Our weekly crypto derivatives analytics report delves into macro events; the current state of crypto and trading signals from spot trading volume; and futures, options and perpetual contracts.

At the start of the week, Bitcoin showed signs of decoupling from US equities. However, US president Trump's positive remarks about the US-China trade war (which had included a 145% tariff on Chinese goods) triggered a relief rally across markets. As a result, BTC has resumed moving up with US equities. 

This rally has led to a rise in short-tenor implied volatility and a recovery in BTC’s put-call skew, indicating that traders are seeking upside exposure.

Please check out the report’s highlights.

Perp open interest rises across the board

Perpetual open interest increased significantly this week across various tokens, especially ETH. Perpetual trading volumes also rose. Notably, Ap 7, 2025 recorded the highest trade volume of the month, following Trump's comment, "Forget markets for a second, we have all the advantages."

BTC option open interest shows a mixed picture; put-call skew in short tenor sends positive signals

President Trump’s recent willingness to negotiate a trade deal with China’s President Xi triggered a relief rally across asset classes, including crypto. Bitcoin had already risen 7% since Apr 21, 2025, prior to Trump's comments. Despite this rally, open interest in puts has outpaced calls, with options volume remaining relatively balanced. 

It's unclear if the demand for puts reflects a hedge against downside risks, or a bet against the upward movement. Meanwhile, perpetual funding rates are providing limited insight into sentiment. However, the recovery of the put-call skew at short tenors indicates that traders are seeking upside exposure to the rally — and are willing to pay for it.

ETH unexpectedly outperforms BTC in this relief rally

ETH's response to the recent crypto market recovery has diverged from previous trends: it outperformed BTC in spot prices, a rarity in past rallies, and open interest in calls exceeds that in puts — opposite to BTC's trend. In addition, ETH call open interest is nearly double that of puts, with calls dominating options volumes. This suggests traders anticipate ETH will reduce its significant underperformance against both BTC and other “ETH killers” like SUI and SOL. Additionally, the spot rally has led to another term structure inversion for ETH.

Advanced

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Bybit X Block Scholes crypto derivatives analytics report (Apr 24, 2025): Put-call skew recovers at short tenors, showing reviving sentiment

Explore all the hottest Bybit events happening during the week of TOKEN2049 Dubai in this article.

It’s that time of year again — TOKEN2049 Dubai is back, and the city is buzzing with excitement. As one of the most anticipated events on the crypto calendar, it’s not just about the main conference; it’s about everything happening around it, too. From side events and workshops to exclusive mixers and demo days, Bybit is showing up in full force this year. Here's your inside look at what to expect during this action-packed week.

The heart of TOKEN2049 Week, TOKEN2049 Dubai promises two full days of future-facing discussions and innovation in the world of crypto. At the center of it all is Bybit’s immersive booth experience, built on the theme 

. It’s not just a theme — it’s a vibe. Picture claw machines, 

If you’re heading to TOKEN2049 Dubai, be sure to drop by the Bybit booth (located at P33) and chat with our extraordinary Bybit team! And don’t miss your chance to grab a gacha token by scanning our QR code with Bybit Pay. You could walk away with exclusive Bybit merch! 

DMCC x VARA: Crypto regulations and business growth

Policy meets progress at this exclusive evening event co-hosted by DMCC and VARA. This gathering brings together regulators and industry leaders for an open discussion on the future of digital asset compliance and business growth in the region.

You can expect sharp insights, candid perspectives and forward-thinking dialogue about what it really takes to scale a crypto business in a regulated environment. If you care about the future of web3 in the UAE, this is one event to mark on your calendar.

Bybit After Hours: Exclusive Insights & Networking 

 is a private cocktail evening for top-tier traders and long-time supporters of Bybit. This event is equal parts networking, knowledge sharing and celebration.

 to strategic conversations with the Bybit team, this night is tailored to those who trade big and think bigger. With an invite-only guest list, it’s set to be one of the most exclusive experiences of the week.

The Crypto Hub x Bybit Crypto Ark Demo Day

 is all about bringing hands-on energy to the web3 scene. Hosted at the Crypto Ark inside Bybit’s office, this event welcomes founders, devs and crypto creatives for a casual evening of product showcases, idea exchange and light networking.

