#TradingTypes101

There are several types of trading methods that every trader should be aware of. The most common types include spot trading, futures trading, and margin trading.

Spot trading involves buying or selling an asset instantly at the current market price. It is the simplest and most straightforward form of trading.

Futures trading allows traders to enter into a contract to buy or sell an asset at a predetermined price at a future date. This method involves leverage and carries higher risks and potential rewards.

Margin trading involves borrowing funds to trade larger positions than your actual balance. While this can amplify profits, it also increases the risk of losses.

Understanding these trading types is crucial for choosing the right strategy and managing risk effectively in the crypto market.