On the futures page, “Open Long” and “Open Short” look like just two buttons, but they mean very different things. Going long means betting on a price rise—you profit if it goes up. Going short means betting on a price drop—you profit if it goes down.
Take $BTC , which is around 75988 right now. If you think it’ll keep going up, you’d open a long; if you think it’ll go down, you’d open a short. In spot trading, you usually have to buy before you sell, so by default you can only go long. To open a short, you need to trade futures.
It may look like you can profit in either direction, but if you get the direction wrong, you can lose just as quickly—and you also have to keep an eye on your margin. Until I’m sure about the direction, I won’t open a short on a whim. The same goes for $ETH .
#CryptoBasics #BinanceSquare
Take $BTC , which is around 75988 right now. If you think it’ll keep going up, you’d open a long; if you think it’ll go down, you’d open a short. In spot trading, you usually have to buy before you sell, so by default you can only go long. To open a short, you need to trade futures.
It may look like you can profit in either direction, but if you get the direction wrong, you can lose just as quickly—and you also have to keep an eye on your margin. Until I’m sure about the direction, I won’t open a short on a whim. The same goes for $ETH .
#CryptoBasics #BinanceSquare