While Bybit provides the space, the real spotlight is on the community — those shaping the next wave of innovation in web3.

 from across the CIS region are gathering for a deep dive into the tools, tips and strategies that drive growth at Bybit. This meetup goes beyond surface-level sharing — expect actionable workshops covering our Bybit Affiliate program and affiliate best practices.

It’s also a chance to hear directly from Bybit product leads and regional managers, share success stories and walk away with fresh ideas to maximize conversions. 

Wunderbit x Bybit: “Hey, Trading Bot, where is my profit?”

 are here to stay — and this event is going deep into what makes them tick. Co-hosted by Wunderbit and Bybit, the evening workshop blends honest stories from real traders with expert insights on how to avoid common automation pitfalls.

From bot setups that work to the ones that quietly drain your profits, this is your chance to ask the tough questions, hear unfiltered answers — and maybe rethink how you’re running your own bot strategy.

 (RWAs) are taking center stage at the RWA Gulf Summit, a high-powered event co-hosted by Qatar National Bank, Commercial Bank International and DMZ Finance. This summit brings together bank leaders, wealth funds, participants in DIFC, institutional investors and industry pioneers to explore the evolution of tokenized finance in the Middle East and beyond.

Bybit’s Head of Financial Products Jerry Li will take the stage to discuss how 

 (CEXs) can harness RWAs for enhanced yield and 

Dubai's Pinnacle Mixer: Mantle, Mirana, Bybit and Ethena

High above the city, this mixer brings together some of the biggest names in web3 — Mantle, Mirana, Bybit and Ethena. Expect an unforgettable evening of casual chats, cross-chain connections and cocktails with the minds behind some of today’s most innovative projects.

This private event is all about experiencing Bybit Pay in action. See interactive demos, grab a sneak peek at upcoming partnerships and network over bites and drinks. It’s a rare behind-the-scenes look at the way Bybit is shaping the future of crypto payments. 

Wrapping up the week is the Bybit Institutional Symposium — a full-day event dedicated to aligning strategies with institutional clients and forging new collaborations. From macro views to product deep-dives, this conference is built to spark big conversations among serious players.

The day concludes with a gala dinner, a fitting finale to a week in which ideas, connections and innovation have taken center stage.

Intermediate

Bybit Learn Highlights What to Expect at Bybit

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Highlights: What to expect at Bybit (Apr 28–May 2, 2025)

Balance (EPT) is revolutionizing web3 gaming with evolving AI companions, blending blockchain, strategy, and intelligent gameplay in one powerful platform.

Artificial intelligence (AI) agents are a key growth area within the blockchain industry. Projects like Artificial Superintelligence Alliance (FET), 

 (AI16Z) and countless others have been essential components driving the overall crypto market. As of April 2025, the CoinGecko portal lists more than 500 cryptocurrencies within its category of AI Agents. These intelligent assistants are now helping individuals and businesses analyze markets, create textual and visual content, automate work processes and trade profitably.

There's a further area where AI agents on the blockchain are flourishing: the world of 

 gaming. In this sphere, bots and agents based on AI algorithms are helping users develop the best in-game strategies, succeed in the competitive world of play-to-earn (P2E) and overcome key challenges in complex gameplay.

Balance (EPT) is a blockchain gaming project that takes the use of 

 to a completely new level. The creation of the team at the world’s largest social gaming platform, E-Pal, Balance offers players AI agents that can aid them in the in-game environment and serve as their personal companions. Based on a multi-layer architecture, the platform offers some of the most cutting-edge use cases for gaming-oriented AI agents.

 (EPT) is a web3 gaming platform that allows players to easily create, own and use AI companions within the blockchain games it supports.

 Balance supports a variety of first-party (internally developed) and third-party web3 games. You can deploy your AI gaming companions and they’ll act as your assistants, friends or co-players within Balance games.

Using Balance.fun, the platform’s primary web interface, you can create your AI agents and specify various details, such as appearance, personality and functions.

Balance isn’t just another obscure crypto gaming platform. The origins of the project date back to 2020, when the E-Pal social gaming provider was launched by four young California-based technology entrepreneurs — Brian Xiong, Tung Pham, Yuzhe Norris Wang and Yuanzhe Li. E-Pal quickly became a leading force in the newly emerging social gaming field, helping players worldwide find gaming companions. By early 2024, E-Pal had become the world’s largest gaming companion platform, boasting 4.2 million users and 450,000 Epals (gaming companions).

