Crypto Trading 101 - Beginners Guide to Crypto.

1. Welcome to Crypto Trading 101: My name is Alex and I'm very excited to welcome you in this class, crypto trading fun one. I have created this class, especially for those who are getting into crypto to help you guide you in this world of cryptocurrency. In this class, I will show you how you can check a project. How can you set up a decentralized wallet, how the order system on exchange works, how you work with crypto. Also we will be talking about what is blockchain and what is cryptocurrency. With that being said, let's start our 2. Lesson 1 - What Is crypto currency?: Welcome to Lesson one of crypto trading 11. Today, we are going to explore the basics of cryptocurrency, what is it and how it works and why it matters. Cryptocurrency is a type of digital and virtual currency that uses cryptography for security. This means it's protected by complex code that makes it difficult to hack or fake. The key thing to understand is that cryptocurrencies aren't controlled by government or banks. It is called decentralization. The most famous example of cryptocurrency is Bitcoin, which was launched back in 2009. But there are now thousands of other cryptocurrencies available. So what can you actually do with cryptocurrency? First, you can use it to buy goods and services, just like you would do with traditional money. You can also invest it hoping that its value will increase over time or trade on various exchanges for profit. Finally, cryptocurrencies allow you to send money globally quickly and with lower fees than traditional financial systems. Now, key features of cryptocurrency. First, decentralization. Cryptocurrencies aren't control by government or banks, giving people more control over their money, security and transparency. Thanks to blockchain technology, every transaction is securely recorded. And transparent for everyone to see. This prevents tampering and fraud. Investment opportunities. Many people buy cryptocurrencies as an investment, hoping the price will rise over time. Types of cryptocurrencies. There are many different types of cryptocurrencies, each with its own purpose. Bitcoin, known as a digital gold, it is first and most well known. Ifium on the other hand is not just a currency. It's also a platform that developers use to create the centralized applications. Then there's stable coin, which are tied to the value of traditional currencies like US dollar to reduce price volatility. And there is mimic coins. Mm coins are super risky, super profitable, and there is a lot of scams there. So if you are new to cryptocurrency, try to avoid them. So how does cryptocurrency actually work? Cryptocurrency operates on the block chain technology, which is like a public ledger, where every transaction is recorded, unlike traditional banking, which relies on middlemen, cryptocurrencies operate on peer to peer network. This means that transactions are made directly between users and verified by minors or validators, ensuring the network security. So why cryptocurrency is important? Cryptocurrency is important because it empowers individuals to have more control over their assets. It reduces the need for traditional banks and opens up financial system to people worldwide, especially those who are underserved by the existing system. This democratization of finance is one of the main reasons crypto is seen as a game changer. In SEM Cryptocurrency is a new form of money that decentralized, secure, and changing the way we think about finance. Understanding its basics is your first step towards becoming a confident crypto trader. In the next lesson, we will dig deeper into the technology behind it, the Blockchain. 3. Lesson 2 - What is Blockchaine?: Welcome everyone to our second lesson. Today, we are going to talk about blockchain. I'm excited to get started on this journey with you. Today we'll be diving into one of the most fundamental concepts in crypt currency, the blockchain. We will cover what blockchain is, how it was created, and how it works. So what is blockchain? Blockchain is a digital ledger or record book where every transaction is recorded. But unlike a traditional ledger, controlled by bank or a company blockchain is decentralized. This means that it's not controlled by any single entity. Instead, it is run by a network of computers all around the world. Now you might wonder, why is it important? It's important because it makes blockchain extremely secure and transparent. Once a transaction is recorded on a block chain, it's there permanently. No one can go back and change it, which is why we say blockchain is immutable. Another key point is that blockchain can be public or private. For example, block chains, for example, Bitcoins blockchain is public. Anyone can see the transactions happening, but block chains can also be private. Where only certain people have access, which is useful for businesses. Let's now talk about how blockchain was created. Blockchain technology was first introduced in 2008 by a person or a group using the name Satoshi Nechamo. Satoshi is the creator of Bitcoin, the