All to know about Binance Futures
On Binance Futures, the maximum leverage is 125x. This futures market has a bigger number than other ones, and you can use a successful investment strategy there. It is expensive to buy one Bitcoin right now. Assume that one bitcoin costs 10 million won. An investor with 80,000 won in Binance Futures might manage their investment and purchase 10 million won with that amount by employing 125x leverage. Furthermore, depending on the situation, a wide range with high maximum leverage allows for a variety of responses. 바이낸스 has been used by many people around the world for its benefits. Binance Futures offers you all the features that you need to make sure that all the trading happens smoothly and is happening in an efficient manner as well. So, in order to know all about Binance Futures, you need to understand how it works and how it is used. This is so because it will give you a much better idea about the platform and will allow you to understand it properly so that you can gain every possible benefit from the same. Well, let us now take a look at the same to understand better.
How are Binance Futures used?
Before you can trade on Binance Futures, you must be familiar with its basics.
Margin trading depends on the investment, but because it uses leverage, it necessitates a sufficient response during the entire investment.
There are six main types of orders available in Binance Futures trading.
- Limit Order
- Market Order
- Tracking stop loss
For example, when placing a stop-limit order, the limit price becomes the limit price when the order is placed at a price lower than the current price. The limit price also becomes the limit price when the order is set at a price higher than the current price. The alternative is to sell. A stop-market order is executed at the current market price and functions conceptually similarly to a stop-limit order. By keeping track of your stop loss orders, you can modify your Stop Loss automatically when your position is profitable. Risk can be managed when the flow of the chart is obstructed. When the balance falls below the maintenance margin, the trade is closed (margin call). The term “balance” refers to the amount in your Binance Futures account. A maintenance margin is the minimal amount required to maintain a position. This depends on the size of the area. Large maintenance margins are necessary for significant positions. In typical spot trading, if you invest 10 million won and have a 50% loss, you lose 5 million won. But gifts are distinctive. It will be worth 100 million won with a 10 million won margin and a 10 times leverage setup. However, in this scenario, you run the risk of losing all of your margin even with a 10% loss. Contrarily, it is evident that the profit is also sizable. Position liquidation was found (margin call).