In February 2024, the E-Pal team focused its efforts on 

 and AI technologies, starting the development work on the Balance gaming platform. In September of the same year, Balance went live.

Per the project’s documentation, the platform operates on its own chain, Balance Chain, with 

 (AA) technology used for cross-chain communication. The fungible and 

 (NFTs) held by user accounts are based on the 

A key part of the Balance ecosystem is Key Nodes — purchasable 

 that help with the processing, storage and distribution of data required in the resource-intensive environment of web3 gaming. Some applied instances are the management of real-time leaderboards and the automatic distribution of loot and in-game currency. These nodes can also support the computational requirements of training AI models. As a reward for their work in supporting the platform’s operations, Key Nodes receive a wide range of rewards and benefits, including distributions of EPT tokens, the platform’s native cryptocurrency.

As the ecosystem develops, Key Nodes are envisioned to be involved in governance, 

 launch in September 2024, Balance introduced its Points System, designed to reward early contributors to the platform. During the campaign run in September, users could earn points by completing various specified tasks in various activities, such as joining the project’s social media pages or commenting and reposting.

The 400 users with the best performance in the Points System earned a whitelist spot to receive Pioneer Badge NFTs — distinct tokens that provide owners with early access to games, future campaigns, airdrops and beta testing opportunities. Pioneer Badge NFT holders can also enjoy other benefits, such as premium NFTs and voting rights on the Balance platform.

Balance’s platform provides a set of tools to create and use intelligent companions for Balance-based games. You can design your AI companions by specifying their key traits and behaviors through custom prompts and strategies. The AI agents on Balance can assist you in battles, gaming contests, learning, routine task execution and interactive entertainment.

Balance’s platform is made up of five key layers, each one serving a specific purpose in supporting its user and developer communities. At the top of the architectural stack is the application layer, which acts as the main interface for users to interact with human and AI companions and the wider Balance community.

The application layer also contains the AI Battle Reporting System, which is designed to give users feedback and analysis tools on their performance in the platform’s gaming ecosystem. AI technology is leveraged here to provide personalized analytics and performance improvement recommendations.

A range of NFTs are also part of the layer. These include in-game asset NFTs, as well as 

 (SBTs) that serve as summaries of the holder’s achievements.

The platform layer hosts the various games within the Balance gaming universe. These include both internal games and third-party games that have partnered with Balance. The key concept uniting all of the games is the active integration of AI companions and AI players, making the platform a unique environment in which humans and AI agents play, interact and compete.

The platform layer also features an AI-driven NFT launchpad that offers a rich tool set for creating personalized NFTs for games and applications. These NFTs can be traded on Balance's NFT marketplace, which is also an integral part of the platform layer.

The protocol layer includes a trio of critical protocols — the Fans Protocol, Epal Fan Token (FT) Exchange Protocol and Asset Protocol. The Fans Protocol lets players launch and manage their Fan Tokens, creating opportunities for influencers and community builders to tokenize their efforts and launch high-potential crypto assets. Meanwhile, the Epal FT Exchange Protocol facilitates the management of (and trade in) Fan Tokens.

The third protocol, Asset, is used for the comprehensive management of a wide range of digital assets on Balance, providing easy-to-use tools for asset creation and trading.

The token layer is designed for core operations involving the platform’s native EPT token. This layer supports the use of EPT for in-game purchases, access to services and AI companions, Fan Token minting and trading, in addition to other functionalities.

This is the underlying infrastructural layer that powers the platform’s operational mechanism. It can be described as Balance's operating system, and is made up of several critical components: the node system, the Balance 

, the Balance Chain network and the platform's unique ID system.

The node system provides the computational and storage resources to power games and other functionality on Balance. In addition, the system acts as a key connecting medium between Balance Chain and the AA functionality that lets the platform enjoy cross-chain capabilities.

The Balance stablecoin, also part of the infra layer, is designed to reduce volatility and bring rate stability to the platform's gaming ecosystem. The Balance stablecoin system helps players engage in asset trading without the fear of wild market fluctuations, an important consideration in the 

Designed to support multiple chains, Balance Chain operates based on dynamic protocol adaptation, automatically selecting the optimal blockchain platform according to user preferences and needs. This dynamic adaptability is designed to reduce costs, improve operational speed and enhance overall security for users.

