4 Proven Tools to Become a Pro Crypto Trader on Binance Futures!
In recent years, the world of cryptocurrencies has gained increasing interest. With the growth of Bitcoin and other cryptocurrencies, consumers have been flocking to this new form of digital asset investing. Nevertheless, with huge returns come great dangers, and for newbies, crypto trading may be a difficult process.
There are various tools available to assist you to get started as a professional cryptocurrency trader. In this post, we will look at four tried-and-true techniques for becoming a pro-crypto trader on Binance Futures.
But first, let’s discuss Binance Futures. Binance Futures is a cryptocurrency trading platform that allows users to trade derivatives contracts. The platform has grown in popularity in recent years because of its user-friendly design, minimal costs, and high liquidity. Moreover, Binance Futures allows traders to apply leverage, which increases their potential gains.
If you want to start trading on Binance Futures, you might want to consider utilizing a Binance clone. A Binance clone script is a software solution that replicates Binance Futures’ features and functions. This might be a useful tool for traders who wish to build their own trading platform or trade on a platform with similar capabilities to Binance Futures.
Today, let’s look at four tried-and-true tools that will help you become a pro-crypto trader on Binance Futures.
4 tools to become a pro-crypto trader in Binance Futures
Binance Futures provides a diverse selection of goods and services to assist you in seizing the bull by the horns. Now, let’s take a look at some of our features, like Grid Trading, Time-Weighted Average Price (TWAP), Advanced TP/SL, and the Multi-Symbol Trading Page, to help you start trading like a Pro.
1. Grid Trading
Grid Trading is a user-friendly strategic trading tool developed by Binance Futures. It allows for the automated execution of buy and sell orders within a predetermined price range at predetermined intervals.
Grid Trading works best in dynamic and sluggish markets, where the price of a certain coin fluctuates between specified thresholds. Even in shorter time frames, this automated trading technique can help you purchase low and sell high.
For example, under arithmetic or geometric Grid Trading techniques, buy/long orders are automatically executed when the price of BTCBUSD falls, and sell/short orders are automatically placed when the price rises. Similarly, in a downward trend, sell/short orders are immediately executed, and buy/long orders are automatically placed at a lower price to benefit from the difference.
With the help of Grid Trading, users do not need to forecast the direction of the trend. Everything is to do is evaluate a valuable price range in a period to validate your strategy in order to generate a positive income.
In addition to that, Binance Future also provided a set of pre-defined parameters to support beginners to gain a Grid Trading advantage. These factors comprise of upper price limit, lower price limit, and grid count.
TWAP: Time-Weighted Average Price
TWAP (Time-Weighted Average Price) is another algorithmic trading execution tool provided by Binance Futures to all ordinary and VIP users. It enables traders to automatically divide a large order into smaller ones, which are then executed at regular intervals.
One of the most significant advantages of employing a TWAP approach is that it reduces the market effect when the order size exceeds the available liquidity on the order book. Hence, it seeks to execute an order over a predetermined period so that the average execution price is roughly in line with the time-weighted average price of that period.
For example, a trader who wishes to buy 10,000 BNBBUSD Futures Contracts might use a TWAP strategy to acquire the best average execution price while avoiding boosting the asset’s value. If the period was set to 60 minutes and the order count to 20, there would be a 3-minute wait between each buy/long order.
TWAP methods are commonly used by high-frequency traders because they allow them to disperse orders without revealing their positions to other traders. Fundamentally, it improves any trading technique and simplifies decision-making.
The TWAP strategy trading algorithm is simple to use, and there is no coding necessary to use this institutional-grade tool.
Advanced SL/TP
Binance Futures knows that risk management is critical to the success of every trader. As a result, Binance exchange has developed an Advanced Take-Profit and Stop-Loss tool that allows you to exert control over all of your trades.
Advanced TP/SL can be used as part of your exit plan for each transaction. These orders are programmed to be executed automatically when prices reach a predefined level, closing your long or short position at an expected profit or loss.
Traders may now construct take-profit and stop-loss orders with a predefined final price or mark price, as well as the projected percentage gain or loss. Advanced TP/SL provides the predicted profit and loss for take-profit and stop-loss orders, allowing you to decide how much risk you want to take for the expected benefit.
Advanced TP/SL functions as a free insurance policy for your trading account by setting take-profit and stop-loss orders at the same time you establish a long or short position. It improves your risk management technique by assisting you in minimizing possible losses due to the high volatility of the bitcoin market.
With Binance Futures, you don’t have to worry about quitting a transaction or second-guessing your actions. With Advanced TP/SL, you may set take-profit and stop-loss orders that will be automatically executed by our trading system.
Multi-Symbol Trading Page
Another important tool that Binance Futures provides to assist traders to make the most of the cryptocurrency market is the Multi-Symbol Trading Page. It allows users to study and trade various assets from a single screen, dramatically altering the trading experience.
Because cryptocurrencies are volatile, you may find various configurations for different assets across different time frames. The Multi-Symbol Trading Panel allows you to keep track of every item on your radar so that you can pull the trigger at the proper time.
Perhaps you’re looking for BTCBUSD, ETHBUSD, or BNBBUSD to print a four-hour candlestick close above resistance before placing a buy/long order. The Multi-Symbol Trade Page allows you to trade up to six symbols on one screen so don’t miss out on this opportunity.
Skilled traders frequently wait for specified setups to play out before placing a trade. This demonstrated the significance of being able to study many assets at the same time in order to time the optimum entry price.
The Multi-Symbol Trading Page can help you take your trading to the next level. You may now track numerous cryptocurrencies through a single interface and make buy/long or sell/short orders for each asset.
Final Verdict
In a summary, the world of cryptocurrency trading can be intimidating, but with the right tools and knowledge, anyone can become a pro trader. The four proven tools discussed in this article can help traders improve their skills and achieve success on Binance Futures. However, it’s important to note that using a Binance Clone Script can also be a valuable tool for traders looking to start their own cryptocurrency exchange platform. By leveraging the power of a Binance Clone Script, entrepreneurs can quickly and easily create their own exchange, complete with all the features and functionality of the popular Binance platform. Ultimately, whether you’re a trader or an entrepreneur, there are many tools and resources available to help you succeed in the exciting world of cryptocurrency.
