeek #MostRecentTrade
Binance Futures trading is a platform offered by Binance that allows users to trade contracts based on the future price movements of various cryptocurrencies. Instead of directly buying or selling the underlying digital assets, traders speculate on whether the price of a cryptocurrency will go up or down.
Here's a breakdown of key aspects of Binance Futures trading:
What are Futures Contracts?
* A futures contract is an agreement to buy or sell a specific asset (in this case, cryptocurrency) at a predetermined price on a future date.
* On Binance Futures, you primarily trade perpetual futures contracts, which do not have an expiration date. This allows you to hold your positions for as long as you maintain sufficient margin.
* Binance also offers quarterly futures contracts for some assets, which have a specific expiry date.
Key Features and Concepts:
* Leverage: Binance Futures allows you to trade with leverage. This means you can control a larger position with a smaller amount of your own capital. For example, with 10x leverage, $100 in your account can control a 1,000 position. While leverage can amplify profits, it also significantly increases the risk of losses. Binance offers varying levels of leverage, sometimes up to 125x on certain contracts.
* Going Long or Short:
* Long: If you expect the price of a cryptocurrency to increase, you "go long" (buy) a futures contract. You profit if the price rises above your entry point.
* Short: If you anticipate the price will decrease, you "go short" (sell) a futures contract. You profit if the price falls below your entry point.
* Margin: To open and maintain a futures position, you need to deposit a certain amount of funds as collateral, known as margin. Binance calculates the required margin based on the contract, leverage, and position size.
Binance Futures trading is a platform offered by Binance that allows users to trade contracts based on the future price movements of various cryptocurrencies. Instead of directly buying or selling the underlying digital assets, traders speculate on whether the price of a cryptocurrency will go up or down.
Here's a breakdown of key aspects of Binance Futures trading:
What are Futures Contracts?
* A futures contract is an agreement to buy or sell a specific asset (in this case, cryptocurrency) at a predetermined price on a future date.
* On Binance Futures, you primarily trade perpetual futures contracts, which do not have an expiration date. This allows you to hold your positions for as long as you maintain sufficient margin.
* Binance also offers quarterly futures contracts for some assets, which have a specific expiry date.
Key Features and Concepts:
* Leverage: Binance Futures allows you to trade with leverage. This means you can control a larger position with a smaller amount of your own capital. For example, with 10x leverage, $100 in your account can control a 1,000 position. While leverage can amplify profits, it also significantly increases the risk of losses. Binance offers varying levels of leverage, sometimes up to 125x on certain contracts.
* Going Long or Short:
* Long: If you expect the price of a cryptocurrency to increase, you "go long" (buy) a futures contract. You profit if the price rises above your entry point.
* Short: If you anticipate the price will decrease, you "go short" (sell) a futures contract. You profit if the price falls below your entry point.
* Margin: To open and maintain a futures position, you need to deposit a certain amount of funds as collateral, known as margin. Binance calculates the required margin based on the contract, leverage, and position size.
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
3
0