The final major component of the Balance infrastructure layer, the Balance ID system, is a unified and secure user authentication and identity management solution. To be introduced later in 2025, the ID system will let users access all services and games within the Balance ecosystem via a single set of cross-platform decentralized credentials. In addition to human players, also AI companions will have their unique IDs.

EPT is the native cryptocurrency of Balance. Although the platform has been operational since 2024, the EPT token was just launched on Apr 21, 2025, with a total and maximum supply of 10 billion. It was issued on two major blockchains — Ethereum and BNB Chain. EPT has a wide range of functional use cases on the platform, including the following:

The EPT token's supply allocation is per the chart below.

 as a swap pair with USDT, and through the exchange's 

 based on USDT. You can also take advantage of Bybit’s campaign dedicated to the token to grab a share of the 

Under the terms of the event, new users can earn EPT rewards by accumulating a deposit volume of at least 3,000 EPT, or by depositing at least 100 USDT and trading 100 USDT worth of EPT via their first spot trade with Bybit. Meanwhile, existing users can qualify for rewards by trading at least 500 USDT worth of EPT on Spot. The event is valid through May 5, 2025, 9AM UTC.

As of Apr 25, 2025, the EPT token has been on the market for only four days, and is trading at $0.0117, which is 26.4% lower than its ATH of $0.01708 on Apr 21, 2025, and 11.4% higher than its ATL of $0.01129 on Apr 22, 2025.

Long-term price forecasts for EPT are mostly bullish. DigitalCoinPrice 

 of $0.0412 in 2027 and $0.0615 in 2030, whilePricePrediction 

These and other emerging long-term forecasts for the token don't constitute investment advice. Given EPT's extremely short history on the market so far, 

 on the token's future prospects, carefully assess market fluctuations within the crypto gaming niche and consider all other relevant factors before investing in it or any other cryptocurrency.

Capturing emerging market trends and sensing the broader market conditions, the team at E-Pal recognized the tremendous potential of gaming companions back in 2020. Four years later, E-Pal realized that the new market dynamics in gaming called for something even more innovative — the use of AI companions, in addition to fellow humans. The resulting product, the Balance platform, is now racing to stake the claim to the best web3 gaming environment supported by AI agents.

The platform's unique features — cross-chain functionality supported by an AA mechanism, a dynamic exchange system that selects the best network for users' transactions and, most importantly, intelligent AI companions — can certainly help establish Balance as a leader in this niche of web3 gaming.

AI agents are taking the gaming industry by storm, with blockchain technology acting as a powerful enabler of these intelligent friends of ours. The Balance gaming universe — supported by the proven track record of E-Pal — has a great chance of becoming the go-to environment in which to befriend your next artificial gaming partner.

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Balance (EPT): Revolutionizing web3 gaming with evolving AI companions

Mantle has launched the Mantle Index Four (MI4), an institutional-grade fund providing diversified exposure to yield-bearing digital assets. 

The S&P 500 rose 2.03% on strong Alphabet earnings and optimism over a possible Fed rate cut. Gold jumped 1.5% to $3,338 as trade tensions rose and a weaker dollar, along with falling yields, boosted demand. Fed rate cut signals also supported the rally. The Coindesk Indices, which tracks the broader crypto market, rose 0.74%, with Bitcoin up 0.06% and Ether down 1.89%, in the past 24 hours. Trade these markets and more with up to 500x leverage on Bybit MT5 using this 

Today's top performer is INIT, up 15.4%, following the launch of Initia, which aims to revive the appchain concept with an interconnected network and an INIT token airdrop.

Initia (INIT), founded in 2022, is a modular blockchain platform that combines a Layer 1 network with customizable Layer 2 rollups, enabling scalable decentralized app development. It offers flexibility in virtual machines, gas tokens, and transaction systems, while ensuring interoperability and addressing issues like liquidity fragmentation and network congestion. Initia has 

 to revive the appchain concept by offering a network that integrates appchains in a cohesive, interconnected way. The platform emphasizes full-stack control for apps, avoiding fragmentation. Initia is also launching an airdrop with claims available until May 24, 2025. The native token, INIT, has a fixed supply of 1 billion, distributed across eight categories.