first crypto currency. The main goal of creating a blockchain was to solve a problem called double spending. Double spending is when somebody spends the same digital currency twice. Traditional systems like banks solve the spy being the middleman who keeps track of everything. But that requires trust in the bank. Satosha wanted to remove the need for middlemen. By creating a system where people could transfer money directly to each other securely and without needing to trust anyone. This is where blockchain comes in. With blockchain, trust is built into the system. It creates what we call trustless transactions, meaning you don't need to trust a person on the other end of the transaction. The blockchain takes care of it. Now let's talk about how block chain actually work? It might sound complex, but I will break it down into four simple steps. Step one, when someone makes a transaction like sending Bitcoin to a friend, that transaction is grouped together with other transactions into what we call a block. Step two, that block is then sent to a network of computers around the world. Cold nodes. Those computers work to verify the transaction. And make sure everything is correct. Step three, once the block is verified, it's added to the chain of previous blocks. This is why it's called a block chain. It's literally a chain of blocks that are linked together. Step four, once the block is added to the block chain, that transaction is completed. It's permanently recorded and no one can change or delete it. So to sum up, block chain works by verifying and recording transactions. In a decentralized way, making it secure and transparent. So why the crypto glossary is important. Before we wrap up today's lesson, I want to remind you all how important it is to understand the crypto terminology. You can find a linked file as a handout. In the description of this lesson, I really suggest you to read it and try to memorize some of the terms. That's our introduction to blockchain. Today we have covered what blockchain is, how it was created, and how it works. I hope this has given you a solid foundation to build on as we move forward. And remember, understanding blockchain, and the cryptoterminology is a key to mastering cryptocurrency. If you have any questions or need for clarification, feel free to ask. I'm here to help you every step of the way. 4. Lesson 3- What is Coinmarketgap? : Welcome, everyone to our lesson on cryptotols. Today we are going to explore one of the most essential resources in the world cryptocurrency coin market gap. This platform is phouse of data that provides real time information on thousands of cryptocurrencies, including their current price, trading volume, and market capitalization. As a trader, staying on top of market movements is crucial. Win Market gap gives you access to the big picture which coins are trading, what their history price looks like and where they might be We here, you can see that we have a classification of all our coins. They are structured by number. So by this number, you can see if the coin is popular or not. It's 100 top coins. You can see really, really famous projects in crypto. But if we go further, you can see that we will find a lot of sheet coins on this website that is not even tradable. Let's go to page 99, and you can see that here we are looking at coins with volume of $5 609 coins nobody talks about. So this is a great place to research a coin you are planning to trade. Now you might be thinking, How do I use it effectively? Don't worry. We'll cover that. We'll go over how to navigate the platform, search for specific coins. By the end of this lesson, you'll be comfortable using Wi Market gap as a daily tool in your trading journey. As we move forward, I'll show you how to interpret key metrics like market gap, trading volume, and circulating supply. Understanding these numbers will help you access potential of a cryptocurrency before making any investment decisions. You can see our price our change for 1 hour, 24 hours, seven days, our current market gap. Are trading volume and a total supply. And over here, you can see the graph. If you click on a cryptocurrency, you can see more details on it. Over here, of course, you can see the market gap, volume, circulation supply, total supply, and maximum supply, our full market gap, and official links, website, white paper, Gitab, the socials of the project, and other interesting data like all time high and all time low. For bitcoin, I wish I had some at this price. Okay, also, we can search a coin. Let's search something that has came up today, for example, hamster, we can see Hamster combat. You can see that at the moment, the current market gap is almost half 1 billion. We are at 110th place, and by volume, we are in 21st place. Here we can see our circulating supply, our total supply, our maximum supply, website, white paper, social accounts like X and telegram, RID, and over here we have the same data about all time low and all time frame. So these two is really useful. Let's go back. Finally, you will be able to find the link to coin market gap