Crypto Trading in CFDs

[ramonoaferina]

Hello guys,

There is another way of trading Cryptocurrencies aside from trading on exchanges. You can also trade them in CFDs. It is less prone to hacking compared when you use exchangers and the great thing is, you don't really need to own a specific coin e.g. Bitcoin to trade cryptos. You can also use leverage to provide your trades with more buying power and get more profit. Say, you deposited 1000USD and have a leverage of 100:1, you can trade with as if you have 100,000USD in your account.

But leverage can be a double-edged sword. Yes, it could give you a lot of profit in one trade but it could be the opposite when you made a wrong trading position. That is why it is very important to plan your trades and manage your leverage well.

I'd like to know what you think of this. I would very much appreciate it.

Thanks a lot,

[Renaldi blackspadeteam]

of course, leverage can be a double-edged sword if you are not lucky to use it for crypto trading, but if you are lucky in predicting the right price on the asset price in the crypto market, then leverage is useful to increase profits

so my advice is to use leverage only for predictions that 99% will definitely win.

[enawati]

Crypto Trading CFDs is margin trading that will be more risky than spot trading, we have to try it first in demo account to know how many times of leverage and the lot we should be use. With more higher volatility than price action of forex , the good idea to use leverage in crypto margin trading is 3x to 5x leverage.

[manggis97]

Based on research about 79% trader loss in CFDs trading because of leverage, so for beginner trader is better try first trading on the spot market. I just try crypto trading CFDs but I'm got loss because price action of crypto difficult to predict.  I think we should be use only 10% of money for margin trading and 90% for trading on spot market.

[adaseb]

You are better off just using a broker like Bitmex or Bitfinex. Usually those CFDs are bucket shops and they usually trade against you.

If you frequent the forex forums you will find lots of bad reviews about this brokers because they generally expect you to lose money and if you make money they will halt your withdraws or close your account or just force liquidate you out of a position.

If you are worried about keeping BTC inside an exchange then just trade the Bitcoin futures which is by regulated brokers, but don't use CFDs.

[wayancrypto]

Crypto trading CFDs only for expert trader that has more skill about risk management, because by use leverage the risk will be more high. I has been try CFDs trading in forex and crypto pair but i get difficult to make profit consistent. For newbie trader is recommended to trade on spot market without any leverage.

[karungbitcoin]

Use leverage 100:1 in crypto trading is very risky because as we know the fluctuacion of crypto already very high, in my opinion the normal leverage for crypto margin trading is 3:1. In margin trading we not need to use high leverage but the more important thing is how to earn monthly profit consistently although we can make only 10% monthly.

[wayaneka]

If you thinking you have more knowledge to predict the trend of crypto market, so margin trading in CFDs is good way to make money. With leverage we can maximum the potential profit. Iam also interesting to learn more about crypto trading in CFDs by try first in demo account to test my knowledge about technical analysis and risk management, and i using broker that offer low spread, like OCTA FX.

[traderethereum]

I don't think that to deposit 1000USD is a good idea because, in Bitmex, we can use only 0.001 btc because I already tried it before. Besides that, Bitmex already has its reputation, and I still use it until now. But I know that it will be difficult to learn about margin trading especially if we use the leverage because it will take time before we can understand how it works.

[cryptocointrade.com]

Hello guys,

There is another way of trading Cryptocurrencies aside from trading on exchanges. You can also trade them in CFDs. It is less prone to hacking compared when you use exchangers and the great thing is, you don't really need to own a specific coin e.g. Bitcoin to trade cryptos. You can also use leverage to provide your trades with more buying power and get more profit. Say, you deposited 1000USD and have a leverage of 100:1, you can trade with as if you have 100,000USD in your account.

But leverage can be a double-edged sword. Yes, it could give you a lot of profit in one trade but it could be the opposite when you made a wrong trading position. That is why it is very important to plan your trades and manage your leverage well.

I'd like to know what you think of this. I would very much appreciate it.

Thanks a lot,

CFD is definitely an option. However, there is no CFD broker that offer 1:100 in leverage for cryptocurrencies. It has been reduced to 1:2 to maximum leverage for crypto by the serious actors like eToro, Markets, Plus500 and Avatrade.

For 100x leverage on crypto, you need to find a futures trading platform like BitMEX, PrimeXBT or DeltaExchange.

You can read more about trading platforms and more about crypto trading on Cryptocointrade.

[Pook-sapot]

That is very much obvious and is something I highly prefer given that I trade in Forex for years now, and I am not sure how you call leverage as a double-edge sword. If you are not capable of handling it then you are simply not capable to be a trader.

I will NEVER prefer exchanges much at all, as they don’t bring the comfort you need not just in terms of the structure but also on several other points. So, I prefer Crypto Broker only instead of exchanges and most people are slowly to understand that.

[BitHodler]

CFD is definitely an option. However, there is no CFD broker that offer 1:100 in leverage for cryptocurrencies. It has been reduced to 1:2 to maximum leverage for crypto by the serious actors like eToro, Markets, Plus500 and Avatrade.

For the sake of people not burning themselves on mad leverage multipliers, it's amazing to see the more reputable platforms only offer low to acceptable leverage multipliers.

Crypto is super risky on its own already, and people are looking to add even more risk by going x50 or even x100 on BitMEX. It's retarded, especially within a market that has no serious depth levels during its current bear cycle.

From crypto being a risky asset class people have gone to crypto being a boring asset class. 100x leverage is purely the result of supply and demand. We didn't have this back in 2013/2014....

[sedahan13]

Margin trading for crypto asset is more risky than others asset like forex because the fluctuacion already very high. With leverage our money can be going to zero, in my opinion margin trading only good for forex pair because the fluctuacion is very low. Never be greedy in margin trading and we should be have target profit maximum 25% amonth, because more high target profit is mean we will take more risk that make our balance going to margin call.