#TradingTypes101

When stepping into crypto, knowing your trading types is essential. Here's a quick breakdown:

๐Ÿ”น Spot Trading โ€“ You're buying/selling crypto at current market prices. Simple and great for beginners. You own the asset outright.

๐Ÿ”น Margin Trading โ€“ Trade with borrowed funds to amplify gains (and risks!). It offers higher rewards but requires careful risk management and quick decision-making.

๐Ÿ”น Futures Trading โ€“ You're speculating on price movement without owning the actual asset. It allows long or short positions with leverage and is best suited for experienced traders.

๐Ÿ’ผ My go-to?

I use Spot for portfolio building and long-term holds. I don't use future and margin trading because these can exploit your portfolio. You can loose all your money at once. It's too risky.

๐Ÿ”ฐ Tips for Beginners:

Start with Spot trading.

Never trade more than you can afford to lose.

Learn technical before diving into leverage.

Always use stop-losses in Futures/Margin.

Choose your type based on your goals, not the hype.

#CryptoTrading #BinanceTasks #CryptoTips #CryptoEducation #TradingTypes101