in the description of this. 5. Lesson 4 - Create your DEX wallet: Welcome back, everyone. Today's lesson is about wallets, specifically decentralized wallets like exodus and meta mask. If you're serious about securing your cryptocurrency, learning how to properly use these wllets is essential. Let me start by asking. What exactly is a wallet in the crypto world? Well, a crypto wallet is your gateway to securely storing, sending and receiving digital as. But unlike traditional wallets, you are not storing physical money. Instead, you are securing digital keys that give you control over your funds. There are two main types of wallets, custodian and non custodian. Custodian wallets, like those on exchanges, mean somebody else. Typically, the exchange holds your private keys, but the centralized wallets like Metamask and Exodus, give you full control over your private. That means you and only you are responsible for securing your fund. By the end of this lesson, you understand how to set up, use, and secure your descentriza bot, giving you full control over your cryptoassets. Make sure to check the description for links to Metamask Exodus and some handy guides on wallet security. We will start with Metamask, a browser extension wallet that connects you to the decentralized web. Also, it's available on Android and IRS. So now let's set up our Metamask wallet. Let's download it for home. Okay, at opera, head extension. Okay, so we have add our wallet to Opera. Now let's go to the wallet. Okay, let's agree and create our first crypto wallet. Okay. Agree. Now we will need to create a password with minimum eight actors. Let's do it simply like this. Numbers 1-9. Okay. Create a wallet. So this is the instruction how we should secure our wallet. I will be playing it so that you have the idea. Metamask is a new way to connect to sites and applications. On traditional websites, a central database or bank is responsible for controlling and recovering your accounts. But on Metamask, all of the power belongs to the holder of a master key. Whoever holds the key controls the accounts. Your secret recovery phrase is your master key. It's a series of 12 words that are generated when you first set up Metamask, which allow you to recover your wallet and funds if you ever lose access. It's important that you secure your wallet by keeping your secret recovery phrase very safe and very secret. If anyone gets access to it, they will have the master key to your wallet and can freely access and take all of your funds. To secure your Metamask wallet, you'll want to safely save your secret recovery phrase. You can write it down, hide it somewhere, put it in a safe deposit box, or use a secure password manager. Some users even engrave their phrase onto a metal plate. Nobody. Not even the team at Metamask can help you recover your wallet if you lose your secret recovery phase. If you haven't written down your secret recovery phrase and stored it somewhere safe, do it now. We'll wait. And remember, never share your secret recovery phrase with anyone, not even us. If anyone ever asks you for it, they're trying to scan you. That's it. Now you know what a secret recovery phrase is and how to keep your wallet safe and secure. Okay, this is our recovery phrase. Let's see it. Okay, you can see that our phrase consists of 12 words. You should write it down and nobody should have any access to those words. This is a test wallet, so no problem for you to sit. Okay, so let's click next. Now you will need to verify that you have recorded your recovery phrase. Let's do it. In. Number three is broken. And number eight is think. Okay. Confirm. Okay, so we have successfully created our first decentralized wallet using Metamask. And I forgot to tell you that metamsk natively uses etherium block chain, but you can add different block chains to it, like smart chain and Arbitron and many more. So let's continue, Okay. Okay, so we have successfully installed our meta Mas. Continue, continue. And you can see that our account is ready. Over here, you can see your balance, your balance in United States dollar or any other currency you prefer. You can change the currency from settings. I think also you can change the language. Let me see. Okay, so here is our currency. Yes, you can select the language you prefer. I will stick to English. Okay. And over here we have buy and sell, send swap, swap will talk separately. Breach option is an option. To send tokens from one block chain to another, we'll talk about it later and information about your portfolio. Over here, you have tokens, NFTs, if you want to get any collections, your activity, so you can see that there is no activity at the moment, but we will continue working with this wallet and you'll see how everything is worked. Also, we can see that there is option for staking an efiium. If you go to Metamask portfolio, there is an option to stake a fium but we will talk about staking in a separate class after we will be done with trading. And since we have installed our application, you can see that we can access it from our extension. I suggest you to pin