Why Margin Trading?
Margin trading allows confident traders to open positions that are potentially far more profitable than they would otherwise be able to access. A successfully closed position at 100X leverage, for example, will yield 100 times more profit than a position opened via a “normal” trade.
Margin trading Bitcoin and other cryptocurrencies also allow strategic traders to generate profit in a bear market by opening short positions. A trader that anticipates a significant price dip, for example, could potentially commit a portion of their portfolio to a short position in order to generate a profit that offsets the potential loss incurred by a major price dip — if closed successfully.
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