#TradingTypes101 first topic in the Crypto Trading Fundamentals Deep Dive! Let’s break down the three core types of trading every crypto trader should understand: Spot, Margin, and Futures.
🔹 Spot Trading – This is the simplest and most straightforward type. You buy or sell crypto at the current market price and own the asset outright. It’s ideal for beginners and long-term holders.
🔹 Margin Trading – Here, you borrow funds to increase your position size, which means bigger potential gains and losses. It’s suited for intermediate traders who understand risk management.
🔹 Futures Trading – This allows you to speculate on the future price of crypto without owning the asset. With leverage and expiry dates involved, it’s a powerful tool but requires solid experience and discipline.
🧭 When to Use Each?
Spot: For building long-term holdings or making simple buy/sell decisions.
Margin: When you’re confident in short-term market movements and want to amplify gains.
Futures: For hedging, shorting, or trading based on future market trends.
✨ Tips for Beginners:
Start with spot trading to learn the ropes.
Never risk more than you can afford to lose.
Study market trends, use stop-losses, and practice patience!
🔁 Now it’s your turn!
Share your thoughts with #TradingTypes101
Which trading type do you