Futures trading is not much different from other futures trading. Future trading is a type of trading that imitates futures trading on the main market.
In crypto, this means agreeing to buy a certain crypto at a certain price and time in the future, regardless of the current price.
Future Trading is a financial market activity in which traders speculate on the future prices of various assets, including cryptocurrencies such as Bitcoin (BTC) and Ether (ETH). A futures contract is an agreement between two parties to buy or sell an asset at a predetermined price at a future date. This trading method allows traders to profit from price movements, whether the asset value rises (goes long) or falls (goes short)
In the context of cryptocurrency futures, traders do not actually own the underlying asset. Instead, they trade on the price fluctuations of certain cryptocurrencies. This can be an advantage as it allows traders to profit in both bull and bear markets. Futures contracts usually have standard terms, including contract size, expiration date, and agreed price, making them a more structured and regulated form of trading than spot trading.
Binance Futures is a derivative trading product from the Binance exchange that allows you to trade in two directions, namely LONG and SHORT positions. These two types of positions have different technicalities for generating profits. In a LONG position, you will get a profit when the price direction rises. Meanwhile, in the SHORT position, you will get a profit when the price direction goes down.
How to Trade Crypto Futures on Binance:
1. Must have KYC
2. Click Open Now to open a Binance Futures Trading account.
3. Deposit or transfer USDT or Bitcoin from Spot Wallet to Binance Futures.
4. Choose the type of contract according to the collateral you have on Binance Futures, such as BTC and USDT.
Choose the appropriate leverage.
5. Remember to always set SL
