#SpotVSFuturesStrategy
In todayโs Trading Strategies Deep Dive, weโre exploring the key differences โ and tactics โ behind Spot vs Futures trading in crypto.
๐ข Spot Trading:
Buy or sell the actual crypto asset. Itโs straightforward โ no leverage, just ownership. Ideal for long-term holds or building positions gradually.
๐ต Futures Trading:
Trade contracts based on price movements, often with leverage. This opens up opportunities to profit in both directions, but also increases risk.
๐ Strategy Breakdown:
Spot: Focus on accumulation, trend following, and strong entry zones. Prioritize capital preservation and long-term upside.
Futures: Emphasize precision, timing, and tighter risk controls. Leverage magnifies gains and losses โ so disciplined stop-losses and sizing are critical.