it so that you have easy access to your meta like this, and we have all the tools we have here we have in our drop down window. This is how you install Metamask. Okay, over here, you can see that we have averio main net and you can add other networks over here. We'll be creating a separate program on how to work with all de enterprise wallet. This will not be included in this class. Now I'm just showing you how to create it, and in future, I'll show you how to use it for basic things. Okay, now let's move to Exodus, which is a multi currency wallet that also integrates with hardware wallets or extra security. A quick reminder, the most important thing in the world of crypto is to never share your private key or sit phrase. Let's create Exodus wallet. We'll need to go to download. In Download, you have multiple options. You can use desktop, mobile or web point free. Wallet, which is for our browser, let's download it. Okay, at home and extension, Okay, you can see that Exodus wallet has been outlet. Let's create a new wallet. Okay, so let's create a password for our Exodus wallet. It requires more security than the meta mask, so I will be using a more difficult password with some letters. Okay, we are done. Okay, let's continue. So our wallet is ready. Yes, perfect. It is not backing up by a seed phrase yet. We'll need to do it right now. Okay, to back up our wallet, we'll need to go over here, back up your wallet. Okay, next, next, next. Okay. I understand. Let's enter password so you can see backup. Raise view, reveal. Okay, this is our seed for this wallet. Okay, this is backup ras. And now we'll need to check if some of those words match our Word file. Let's check forest. Okay, so forest, we have none pent 20? No, we don't have 2010. Yes, we have ten at number nine, and Wisdom we have not. Okay. Okay, so we are done. Our wallet is backup by our backup phrase. So over here, you will need to click on wallet and you can see all the assets supported by Exodus. It's a decentralized wallet, so you are holding your funds on your own risk. But on the other hand, the plasfd you don't pass any KYC. So this is how you create an Exodus wallet. Both Exodus and Metamask are herble on Android and vest. Make sure to check the description for links to Metamask, Exodus, and some handy guides on wallet security. This is all on decentralized wallets. 6. Lesson 5 - What is Tradingview: Great to see you all again. Today, we are going to dive into a tool that every successful trader use trading view. If you are serious about analyzing the mark and making smart trading decisions, mastering this platform is a must. So what exactly is trading view? Let me open. Mine, I hope I will not get you too much confused. So this is how my trading looks like. This is a Bitcoin chart on balance. So what exactly is trading them? It's a charging platform that allows you to perform technical analysis, monitor price movements, and develop your own trading strategies. Whatever your day trading or investing long term, understanding price charts and indicators is crucial. To start, I will walk you through the basics of setting up, trading your account. Then we'll dive into fun part, analyzing a price chart. First, let's create our trading account. To do this, you can use a link in our class that will forward you to trading Q. You will need then to click get started. You can sign up for free by sign up for free. This is perfectly enough for start and you will be able to access the platform. There is also a paid versions. So before selecting any of those programs, I suggest you first to wait for a discount. They usually give them a few times in one or two months, and it's like 30-50% off, which is a bargain. I personally use premium since I have a lot of charts, and also we have, let's say, signal groups for different actions on the market that I'm using, and that's why I'm using more expensive plan. For any student, this plan will be more than enough if you would like to go with paid version, but again, three version is mostly fine. So clean app. Okay, so it's your basic thing, email and password. I'm not going to some since I have an account. I think this will be straightforward for any user. But again, use the free version to start. That is more than enough. After you have sign up, you can use a web version or you can download an application for your PC, Mac, IRS device, or Android. It works on everything. In our classes on trading few show how to set up this layout. But now I want to explain you a few things. What is our key measures over here that we are using. Or here you can see our chart of Bitcoin at the moment. Why I'm using Binance. My personal suggestion to you when you are trading any coin on any exchange doesn't matter where you use a Binance chart. Why? Binance has more liquidity than other exchanges, and it allows you to make, let's say, the most accurate forecast for the price because if on the binans the price will go up on other exchanges, what it is going to do? Yes, it will go up as well. But if the price will go down on the binans, the same will happen with other exchange. So