Check out the latest prices, charts, and data of 

, an institutional-grade fund providing diversified exposure to yield-bearing digital assets. In partnership with Securitize, which has tokenized over $3B in assets, the fund aims to fill a market gap by offering native yield generation in a traditional fund format. Mantle Treasury has committed up to $400M as the anchor investment. The fund will rebalance quarterly and incorporate DeFi-native staking strategies, such as mETH and bbSOL, while ensuring investor protections. MI4 targets both crypto-native and traditional investors, with Phase 1 rollout scheduled for Q2 2025.

Yesterday, BTC spot ETFs saw a total inflow of $114.7 million, all from non-GBTC funds, while GBTC recorded no flow.

Dolomite, the 10th largest DeFi lending app, is launching a 200M token 

 (20% of total supply) during its TGE on April 24, rewarding users based on platform usage. The DOLO token powers a three-token system alongside oDOLO and veDOLO, enabling incentives, governance, and potential revenue sharing. With over $800M in TVL, Dolomite expands to Berachain, integrating with its Proof of Liquidity system to offer advanced lending features and asset utility.

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Mantle launches MI4 fund for institutional-grade digital asset exposure and yield generation

Trading

Explainers

Leverage is a common but often misunderstood concept in crypto trading. Read all about it here.

Picture this: you’re a crypto trader and you’ve just discovered a powerful tool that can amplify your profits without requiring a massive investment. Sounds too good to be true, right? Welcome to the world of leverage trading in crypto! By using borrowed capital, traders can maximize their buying or selling power and potentially reap significant rewards. But with great power comes great responsibility, and understanding the ins and outs of leverage trading is crucial for success. In this post, we’ll unravel the mystery of “what is leverage in crypto trading”, explore its benefits and drawbacks, and share essential risk management strategies to help you navigate this thrilling opportunity.

Leverage trading in the crypto world, especially leverage trading crypto, can revolutionize your trading experience by allowing you to open larger positions with less capital, thereby maximizing potential profits and making your capital more liquid. To understand how leverage trading work, keep in mind that this trading approach comes with potential risks. Larger losses can happen if the market takes a turn against your position.

This section offers a comprehensive look at the basics of leverage trading, comparing it to margin trading, and shedding light on the functioning of leverage within the crypto space.

Leverage is a powerful tool that enables traders to increase their exposure to cryptocurrencies, allowing them to borrow funds and open larger positions than they would with their own capital. By employing leverage, traders can capitalize on market movements by holding either long or short positions, opening the door to potentially significant returns. But remember, higher leverage comes with amplified risks, including accelerated 

 if the market moves against you. Ultimately, the aim of leverage trading is to significantly boost your total asset value.

Wondering how to safely harness the power of leverage? Striking a balance between risk and reward is the key. More experienced traders may opt for higher leverage, but for those just starting out, lower leverage might be a more prudent choice. By keeping a close eye on market conditions and employing proper risk management strategies like setting stop-loss orders, you’ll be well-positioned to reap the potential benefits of leverage trading while minimizing losses.

 and leverage trading may seem like two sides of the same coin, but there are key differences between the two. Margin trading is a type of leveraged trading where traders borrow funds from a broker to trade assets, while leverage refers to the ratio of borrowed funds to the trader’s capital. Both margin and leverage trading offer exciting opportunities to capitalize on market movements, whether you expect the asset’s price to rise or fall.

Perpetual trading with leverage, for example, offers the potential for greater returns. However, it’s important to be aware of the risks associated with it, such as the high multiplier and greater chance of a margin call, especially if the asset being traded is highly volatile.

The best way to maximize your profits in a leveraged trade is to carefully assess the market situation before increasing your collateral. Grasping the differences between margin and leverage trading empowers you to make informed decisions and select a trading strategy tailored to your needs.

Capitalizing on leverage trading in crypto requires an initial capital, which is a collateral deposit, the amount of which depends on your selected leverage ratio and position size. The maintenance threshold (or maintenance margin) is the minimum margin that must be maintained for trades to ensure you don’t miss out on any potential profits. The maintenance threshold is the minimum margin that you need to keep in your account. If the market moves against your position and the margin falls below this level, you’ll have to make a further deposit of funds into your account. Otherwise, your position will be liquidated.

This section provides guidance on account funding, choosing the right leverage ratio, and opening long and short positions using leverage.

