Contract trading is not about betting on the size, but the survivors rely on these three iron rules $XPIN

Want to make money with contracts in the crypto world? I have seen too many people enter the market wanting to double their money, only to be “educated” by the market in just a few days. Today, let's talk about some practical points to help you avoid the pitfalls that beginners must step on.

1. The essence of contracts is "using strength against strength," not gambling

The core of contract trading is to use a small amount of margin to leverage a large position. If you are bullish, go long; if bearish, go short. If you're right, profit from the price difference; if wrong, cut losses in time. But many people treat it as a guessing game—this is not trading, it's giving away money.

2. Two types of contracts, choose the right one to survive longer

Perpetual contracts: No expiration date, suitable for short-term players, but pay attention to funding rates—when the rate is positive, longs pay shorts, and vice versa when negative.

Delivery contracts: Have a fixed settlement date, suitable for those accustomed to taking profits and cutting losses at scheduled times, but less flexible.

Beginners are advised to practice with perpetual contracts; mainstream platforms like Binance and OKX offer simulated trading, so get familiar with the rules before trading with real money.

3. Leverage is a double-edged sword; if used poorly, you'll hurt yourself first

With 10x leverage, a 10% drop leads to liquidation; with 100x leverage, a 1% drop goes straight to zero. High leverage amplifies not profits, but emotional fluctuations.

My advice:

Starting capital of 100,000, control individual loss to within 3% (i.e., 3,000 yuan);

Leverage no more than 5 times, and you won't fear liquidation even with large fluctuations;

Only trade BTC/ETH; altcoins can spike and instantly force you out.

4. Risk control is the only password to survive

Be resolute with stop-losses: set a stop-loss when opening a position, and leave immediately when the price hits the stop-loss line; don't fantasize about a rebound.

Timing choice: The market is most chaotic around midnight and before major data releases; it's best for beginners to operate during the day (9:00-18:00).

Position management: The initial opening should not exceed 10% of the capital; consider increasing the position only after making a profit.

5. Real profits rely on discipline, not luck

There are always opportunities in the market, but if the capital is gone, nothing remains.

Trade no more than 3 times a day to reduce transaction fee erosion;

Withdraw part of the profits after making money for safety;

Regularly review and note the reasons for each loss.

Contract trading can make money quickly, but the premise is that you need to survive first. Practice with simulated trading, use small funds to experiment, and earn money within your understanding—this is the true "get rich quick code." #比特币流动性