#TradingTypes101 โ Know Your Trades!
Getting into crypto trading? Step 1: Understand the three major trading types ๐
๐น Spot Trading
Buy/sell crypto instantly at current market prices. Simple and beginner-friendly. You own the asset directly.
๐น Margin Trading
Trade with borrowed funds to increase your buying power. ๐จ Higher gains possibleโbut also higher risk! Best for experienced traders.
๐น Futures Trading
Agree to buy/sell at a future date & price. Great for hedging and speculation. ๐ง Requires solid market understanding.
๐ก When to use what?
๐ธ Spot โ Long-term holds & straightforward investing
๐ธ Margin โ Short-term plays with higher confidence
๐ธ Futures โ Advanced strategies or when betting on price moves
๐ถ Tips for beginners:
โ Start with Spot trading
โ Learn risk management early
โ Donโt trade with more than you can lose
Which trading type do you use most? Drop your thoughts using โฌ๏ธ