#SpotVSFuturesStrategy

The hashtag #SpotVsFuturesStrategy refers to the comparison and choice between two popular approaches to cryptocurrency trading — spot trading and futures. Understanding the difference between these strategies is key for traders looking to maximize profits and minimize risks.

In spot trading, the trader buys a real asset — for example, Bitcoin or Ethereum — and owns it directly. This is suitable for long-term investors or those who do not wish to use leverage. The strategy is straightforward, less risky, but profits are generally less explosive.

Futures trading, on the other hand, allows trading contracts using leverage, which significantly increases the potential for profit — and at the same time, losses. Here, it is important to have a clear risk management strategy.