monitor binans. This is the safest thing. On trading fuel, we will have another class when I will show you tools everything. Today, my target is only to make you familiar with this platform. And of course, I will show you how to type this beautiful layout. At the moment I think it could drive you crazy and you thinking, Okay, Alex, everything is cool, but what is it? Okay, so I will show you everything. I hope you have studied the cryptolosry, and you are familiar with the terminology I'm going to use at the moment. So first, you can see over here is our chart. This is the most important thing we have, as far as you can see, we have a huge grow on Bitcoin. This is a 15 minute chart. You can change the time over here, but I don't. I'll be using 50 minutes. Here is our chart. Let me make it bigger. Over here, we have our EMA 30. This is our average price for less 30 candles. MA 100, which is our average price for 100, of course, A 200, which is average price for 200 candles. This is from my point of view, one of the most important indicators we will use in our trading. Over here we have our Aside and RMG. Over here, you can see our price. Also, there is a technical analytic system created by trading F. If you go in more technical stuff, you can see what is happening over here. This will study separately. I'll do a little less to you. This might help you a lot. Over here, you select your pair. For example, if you want to switch to efferium, you put I US the T, and you can see all the exchanges supported by trading Q. I will be using Binance, and you can see what is happening with efiium over here. Over here, we select time frame type of candles. I'm using classical candles. You can use whatever you prefer. It can be volume candles, how candles, bars, whatever you like lines. Depends on your trading preference. Indicators, alerts, replay, we will cover all this stuff in a separate class because we will have a separate class only on technical analysis when we going to maybe it will be even the biggest class we will have because technical analysis is the key to everything in trading. So this is how our trading queue looks like. The link for the trading u will be in our lesson, you should create your account and in our first lesson of trading queue, which is coming very, very soon. You will need to set up your trading view from start. Personally, I will recommend you to use a laptop or a PC. Any type of computer doesn't matter because on the computer, you have a huge display real estate, and for trading view, it is a huge advantage. You can do it on a mobile device, but it's a little bit struggle. Technical analysis is a skill that takes time, you must. But with trading few, you have all the tools you need to start practicing and improving. Again, all the links to trading few are in the description below. So in our next lesson, we're going to talk about exchanges, and you'll be able to select the best exchange that works for you. So let's keep up. 7. Lesson 6 - Order Types on an Exchange.: Or one, welcome to today's lesson. Today we'll be talking about order types on Binance exchange, while Binance offers many different types of orders, we'll be focusing on the most common used ones limit and market orders. As they are essential for spot trading, we will be discussing futures market in the next part of our course. So what is a spot market? To start, let's define what the spot market is. The spot market is where you purchase an asset directly into your portfolio. If you buy a token and the price goes up, you make a profit. If the price fails, you lose your money or wait until the price returns. Basically, you purchase, you own the asset, and then you decide if you want to take profit, if there is a price jump, or you want to keep it and use the technology or maybe some other utilities that this token has. Now let's talk about how to access the spot market on Binance and go over some key parts of the user interface. To access spot market, you will need to go over here to trade and select spot. This is our user interface. First, you'll see trading pairs like BTC USDT. This means you are buying Bitcoin and paying with USDT. The first asset is the one you're buying and the second is the one you are paying with. Over here, we have our order book. The order book is divided into sellers at the top and buyers at the bottom. If you want to buy instantly, you can click on the active price like this. You can see our price has changed. And the order will be fulfilled immediately. So it's basically like doing a market order in this case. What is another? Another is simply a command you give to exchange to buy or sell an asset. There are several types of orders you can place. So let's explore the key ones. The most popular order is limit order. A limit order is perhaps the most popular. It allows you to set a specific price at which you want to buy an asset. However, it's important to note that the completion of limit order is not guarantees. So here how it works. Let's say we would like to buy Dodge coin, go to Dodge coin. Over here, you can see now I'm able to