Funding Your Account and Choosing Leverage

To use leverage in crypto trading, you’ll need to follow these steps:

When choosing a leverage ratio, it’s essential to strike a balance between potential profits and risks. Here are some key considerations:

Leverage enables you to open both long and short positions in the crypto market, providing opportunities to capitalize on market movements, irrespective of whether you anticipate the asset’s price to rise or fall. A long position is when a trader believes the asset’s price will increase, while a short position is when a trader anticipates the asset’s price will decrease. In both cases, leverage can help traders maximize their potential profits by enabling them to open larger positions than their own capital would allow.

For instance, if you open a long position with leverage and the asset’s price increases, you can potentially profit from the price difference when you close the position. On the other hand, if you open a short position with leverage and the asset’s price decreases, you can potentially profit by buying back the asset at a lower price than you initially sold it for. By understanding the mechanics of opening long and short positions with leverage, you can make the most of the opportunities presented by the crypto market.

Benefits and Drawbacks of Leverage Trading in Crypto

Crypto leverage trading offers numerous benefits, including enhanced exposure to cryptocurrencies, the potential for higher profits, and capital efficiency. But it’s not without its drawbacks, such as elevated risks, the possibility of liquidation, and increased complexity for newcomers. It’s essential to weigh the pros and cons of leverage trading before diving in, and to implement risk management strategies to ensure a successful trading experience.

In this section, we’ll delve deeper into the pros and cons of leverage trading in the crypto world.

One of the biggest advantages of leverage trading in crypto is the potential to gain significantly by utilizing a smaller amount of capital to acquire assets with a higher potential return. By increasing their buying power, traders can open larger positions than they would be able to with their own capital, ultimately maximizing their profits.

Another benefit of leverage trading is the increased exposure to the crypto market. With leverage, traders can access a wider range of trading pairs and capitalize on market movements, whether they expect the asset’s price to rise or fall. This increased exposure can lead to larger profits, but it’s important to remember that it also comes with greater risks, making proper risk management strategies essential for success.

While crypto leverage trading presents substantial potential rewards, understanding the associated leverage trading risks is critical. One of the primary drawbacks of leverage trading is the higher risk of liquidation. If the market moves against a trader’s position and they are unable to meet the margin call, their position may be liquidated, resulting in a loss of their entire initial investment.

Additionally, leverage trading can be more complex for those new to the crypto market. Understanding the mechanics of leverage, margin requirements, and various trading modes can be challenging for beginners. As a result, it’s crucial for newcomers to familiarize themselves with the intricacies of leverage trading and practice on demo accounts before diving into real trades.

Key Risk Management Strategies for Leveraged Crypto Trading

Navigating the risks associated with leveraged crypto trading requires a well-thought-out risk management strategy. By implementing tools such as stop-loss and take-profit orders, position sizing, and continuous learning, traders can minimize their losses and maximize their profits while trading with leverage.

 strategies to mitigate the risks associated with crypto leverage trading confidently.

Stop-loss and take-profit orders are powerful risk management tools that can help traders minimize losses and protect their gains in leveraged trading. A stop-loss order is an effective risk management strategy that helps protect a trader’s position by automatically canceling it at a predetermined price, limiting potential losses. On the other hand, a take-profit order allows traders to close their positions and secure profits once their target price has been reached.

By setting stop-loss and take-profit orders, traders can manage their positions more effectively and reduce the likelihood of significant losses, especially when trading with leverage. These tools can be particularly beneficial in volatile markets, where sudden price movements can lead to significant losses if not properly managed.

Position sizing and diversification are crucial components of risk management in leveraged crypto trading. Here are some key points to consider:

Asset diversification in leveraged crypto trading can help reduce risk by spreading investments across multiple crypto assets. By diversifying their portfolio, traders can reduce the impact of any single investment on their overall portfolio, helping protect against potential losses.

Combining position sizing and diversification strategies can significantly improve risk management in leveraged trading, ultimately leading to a more successful trading experience.

Continuous learning and practice are paramount for successful leveraged crypto trading. By staying up-to-date with market trends, honing trading skills, and learning from mistakes, traders can gain valuable experience and knowledge, sharpen their strategies, and navigate the complexities of leveraged trading with confidence.

Demo accounts offer a great opportunity to practice trading without risking real money. They enable traders to get familiar with the trading platform, experiment with different strategies, and gain experience in using leverage, stop-loss orders, and taking profits.

