#TradingTypes101 Let’s break it down!
In spot trading, you actually buy the crypto and hold it. You profit if you buy low and the market goes bullish. Simple and solid — no leverage, no stress (unless the market tanks).
Margin trading gives you more firepower. You borrow funds using leverage. If the trade goes your way, your profits are multiplied — but so is your risk. One wrong move and liquidation could hit hard.
Then there’s futures — you're not buying coins, you're trading contracts. You can long (buy low, sell high) or short (sell high, buy back low). Plus, just like margin, you can use leverage.