📚 #TradingTypes101 — Your Guide to Spot, Margin, & Futures Trading

Understanding the 3 core trading types in crypto is crucial to mastering the market. Here's a quick breakdown to help you choose what fits your style:

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🔹 1. Spot Trading

🟢 Buy/Sell assets at current market price

📦 Assets are delivered instantly

✅ Great for beginners

💡 Example: Buy 1 BTC at $60,000 → Hold in your wallet

Best for: Long-term holders, simple buy/sell, low risk

Tip: Always research the project before buying

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🔸 2. Margin Trading

🟡 Trade with borrowed funds (leverage)

💰 Boosts buying power — but also increases risk

📈 You can go long (bet price will rise) or short (bet price will fall)

💡 Example: 3x leverage = $100 capital becomes $300 trade

Best for: Intermediate traders with risk management skills

Tip: Use stop-losses to protect your funds

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🔴 3. Futures Trading

🔁 Contracts to buy/sell assets at a future date & price

🚀 High leverage — but high risk

📉 You don’t own the asset itself

💡 Example: Open a long #BTC futures contract at $60,000 with 10x leverage

Best for: Pro traders, quick profit strategies, hedging

Tip: Understand funding fees & liquidation levels

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🧠 Pro Tip for Beginners:

Start with Spot trading → Learn charts and risk management → Then explore Margin & Futures gradually.

💬 What type of trading do you prefer & why? Share your tips below!

🔗 Join the conversation and post your insights using #tradingtypes to earn Binance Points!