Margin trading in crypto good or bad?

[itsik78]

This is bad for me. Of course, there are advantages for a trader with a small capital. However, the risks associated with margin trading are much higher: if the price of a cryptoactive asset seriously goes down when trading to increase, then when it reaches a certain critical point, a trader may lose his entire deposit due to margin. -call - forced broker to close the transaction when a certain drawdown is reached on it, if the trader has not added additional funds to the account. If borrowed funds are threatened, the exchange has the right to deduct the loss from the margin account deposit.

[1714761401]

1714761401

[manojpatelme]

I think margin trading has both there merit and demerits but if you ask me I will not go for it because it has more demerits then merits ... It's just like gambling where the change is more to loss your all investment.

[Schirer]

leverage does not make the asset more or less volatile, it is just an financial instrument, it is your choice to use it or not.
Also i am not sure that there is asset behind leverage trading or is it just a representation tied to assets value.

[mr.robot8]

if you find an exchange in which you trust that it does not do maintenance in the less indicated moments the margin trading can be an additional tool in the help of traders to avoid any losses

[tridverju]

The market is young and volatile and I do not know if it is a good idea to start using margin trading. It contains a lot of risks but can give you an amazing profit, if you can analyse the market. If you want to risk and gain big profits, that margin trading is for you.

[Asmh85]

Certainly Margin trading is more profitable but the  high level of profits associated to high risk as well.in my opinion you don't need to margin trading because the crypto market have  enough high volatility for profits.

[Jatawneh]

in alts  price move with a good % at lest 10 to 50% in all cases so no need for leverage to make profit.
but if price move down 1 to 5 % down if you are in leverage position,  it is a big lose.

[msbtrooper]

I can't advice crypto traders to use margin trading because the market is already volatile and as a business minded person, you should be mindful of probability of negativity or loss.

[Leenwar]

Margin trading has a high risk level and may not be suitable for all investors. You can sustain a loss of some or all of your initial investment and therefore you should not invest money that you can not afford to lose.

[anatolykarpov]

We can't say good or bad but it's risky as hell like gambling.
If you are not ready to lose your money, please don't step in.
Exercise on testnet of bitmex first

[seo-maestro]

Margin trading in crypto is too risky and most traders will be margin called because there is huge prices volatility. I don't recommend use margin more than 5x leverage but DYOR!

[anobtc]

You have also seen in the cryptocurrencies market that it is difficult to use technical analysis in predicting price trends. So the margin trading is the same as you gamble, the odds are 50/50.

[terible.hunter]

This question concerns many people in cryptocurrency today, I still think that for me margin trading is a great opportunity, so I always vote for margin trading, because it is an opportunity that should not be missed.