select Dodge coin with USDT pair. Okay. So here is our dodge coin. Let's say you want to buy Dodge coin at 0:08 cents. And we want to buy how much 93 dodge coins. This means if Dutch coin price drops to $0.08, your order will be executed. This is a grade for those who don't want to constantly monitor the mark. You can set the price and walk away. So let's create our order. Like this. Our order has been successfully created, and over here, you can see that we have our order. To buy Dodge with our USDT at a price of $0.08, the amount of Dodge coins we should receive if the price drops will be 93. The amount we use for this is $7.44. And if you decide to cancel your order, you can cancel it over here, and you will not pay any fees. So let's cancel our order. Similarly, you can use a limit order to sell. This is a great way to fix your profit. For example, if you bought Dodge at $0.08 and want to sell it then when it reached let's say 12, you can set a sell limit order. Like this, let's go zero, 12. And here we will sell, let's say, 80 Dodge coin. But we don't have them on them. Amount will need to buy it later, and it will execute when the price reaches the level. Limit orders are ideal if you want to buy or sell at a specific price and are willing to wait for the market to reach your price target. Next type of order that is really popular with new traders is market. A market order is a very popular among beginners because it allows you to buy or sell an asset immediately at the current price rate. However, market orders can be less effective during periods of high volatiity as the price you get may not always be what you expect. It's a similar and fast order type but may not be the best in rapid changing market. The plus of this way of trading is that your order is executed instantly. For example, let's purchase some Dodge coin B. You can see that our order is executed, and we have 65 Dodge on our balance. The same goes for sale, we can sell Dodge coin instantly over here. Select sell Dodge, and we have successfully sold our dodge coins that we've purchased recently. So this is an tool that allows you to sell instantly on the market rate. The only thing you should be careful when the volatility is high because, well, if high volatility, bad things happen. So be safe. Now let's talk about stop limit order is a more advanced type, but very useful, it combines the functionality of stop loss and limit order. Basically, what does it do? When you select a stop price, this is your trigger. If market price reaches your stop price, for example, 11.5, your limit order is executed. For example, you want to buy for 12, or if you want to buy for eight, let's say $0.08, let's set our trigger for eight and our buy price at $0.08. Okay, so what does it say? Let me select some amount. So if the price reaches 0.85 cent, then open a limit order for eight cent per one Dutch coin. And when we decide to buy, here we have our confirmation. When we can see the same, trigger at 8.5 and purchase is at eight. Here we have our total amount of dollars that we'll use and estimated fee that we'll pay to the exchange. This type of orders is great for profit taking. So let me explain. Let me Okay, so for example, imagine that you have purchased your asset over here, yes? And the price is going up and you are creating a stop limit order. How can this for example, you say, if the price reaches this mark, sell over here. So for example, it's going up up up up and then starting to fall, your order is being created, and this profit be in your pocket. So this is why this is really useful for profit taking, as well as purchasing coins at a specific price if the market hits your target. So let's go back to balance. So stop limit orders are used for protecting profits or limiting losses by automatically buying or selling actions when certain price conditions are met. Finally, there are some more advanced order types that are not used as frankly such as trailing stop and COC orders, which you can find over here. Oh, sorry. Over here. I would highly recommend starting with small amounts such as $10 to place a few orders and get comfortable with the process. Watching how your orders are executed in real time will help you develop your trading skill and build confidence in using those types of orders. Also, few things I would like to add. Over here, you can see we have other data like change in 24 hours high, low and volume. This is useless data as well as market trade because nobody cares how much anyone sold or bought at the moment. There is some applications on telegram that can give you a good information about big orders, but about those small orders here, basically, you don't care. And over here, we can select our coin. And select the type of market we need. There is also specific markets for USDC and USDT. Let me close the doc. Okay. So you can see if you select UDT, only USDT pairs, open, if you select USDC, only UC parts. Open. We will be working with USDC and UDT depending on the situation. This is the main currencies we are working with as our base currency. Another thing. This graph, we're