Today in the square I saw someone say $ETH that closing showed a profit, but the overall wallet balance did not increase. The following example illustrates this. This is because the profit and loss seen in the position history does not deduct fees. In reality, the profit is less than what is shown, and the loss is more than what is shown.
If you want to accurately check the profit and loss of this order, you need to click on the transaction history and find any sub-order of that contract. (When using one-click closing, it actually uses small orders to fill the orders.) Multiply that fee by two to get your actual fee, because you are charged once for opening and once for closing. The fee for market orders is 0.15%, and for limit orders, it is 0.2%, as shown in the figure below.
So-called market price eating orders means placing orders or closing positions at the current best price. For example, if the current price is 0.5 and you fill in 0.51 to go long, since it's above the market price, it will match at the market price, resulting in a transaction fee of 0.05%. Going back and forth will be 0.1%. If you open a position of 1000u, the fee will be 1u, and if you can't earn back 1u when you close the position, you will incur a loss. A limit order only executes when the specified price is reached. Assuming the latest price is 0.5, we set a limit order at 0.49 to go long, which will only execute when the price drops.
If you frequently open positions, the cost of transaction fees is very high. Currently, the compliant commission rate is 20% off, which means for 1000u of transaction fees, you get back 200u. This money is additional income when you are profitable and a hope for recovery when you are at a loss. Therefore, I suggest friends who haven't tried it yet to give it a shot. The easiest way is to use a family member's information to apply for a new account. Playing on your own account is just keeping it to continue alpha, and they don't affect each other.
Spot｜Contract 20% off invitation code: BNB9890
Additionally, apart from skilled traders, for contracts, you should just treat them as tools for arbitrage, and don't expect them to make money. According to the data, less than 3% of accounts can be profitable in the long term from contract trading. Small amounts of capital can be used to practice, or if you want to experience it a bit, that's fine. Large funds should definitely be put into wealth management or purchasing spot assets. For spot trading, only BTC, ETH, and BNB are recommended. If you feel the gains from these three are not satisfactory, then consider purchasing their ecological tokens like STG, STX, or ENA. The most stable method is to buy during significant drops and avoid trading during normal times.
The same goes for spot trading. We usually trade at market prices, which is 0.1% of the transaction amount. Limit orders are 0.075%. For example, when I bought BNB, the transaction fee was already deducted, and when I sold, I was charged another 0.1%, totaling 0.2%. This data is actually quite high, because alpha only has a 0.02% fee. Therefore, many swing traders may prefer to trade alpha coins, but the risk of alpha coins is very high, so only small amounts should be played with.
If you have good loss control in the alpha trading competition, you can try participating in spot trading competitions. The profits there are actually very high, but it relies heavily on rebates. You need to fill in an invitation code to get a discount on transaction fees. Otherwise, blindly trading with your account's funds will lead to significant losses. Generally, it's not a quick in-and-out situation; you can do some swing trading, ensuring that each time you sell, the price is slightly higher. Big funds + skilled players can participate, but I don’t recommend it for beginners, as it still involves many aspects. The main thing is that rewards usually take a month to be issued. We can start by doing some basic tasks, like buying 501u and then selling 501u, which can randomly yield median + ranking rewards.
The contract challenge is the same. Without rebates, just do basic tasks, which can still earn you a bit. Participate as needed. If you’ve been losing money recently and don’t have a systematic way to make money, I only recommend playing around with airdrops and participating in platform activities. Learn first before diving into these.
Quoting Lang Lang:
A wave of market, a trade, regardless of success or failure, in your long career, among millions of trades, it is but a drop in the ocean. Do not be carried away by a single success, nor regret too much over a single failure.
A calm mind is always the strongest weapon for a professional trader. When you become impatient, blind, fearful, or anxious due to changes in the market and your assets, regardless of profit or loss, you have already lost. The waves of the market will infinitely amplify your emotions, leaving you exhausted and then delivering a fatal blow.
This must be saved. Everyone should really look at it when trading, as it can avoid impulsively opening positions many times. Position management is the most crucial thing that affects your survival time in this market. I entered the circle back in 2021 and initially encountered losses on 519. Although I later made back that money, I went all in on an altcoin, which then dropped tenfold, leading to a total loss and exit. Protecting your capital is very important! It is your ticket to enter a bull market. Don't be discouraged by temporary gains or losses; extend your timeline and only make certain profits.
Finally, I want to mention that this thing itself is quite contradictory. The smaller the capital, if you don’t go all in, your principal won't grow, and you won't make any profit. Many people advocate playing contracts mainly because they have too little money. With spot trading, a 10% or 20% increase yields minimal returns, and now the overall price of altcoins is much higher than a few years ago, leaving limited room for growth, with many varieties. There aren’t really any dividends left in this area. So, the launch of alpha is truly a revolutionary product for retail investors. Even if it’s now on the edge of capital preservation, for a high-risk market gamble, preserving capital is already quite incredible. After seeing He Yi's today’s tweet, I am more impressed by Sister Yi's big vision.
