Bitget Isolated and Cross TradingApril 27, 2023
Bitget Funding FeeApril 27, 2023
You’ve probably seen the word leverage thrown around a lot in articles about cryptocurrency trading.
If you’re new to futures trading, leverage is a must! to know about it.
In this article, we’ll take a look at leverage on Bitget.
What is leverage?
Leverage can easily be thought of as ‘investing with debt’.
It means that you can borrow funds from the exchange to trade with more than you have on hand in order to maximize your profits.
BitGet offers leverage of up to 125x, meaning you can trade with up to 125x your investment.
Why use leverage?
Leverage allows you to trade with more funds than you have in your exchange account.
If you invest 1,000 USDT with 10x leverage and the price of a cryptocurrency increases by 1%, you will make a profit of 100 USDT.
If you invest 1,000 USDT with 10x leverage and the price of a cryptocurrency decreases by 1%, you will lose 100 USDT.
While leverage can significantly increase your returns, it also increases the risk of your investment.
That’s why it’s important to set the right leverage based on your available funds and risk level.
How to use Bitget Leverage
- Fund your Bitget account
- Set the margin mode ( isolated / cross )
- Set the leverage you want to use.
- Set the price and quantity you want to trade, then open the position you want.
Bitget Leverage Cautions
- Leverage increases the return on your investment, but it also increases the risk of your investment, so setting the right leverage is very important.
- When trading with leverage, set a loss limit that you can afford to lose, and don’t trade beyond it.
- Don’t start trading with high leverage from the start, use low leverage to gain experience.
- Always set a stop loss order to limit your losses in case the price moves unfavorably.
- Trading with leverage can yield high returns in the short term, but it may not be in line with your long-term investment strategy.
In this article, we learned about leverage on Bitget,
Leverage is a powerful tool that allows traders to potentially make bigger profits.
While it is a tool that can increase your return on investment, you should always be aware that it also increases the risk of your investment.
It’s important to choose and use the right leverage for your investment strategy and goals, and to minimize your risk by setting a loss limit that you can afford.