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AscendEX offers diverse trading modes for cryptocurrency investors. This guide explores the differences between spot, leverage, and futures trading, along with step-by-step instructions for using AscendEX’s platform.
Order Types in AscendEX
Before diving into trading modes, let’s clarify the four order types available across all AscendEX trading interfaces:
1. Market Order
- Definition: Executes immediately at the current market price.
- Pros: Guaranteed order execution.
- Cons: Slippage may occur due to price volatility.
2. Limit Order
- Definition: Sets a specific price for buying/selling. Executes only when the market reaches the specified price.
- Example: Buy BTC at $30,000 if you anticipate a dip.
- Pros: Precise price control.
- Cons: No guarantee of execution.
3. Stop-Limit Order
- Definition: Triggers a limit order once a stop price is reached.
- Use Case: If BTC drops to $29,000 (stop price), automatically place a limit order to buy at $28,500.
- Pros: Reduces emotional trading; combines technical analysis with execution.
- Cons: Complex setup; may not fill during rapid price movements.
4. Stop-Market Order
- Definition: Triggers a market order once a stop price is hit.
- Pros: Higher execution probability than stop-limit orders.
- Cons: Potential slippage.
Spot Trading (Coin-to-Coin)
What Is Spot Trading?
Spot trading involves buying/selling actual cryptocurrencies (e.g., BTC/USDT). It’s ideal for beginners due to its straightforward nature.
👉 Learn how spot trading works
Interface Walkthrough
- Navigate: Log in > Select "Trade" > Choose "Spot Trading (Standard)."
Key Sections:
- Trading Pair Selector: Choose your coin (e.g., BTC/USDT).
- Price Chart: Analyze trends.
- Order Panel: Place market/limit orders.
- Order Book & Trade History: View live bids/asks and recent trades.
- After Order Execution: Check your "Spot Account" under "Wallet."
Leverage Trading
What Is Leverage Trading?
Leverage allows borrowing funds to amplify positions (e.g., 5x leverage = $100 controls $500 worth of assets). Interest is charged hourly on borrowed amounts.
Margin Calculation Example
- Collateral: 1 USDT with 25x leverage = Borrow 24 USDT → Total position: 25 USDT.
- Minimum Margin: Varies by asset; monitor in the "Asset Summary" section.
Interface Walkthrough
- Navigate: "Trade" > "Leverage Trading (Standard)."
- Transfer Funds: Move USDT from your spot to leverage wallet.
- Place Orders: Similar to spot trading but with leverage adjustments.
- Monitor: Track borrowed funds and interest in your "Leverage Account."
Futures Trading
What Are Futures Contracts?
- Perpetual Contracts: No expiry (e.g., BTC/USDT perpetual).
Margin Modes:
- Cross Margin: All account funds act as collateral.
- Isolated Margin: Per-position collateral (limits losses to one trade).
Interface Walkthrough
- Navigate: "Derivatives" > "Futures Trading (Standard)."
- Adjust Leverage: Up to 100x (high risk!).
- Place Orders: Use stop-loss/take-profit tools for risk management.
- Monitor: Check "Futures Account" for P&L and margin levels.
Key Takeaways
- Beginners: Start with spot trading to understand market dynamics.
- Advanced Traders: Use leverage/futures cautiously—volatility risks are magnified.
- Unique Edge: AscendEX lists emerging altcoins early, offering growth opportunities.
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FAQ Section
Q: What’s the minimum deposit for futures trading?
A: No fixed minimum, but ensure sufficient margin to avoid liquidation.
Q: How is leverage interest calculated?
A: Interest compounds every 8 hours on borrowed amounts.
Q: Can I switch between cross/isolated margin?
A: Yes, adjust per position in the "Current Holdings" tab.
Disclaimer: Trading cryptocurrencies carries substantial risk. This guide doesn’t constitute financial advice. Always conduct independent research.