🔹 SPOT TRADING > Direct buying and selling of crypto assets. You really own the asset after buying.
✅ Advantages:
Lower risk (no leverage).
Ideal for holding or medium-term strategies.
Easier for beginners.
⚠️ Tips:
1. Buy on corrections: Avoid buying at the top. Wait for pullbacks (e.g., Support + RSI below 30).
2. Be patient: Profit in spot comes over time. Don't expect quick gains.
3. Use stop-loss and take-profit: Even in spot, have exit goals.
4. Risk management: Never enter with 100% of the capital in a single coin.
5. Diversify: Choose 3 to 5 assets with fundamentals and clear trend.
🔸 FUTURES TRADING > Trading with leverage and the possibility of profiting in both rising and falling markets.
✅ Advantages:
Allows for quick gains.
You can short sell (bet on decline).
Leverage feature (e.g., 5x, 10x... up to 125x on Binance).
⚠️ High Risks:
Leverage = risk of rapid liquidation.
Highly emotional, requires control and discipline.
🔒 Safety and success tips:
1. Use low leverage (1x to 3x) at first.
2. Never trade without stop-loss.
3. Don't trade all your capital. Use only a small portion (e.g., 5-10%).
4. Avoid overtrading: Choose good setups, don't trade on impulse.
5. Learn technical analysis: Support, resistance, RSI, MACD, moving averages.
6. Have a trading plan with entry, exit, and risk goals.
7. Record your trades: For learning and future adjustments.
8. Be careful with sideways market: Higher chance of liquidation.