In this article I want to analyze the whole essence of futures and share my conclusions. I have been trading futures for more than half a year and decided to analyze the moments that are not noticeable at first glance:

1. Leverage

Whatever X you put - it does not increase the profit. Let's say you have $200, you buy $100 on spot $BTC at a price of 100k, and you open a Long on the same Btc for the other $100 at a price of 100k with a leverage of X10. You decided to fix the profit at 10%, both on spot and on futures. That is, out of $100, your Profit will be $10. To earn $10 on spot - bitcoin must grow by 10%, to earn $10 on futures - bitcoin must grow by 1%. On futures, the profit will be calculated from the amount of money you put, regardless of the leverage. X simply reduces the price gap between the entry point and the profit. As a result, you will not earn more on futures, you will earn faster.

2. Cross Margin

In cross margin mode, money starts to be taken from the main deposit as soon as the RoI takes a negative value. This is not the case where the main deposit starts to contribute to the position margin already at the threat of liquidation, no. It will start eating immediately as soon as the price moves against you. And the greater the deviation against you, the more money it will take.

3. Closing a Position

When you instantly close a position using the "close" button, your commission will eat up a huge %. This applies both when closing in profit and in loss. Always close your position either in profit or with a stop.

4. Liquidation

Cross margin does not give you a larger liquidation than isolated. Check for yourself. Open a position on cross with all your money, leaving nothing in your futures wallet balance. Liquidation on cross is shown considering your entire deposit on futures.

5. How Shorting Works

You borrow 1 BTC from the exchange, immediately sell it, for example at a price of 100k. You wait for the price to drop to, say, 90k, buy 1 BTC back, and return it to the exchange, keeping 10k $ for yourself.

In conclusion about futures, I can say the following:

This borders on gambling addiction. Liquidation is inevitable - it's just a matter of time, even at X1. The only benefit of futures is the ability to trade short. The probability of losing all your money does not justify any profit. Treat it as a game, sacrificing no more than $10 a month.