#TradingTypes101 #TradingTypes101

When you enter the world of trading on the Binance platform, it’s like stepping into a massive global market with various types of trading, each type resembling a different path to your goal, but each path has its own risks and style.

The first of these types is Spot Trading, which is the simplest form of trading, like buying and selling directly in the market: you buy a cryptocurrency and wait for its price to rise to sell it. There is no leverage involved, making it less risky compared to other types.

Margin Trading is like borrowing from a bank to buy goods and then selling them; if you profit, you earn more, but if you lose, you could lose more than you own, as it relies on leverage.

Then there’s Futures Trading, which is like betting on the market’s direction: will the price rise or fall? Without actually owning the asset. It is one of the most volatile and risky types, but it is enticing for professionals seeking quick profits.

There’s also Automated Trading (Grid, Bots), which is like hiring a smart person to trade on your behalf according to a predefined strategy. Useful for those who cannot constantly follow the market.

All of these types come under the umbrella of hashtag #TradingTypes101 , which the Binance platform adopts to educate traders about the types of trading and their risks. So before you choose a path, get to know its features well, and start with what suits your level and financial plan.