Master the Art of Hedging Your Underlying Asset!
Here's a strategy to profit regardless of market direction:
1. Buy BTC for $100 on the spot market.
2. Short BTC for $50 on the futures market.
If the price rises by 10%:
- Gain $10 on the spot market.
- Lose $5 on the futures market.
- Net profit: $5.
If the price falls by 10%:
- Gain $5 on the futures market.
- Hold your spot position.
This method allows you to hedge your underlying asset effectively, repeating trades while holding positions to dollar-cost average your spot investments.