Regular practice and staying informed about market trends and regulatory changes are essential for successful leveraged crypto trading.

Crypto Trading Platforms Offering Leverage

Selecting the right crypto trading platform is crucial for maximizing the potential of leverage trading. Different platforms offer varying leverage ratios and features, such as margin trading, futures contracts, and leveraged tokens. Additionally, regulatory considerations are important when choosing a platform for leveraged trading, as some countries have restrictions on certain trading modes.

This section will discuss some popular crypto trading platforms offering leverage, their features, leverage ratios, and regulatory aspects.

Crypto trading platforms present a range of leverage ratios and features, enabling traders to select the platform that aligns best with their trading requirements. For instance, Binance offers leverage ratios up to 10x for isolated margin trading and up to 3x for cross-margin trading. More experienced traders might prefer DeFi trading platforms like DyDx, which offer leverage ratios of up to 20x.

Some platforms also offer unique features, such as margin trading, futures contracts, and leveraged tokens. For example, Bybit offers lightning-fast execution, low fees, and up to 100x leverage on Bitcoin and other cryptocurrencies. FTX, on the other hand, provides leveraged tokens that offer leveraged exposure to the market without the need for margin trading.

By comparing platform features and leverage ratios, traders can select the platform that aligns with their risk tolerance and trading goals.

When selecting a platform for leveraged trading, taking into account the regulatory environment is crucial. Some countries have limitations on specific trading modes, which can impact your ability to trade with leverage. Furthermore, legal aspects of leverage trading can differ across countries, with some requiring exchanges to meet financial regulations.

To ensure a secure and compliant trading experience, it’s important to choose a platform that meets all necessary regulatory considerations, including KYC/AML compliance, licensing and registration, and security measures. By taking the time to assess these factors, traders can ensure that their trading experience is safe, secure, and in line with the regulations of their country of residence.

Real-Life Examples of Leveraged Crypto Trades

Examining real-life instances of leveraged crypto trades can offer valuable insights into the possible outcomes and risks tied to leverage trading. By examining successful and unsuccessful leveraged trades, traders can better understand how to navigate the market and implement risk management strategies to protect their investments.

This section will present real-life instances of both successful and unsuccessful leveraged crypto trades.

In a successful leveraged trade, a trader:

This example demonstrates the potential for increased profits when using leverage correctly. By closing the position at the right time and setting appropriate stop-loss and take-profit orders, traders can maximize their gains while minimizing their risks.

On the flip side, an unsuccessful leveraged trade can serve as a cautionary tale for the risks associated with leverage trading. In this example, a trader opens a long position with leverage, expecting the asset’s price to increase. However, the market moves against them, and the price of the asset decreases instead of increasing as anticipated. Due to the high leverage used, the trader’s position is liquidated, resulting in a loss of their entire initial investment.

This example highlights the importance of risk management in leveraged trading. By setting stop-loss orders, monitoring market trends, and carefully selecting leverage ratios, traders can minimize their losses and protect their investments in the volatile crypto market.

Leverage trading in crypto offers traders the exciting opportunity to maximize their profits with minimal capital investment. However, it’s essential to understand the risks associated with leverage trading and implement proper risk management strategies to protect your investments. By carefully selecting the right platform, leverage ratio, and trading strategy, and employing tools such as stop-loss and take-profit orders, position sizing, and continuous learning, traders can confidently navigate the thrilling world of leveraged crypto trading and make the most of the opportunities it presents.

Crypto leverage trading allows you to borrow assets and trade with additional assets at a multiplied leverage rate. If the transaction succeeds, your earnings are increased exponentially.

With 20x leverage in crypto, you can get up to 20 times your initial margin deposit. For example, if you deposit $1,000 in a crypto account, you could access a leveraged position of up to $20,000.

For a $10 account, it's best to stick with a low leverage ratio between 1:10 and 1:100. This way, you can avoid taking on too much risk that could quickly wipe out your small account.

Leverage trading in crypto gives traders the ability to open larger positions with less capital, allowing them to maximize their profits and make their capital more liquid.

What are the benefits and drawbacks of leverage trading in crypto?

Leverage trading in crypto offers the potential for higher profits and increased exposure to cryptocurrencies, but comes with higher risks and complexity that beginners should be aware of.

Unlocking the Mystery: What Is Leverage in Crypto Trading?

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