Many traders are looking for Bitcoin leverage trading to maximize their profits. You must do margin trading or crypto derivative trading to get a leverage.
Many people start to trade crypto with very high leverage too early. They are trading without having the knowledge of what leverage is and what fees are associated with leveraged products.
However, this will no include you since you will learn the basics in this crypto trading guide.
In this article, we will guide you through what crypto leverage is, where you can find the highest leverage and what are the risks associated with leverage trading.
Remember that leverage trading impose higher risk for trading. Always commit time for proper risk management. We created a guide for crypto trading risk management.
Where can I Trade Crypto with the Highest Leverage?
So, there are many trading sites offering crypto with high leverage. However, there are many new and shady business offering such products as CFD Bitcoin trading and Binary options. We recommend to stay with the largest trading sites becasue you will get the best security, the best trading features and the lowest fee.
Here we list the platforms where we have traded with Bitcoin leverage products.
What is Bitcoin Leverage Trading?
Bitcoin leverage trading is the use of borrowed Bitcoin to invest. By borrowing money, investors can trade larger positions in a currency.
For example, if a trader releases an order of $100, taking a leverage of 10x, the value of that specific position would grow towards $1.000.
However, if the price decrease with 10% you have lost you $100 and the position will be liquidated.
What risks are associated with Bitcoin Leverage Trading?
Although many would benefit from this tool, lenders and borrows alike, there are high crypto trading risks associated with bitcoin leverage trading as well.
Cryptocurrencies are a very volatile market, where changes and trends occur in the matter of few hours, if not minutes. Thus, as one can earn 10x more profit so can he/she lose as well. If a trade for $100 occurred under 10x rate with 10% of negative price trend, entire order would be lost.
Beginners should first educate themselves about the market before using this tool. Many a starter lost entire savings by trading with emotions while using large leverage rates.
Also, its important to understand how the fees are charged by the trading site. Since you borrow money when you are trading with leverage you must pay a fee, or a interest, on the borrowed money.
Look on our favorite Youtube crypto channel describing what Bitcoin leverage trading is.
Bitcoin Trading Sites with the Highest Leverage
BitMEX leverage trading
BitMEX is the largest and most famous pure Bitcoin derviative trading site. On BitMEX you can trade Bitcoin with up to 100x leverage.
BitMEX has two different products, futures and perpetual swaps.
BitMEX future contracts are derivative products. They are agreements to buy, or sell, Bitcoin at a predetermined price at a specified time in the future.
The other derivative product BitMEX offers is the Perpetual Contract. A perpetual contract is a derivative product that is similar to a traditional Futures Contract, but has no expiry or settlement date.
BitMEX – This crypto-to-crypto platform employs several leverage rates, depddning on the crypto in question:
- Bitcoin 100x
- Cardano 10x
- Ethereum 10x
- Ripple 10x
- Litecoin 10x
- EOS 10x
- Tron 10x
- Bitcoin Cash 10x
Since the platform is classic cryptocurrency trade marketplace, you do pay trade fees instead of spreads. As for the fees, Bitcoin has its own policy:
- Maker (-0.025% rebate)
- Taker (0.075%)
- Settlement Fee (0.05%)
Bitfinex leverage trading
Bitfinex leverage trading with derivatives is open to verified users in eligible jurisdictions.
When you are entering the derivative trading zone you need to verify this and you will get a popup that looks like the screenshot below.
For Bitfinex leverage trading derivatives, you need USDt.
Binance leverage trading
On Binance you can trade with leverage with several different products. Binance has margin trading, derivative trading and leveraged tokens.
In the screenshot below you can see the different derivative products on Binance.
Conclusion - Where to trade crypto with high leverage?
Through this guide, our readers have the answer to where can I trade crypto with the highest leverage.
It is important to mention once again that high leverages can lead to big profits but also crippling losses. Also, we recommend readers to learn more about the crypto trade by reading our articles regarding lowest deposit and lowest trading fees.