$BTC Someone asked whether to play spot or contracts in the cryptocurrency circle, let me briefly explain. Personally, I think both can be played; there are only two trading methods in the secondary market: 'spot' and 'contracts'. Most individual players in the cryptocurrency circle are retail investors, with initial capital below 100,000 U, a few around 1,000,000 U, and a very small number above 5,000,000 U. So what are the differences in how they make money? Can both spot and contracts make money? The answer is definitely yes, both can. For players with more than 1,000,000 U, they focus more on stability, not caring about short-term gains; they prefer spot trading, leaning towards conservative trading, making cyclical investments in bull and bear markets, with a short time frame of one year, and a long time frame of three years or even longer, with a return rate of 5-10 times, which is sufficient. So, what about the vast majority of retail investors? In terms of entry timing and capital, contracts are a more preferred choice for retail investors, as they pursue higher expectations for short-term gains; of course, the risks are also higher, which requires a relatively complete trading strategy. I disagree with the approach of betting small to win big; betting small to win big definitely involves increased risk. With relatively small capital, wanting to win big will certainly involve some gambling mindset, and if you lose the bet, you might not have anything left. I care more about the 1+1 strategy, slowly accumulating wealth. More real-time strategy sharing is available in the core group, follow me to avoid getting lost.
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