Bitcoin dips below $6600 ,contract trading, the best way to speculation???

[Bitget Future]

Tuesday Dec. 17 - Bitcoin is retracing rapidly from around the $6,950 price mark to below $6,600 in the past few hours.
BTC is showing a loss of nearly 5% for the day.

However, the contract trading users can get more profits if they judge the right direction?What do you think about contract trading,is it the best way to speculation???

[mk4]

When you say contract trading I assume you mean leverage trading, through longs and shorts and such.

Anyway, sure! You can short bitcoin on leverage exchanges like BitMEX, and potentially make money when the price drops. If you think it's that easy though? You're wrong. Majority of people trading bitcoin/cryptocurrencies lose their money, and especially when trading on leverage. You might as well go to a casino instead.

[pooya87]

just like any other specific trading strategy, leverage trading also requires specific market conditions. so yeah, right now due to the small downtrend that we saw shorting bitcoin became more profitable but the biggest problem with shorting is that bitcoin's overall movement direction is upwards not down. so the number of times when it becomes profitable is very little not to mention that with small drops like this, the risk of it is a lot more than the reward which may not justify using this strategy at all.

[avikz]

When you say contract trading I assume you mean leverage trading, through longs and shorts and such.

Anyway, sure! You can short bitcoin on leverage exchanges like BitMEX, and potentially make money when the price drops. If you think it's that easy though? You're wrong. Majority of people trading bitcoin/cryptocurrencies lose their money, and especially when trading on leverage. You might as well go to a casino instead.

Contract trading doesn't mean leverage trading! It means derivative trading which is essentially a contract executed between exchange and the trader where a trader assumes the future price of the underlying assets and locks the contract with the exchange. Read more on the below link,

https://www.investopedia.com/terms/d/derivative.asp

To op, contract trading is mainly used by the seasoned traders. It is structurally more complicated and comes with a fixed date of expiry. It is definitely a good method of speculative trading only if you know the nitty gritties of it!

[romero121]

Tuesday Dec. 17 - Bitcoin is retracing rapidly from around the $6,950 price mark to below $6,600 in the past few hours.
BTC is showing a loss of nearly 5% for the day.

However, the contract trading users can get more profits if they judge the right direction?What do you think about contract trading,is it the best way to speculation???

Contract traders are also the same as the normal way of trading in my view. With contract trading a contract is made between the trader and the exchange which means if the prediction goes right he'll be profited and this is a kind of gamble with the price variation of bitcoin. With common form of trading instead of a contract the trade is set to be executed when specific value is reached.

[CodyAlfaridzi]

Tuesday Dec. 17 - Bitcoin is retracing rapidly from around the $6,950 price mark to below $6,600 in the past few hours.
BTC is showing a loss of nearly 5% for the day.

However, the contract trading users can get more profits if they judge the right direction?What do you think about contract trading,is it the best way to speculation???

Yes, leverage trading can be a good tool for making money in all kind of market movement, both bullish and bearish. The thing is, it's very risky and require a great amount of knowledge to be able to survive. Otherwise, you're just giving free money to other trader lol. One of the most useful tool is technical analysis. A lot of good trader that I know rely their trading based on TA only. So it's a good way to start learning TA before trading.

[piebeyb]

Tuesday Dec. 17 - Bitcoin is retracing rapidly from around the $6,950 price mark to below $6,600 in the past few hours.
BTC is showing a loss of nearly 5% for the day.

However, the contract trading users can get more profits if they judge the right direction?What do you think about contract trading,is it the best way to speculation???

whenever people can do unlimited speculation, sorry I don't quite understand contract trading, is this similar to margin trading, guessing short or long, if it really will benefit, this is not easy actually if they have no experience in trading, because this is not gambling games but need to be able to analyze what is using large capital, it is not recommended for novice traders to play contract trading like this, if in a quick profit I think contract trading can be profitable or can also be detrimental for novice traders

[Darker45]

Tuesday Dec. 17 - Bitcoin is retracing rapidly from around the $6,950 price mark to below $6,600 in the past few hours.
BTC is showing a loss of nearly 5% for the day.

However, the contract trading users can get more profits if they judge the right direction?What do you think about contract trading,is it the best way to speculation???

It highly depends on where you are more comfortable and familiar. It may happen that a certain trader is more comfortable analyzing daily price charts rather than weekly or monthly charts, and vice versa. Speculations could be done within short or long time frames. Some traders are even more comfortable with scalping. So it's up to you really.

But either way, there is really no guarantee that choosing contract trading over spot trading or leverage trading or whatever forms of trading will earn profit instead of loss. Although if the price of BTC is at the bottom I guess it is when contract trading is at its safest or best position if you speculate a higher price in the next several months.

[ubercool]

Leverage trading is good when you have good knowledge of the market as well as money to spend on. There are many exchanges now which are basically made for leverage trading and trying very hard to manipulate the market based on what people are speculating.