not going to use it. You can use it as trading. I think there was trading data and all. I think there was a trading few option here, but maybe, sorry, over here, there is a trading few option for this graph, but since we're using trading few four classes, you will not be needing to do anything on this interface. That wraps up today's lesson on order types in the bin and spot market. We have covered limit, market, and stop limit orders. Each of those has its own purposes and use cases. So understanding them and how to use them is essential for successful trading. You must master limit, market, and stop limit orders. They are the orders that you will be using in your everyday trading. Also, I will upload a full study material on each order separately. Please go through those materials, study them so that you understand the theory behind each order that will help you a lot later, feeling more, let's say, comfortable with the trading panel. Oh, that's all for today. Thanks for joining. And remember. Practice makes perfection. 8. Lesson 7 - How does futures work?: Hello one. Welcome to this lesson. Today we'll be diving into derivatives market, and specifically futures trading on bins. We'll cover what futures are the risks involved, why they are useful, and how to navigate the platform. In previous lessons, we went over order types. So if you haven't reviewed those yet, I highly recommend you to do so. This lesson will give you a basic understanding of futures without going too deep. We'll have an entire module dedicated to derivatives later. Where we'll fully explore future trading and how to trade them efficiently. So if you are using your cell phone, you will be able to find futures menu at the bottom at your icons for Binance. If you're using website, we'll go over here and you can see two types of futures. USD N features and coin futures. USDMFutures are features that are contract settled in USDT and USDC which is in USdllar. And coin and futures contracts settle cryptocurrency. They are more volatile, and that's why we are not going to use them in our classes. We'll be working only with USDMFutures. Let's open them. Okay, so this is our classical. Many of you probably remember it from our trading view of Binns spot market. First, I would like to explain to you what is the difference between spot and futures market. On the spot market, you buy a coin and become its full owner. As long as you store it securely, it's yours and no one can take it from you. You can think of this as bank product from a store. On it outright. Futures, however, are different. When trading futures, you are not buying a coin itself. You are buying a contract. Essentially, this is a bed between you and the exchange. Those contracts can be those contracts can be perpetual or have an expiration date. But the core idea is the same. For example, in classes, we are using only for example, in our class, we'll be using only perpetual orders since they are not expiring. Over here, you can type Bitcoin, bit SM and you can see that there is unexpirable futures, and over here you can see there is a quarterly delivery and bi quarterly delivery. What does it mean? Expity based contracts have an expiration date. For example, you could buy a contract on Bitcoin with an expiration in the third quarter of 2024. When the date arrived, if your bit was correct, you earn a profit. If not, you lose your difference. On the other hand, we will be focusing on perpetual futures over here because I don't recommend you using expity based contracts due to the lack of significant advantages. Perpetual futures don't have an expiration date, making them much more flexible. Okay, so over here you can see. So over here you can see we have selected our per option for bitcfuurs. Here is our price, our price difference for 24 hours, and over here, our indexes, which we don't care about them. But over here, you can find something called funding and Cund. What is funding? Basically, what does it mean? If on the market, shirts are more than longs, then the ones who hold shirts, pay this fee to the ones who hold longs and vice versa. Pretty straightforward. Over here, we have R 24 high, low volume, basically data you don't need. Over here is our order book, and over here we have our orders. Nothing special here, but on the top, we have type of margin. Margin can be cross and isolated. You can see that in my region, since in you, it's some kind of new restriction we cannot use isolated. Margin, we can use only cross. So what does it mean? Gross margin allows your entire account balance to act as a collateral. If you enter a trade with $100, and get liquidated, your entire balance could be affected, not just the initial $100. The way of trading that I'm using is isolated, and I will show you on the other exchanges when I have access to this future, how does it work? But the principle of the isolated margin is like this. Isolated margin limits your risk to the specific amount you've invested in a trade. If you enter a trade of $100, so you cannot lose more than that unless you manually add more I highly recommend using