#SpotVSFuturesStrategy

📘 Key differences between Spot and Futures in crypto trading.

If you are starting in the world of trading, understanding the difference between the Spot market and the Futures market can help you better choose your strategy.

🔹 What is SPOT trading?

➡️ You buy and sell cryptocurrencies at the current market price.

➡️ When you buy, you are the actual owner of the asset (for example, you buy 1 BTC and it is yours).

➡️ There is no leverage: you can only use the money you have.

➡️ It is ideal for long-term investment (HODL) or simple trading.

✅ Advantages:

Lower risk of total loss.

Easy to understand for beginners.

You have complete control over your cryptos.

⚠️ Disadvantages:

You only profit if the price goes up.

You cannot benefit from falling prices.

🔸 What is FUTURES trading?

➡️ You do not buy the asset directly, but you trade contracts based on the price of the asset.

➡️ You can bet that the price of a crypto will go up or down.

➡️ You can use leverage, meaning you can trade with more money than you have (e.g., 10x, 20x).

➡️ Contracts can be delivery (settlement) or perpetual (they do not expire).

✅ Advantages:

You profit whether the market goes up or down (if you make your prediction correctly).

You can use a smaller capital to achieve higher gains.

Ideal for short-term strategies.

⚠️ Disadvantages:

Risk of liquidation if the market goes against you.

More complex: requires technical analysis, emotional control, and risk management.

🎯 Which strategy suits you?

If you are just starting: begin with Spot to learn without too much risk.

If you already have experience and want to take advantage of market movements: study futures thoroughly and start with little capital.

💡 Final advice: Master SPOT first, and then try Futures in demo mode before risking real money.