[panganib999]

If you're familiar with how leveraging works, feel free to do so. They have a lot of space to actually profit right now, with how BTC goes down ONLY IF, BTC would actually go up well enough. But well, we all know it would so eh. Entering at this point could be a profit from them, but the same goes for normal traders, but at the same time, the risks are also larger for them. And besides, looking for the bottom at this point is the goal for traders right now, so entering is entirely up to traders themselves.
Leveraging always gives out profit if predictions are made correctly, just like how normal trading works, but with just more possible returns and risks involved.

[Polar91]

Contract traders are also the same as the normal way of trading in my view. With contract trading a contract is made between the trader and the exchange which means if the prediction goes right he'll be profited and this is a kind of gamble with the price variation of bitcoin. With common form of trading instead of a contract the trade is set to be executed when specific value is reached.

This means that they just invested the same way as it goes with the generic way of investment or trading. In this regard, I don't see the best out of speculation using contract trading, because you could possible obtain what you could have in the standard way so why to ask for other options? Would it be just make things worse and complicated? Unless the profit that you could get will be comparably higher that the usual ROI. But it is still depends on a person on how he/she will utilize his/her investment to gain more.

[Bitget Future]

When you say contract trading I assume you mean leverage trading, through longs and shorts and such.

Anyway, sure! You can short bitcoin on leverage exchanges like BitMEX, and potentially make money when the price drops. If you think it's that easy though? You're wrong. Majority of people trading bitcoin/cryptocurrencies lose their money, and especially when trading on leverage. You might as well go to a casino instead.

Contract trading doesn't mean leverage trading! It means derivative trading which is essentially a contract executed between exchange and the trader where a trader assumes the future price of the underlying assets and locks the contract with the exchange. Read more on the below link,

https://www.investopedia.com/terms/d/derivative.asp

To op, contract trading is mainly used by the seasoned traders. It is structurally more complicated and comes with a fixed date of expiry. It is definitely a good method of speculative trading only if you know the nitty gritties of it!

Thanks for the explanation！
I am new to contract trading.Currently I am following a relatively friendly exchange for newbies. It is called Bitget.

https://www.bitget.cc/en/

Someone mentioned BitMEX before, but I think it looks too complicated.I think contract trading is more professional and requires a lot of knowledge.

[perfect999]

Contract trading or You mean derivative trading? Derivative trading is when traders speculate on the future price movement of an asset, they are just booking profit and not buying the asset, and this is what I know as contract trading. If you want to do derivative trading, for example binary options, you still have to do some proper analysis because it's not as easy as you think, you can still lose your money in it.

Bitcoin price reduced yesterday, but there has been a bit of an increase in the last 24 hours of over 2%. I am seeing predictions that there will be another decrease in price, but I don't know for sure.

[Febo]

Tuesday Dec. 17 - Bitcoin is retracing rapidly from around the $6,950 price mark to below $6,600 in the past few hours.
BTC is showing a loss of nearly 5% for the day.

However, the contract trading users can get more profits if they judge the right direction?What do you think about contract trading,is it the best way to speculation???

They also lose more if their prediction is wrong. Price of Bitcoin is already volatile enough. You dont need to add even more risk by margin trading. It is more like gambling then trading.

[btc_angela]

Tuesday Dec. 17 - Bitcoin is retracing rapidly from around the $6,950 price mark to below $6,600 in the past few hours.
BTC is showing a loss of nearly 5% for the day.

However, the contract trading users can get more profits if they judge the right direction?What do you think about contract trading,is it the best way to speculation???

They also lose more if their prediction is wrong. Price of Bitcoin is already volatile enough. You dont need to add even more risk by margin trading. It is more like gambling then trading.

For some, they really can't separate the line between gambling and trading here. They thought that you need to take everything at risk in order to win. However, that is not the case, trading takes lot of practices and you don't need to over complicate things like contract trading. It is unpredictable, and hard to judge which direction it would take even if we use TA.

[Bitget Future]

Tuesday Dec. 17 - Bitcoin is retracing rapidly from around the $6,950 price mark to below $6,600 in the past few hours.
BTC is showing a loss of nearly 5% for the day.

However, the contract trading users can get more profits if they judge the right direction?What do you think about contract trading,is it the best way to speculation???

They also lose more if their prediction is wrong. Price of Bitcoin is already volatile enough. You dont need to add even more risk by margin trading. It is more like gambling then trading.

For some, they really can't separate the line between gambling and trading here. They thought that you need to take everything at risk in order to win. However, that is not the case, trading takes lot of practices and you don't need to over complicate things like contract trading. It is unpredictable, and hard to judge which direction it would take even if we use TA.

Also because of this，Bitcoin is like an elf dancing, and no one knows what it will do in the next second.
Maybe derivative's value comes from the fluctuations of the values of the underlying asset.