islatd margin because it limits your potential losses. That is why I'm using key sex since ki sex allows everything by default and doesn't have any restrictions based on my region. So let's select Cross because we have no other option. And over here, we have leverage. This is tricky part. Leverage allows you to borrow funds to increase the size of your position. For example, if you have $100 and you want to trade with more, you can use leverage. So let me explain what is leverage. Let's go here. Brush. Okay, so imagine you have $100 on your account. But you are not achieving a fest result with those hundred dollars. Yes, you can go to the exchange let's say Bonus or any other. And as the for, let's say, leverage of ten hicks. So what does it mean? You have $100 and Binance will give you a ten hicks. With ten hicks, now you can trade with $1,100. Where 100 is yours and 1,000 is given by bins using the leverage mechanism. So how does it work? However, leverage accelerates your result. The higher the leverage, the faster you reach liquidation. For example, with leverage ten like this, a 10% drop in price will result in liquidation with 25 only 5%, with 52.5, with 100 only 1% and about 125 I don't want even to speak. It's bad. And let me open one position to show you how does this liquidation look? Let's buy along. Okay, so over here is our position. You can see the liquidation price. Liquidation is the first closure of your position when you lose all the margin you've invested. This happens when you trade goes against you, and the margin supporting your position is depleted. To avoid liquidation, you can add more margin, which will move the liquidation point further. In this case, we are in cross, so we are unable to do so. But with isolated margin, you will be able to do this. Let me explain how this works. Okay, so this is our position. For example, you enter over here, let's say with your thousand and 100. Okay. So we have entered here, and we are going long hoping that the price will reach, let's say this position, but the price is trading trade drinking and falls below our entry point and then below the current trend that we have here. So below our support, basically. So what will happen? You have your $100.01 thousand from Binance. When your $100, let's say, over here, will get depleted. So you Minus $100. Finance will close your position and your account balance will be depleted and they will return their money back to them. So basically, you can trade with their money as long as you have coverage for them. When you lose the coverage, due to some kind of market movement, your trade is being liquidated. So remember, leverage is not a magic solution, and I strongly advise you against using high leverage until we've completed our risk management lesson. Let's return to Binance. So when you are trading, your target is not to get at the moment the most dollars. Your target is to get the best percentage. I personally recommend you if you trade Bitcoin. This is how I do it. I work with maximum Hix ten or hig 15. This is the leverage I use for Bitcoin for other coins, like light coin or some smaller coins, guys, from this to this. Hicks three Hicks five. Hicks five for coin, in some cases, is a huge risk. So with leverages, you should be careful. The pluses from my point of view, the obvious benefit of future that I can see that you can profit from price increase and price decrease. This allows you to profit from movement in both directions, but leverage make it more risky. So please be careful. Also, over here, you can set up your stop loss and take profit, which is obvious for, let's say, take profit. Let's do 69 and for stop loss, 65 500. Okay, let's apply our stop loss. You can see our stop loss has applied. You can also close your position using Market Order or limit order, which is from my point of view, is pretty obvious. Market is instant close and limit will be closed on reaching some specific price target. That's it for today's lesson on Binance futures. We've covered what futures are, how margin works, and the risk of using leverage. Always, use is lated margin if you can't. Limit your losses and be caution with leverage, especially high leverages, as it can lead to quick liquidation. If you have any questions, feel free to ask me in the chat. Also, if you want to close your position, simply don't forget, you can do it by clicking Market Close. And your position will close at the current market price. Thank you for joining today's lesson, and I look forward to seeing you in the next one. 9. Congratulations on finishing the class: Well, you have successfully finished crypto trading 11. Now you know what is block chain? You know how to place an order on Spot Market on Binance, you know how to create a future order, you know what is leverage. You know how to check a project using coin market gap and many other things. I hope this class was useful for you and I was able to guide you into the world of crypto. Thank you for watching. You can check my other classes on different cryptotpics and I hope you enjoyed this class. Thank you and take care.