Some of our posts may have affiliate links including this one. That means if you make a purchase I may get a commission (at no extra cost for you). To find out more about it read our Disclosure page
Cryptocurrency margin trading is attracting new and experienced traders to the cryptocurrency space. A chance to develop one’s skills and hopefully increase the size of one’s portfolio too.
The cryptocurrency market is extremely volatile, and this volatility brings with it lots of lucrative trading opportunities for the successful traders.
In this article, I will compare some of the most popular trading platforms for margin trading, and with added leverage trading for the risk-takers.
Margin trading means that you can enter a trade with only a small percentage deposited by yourself. For example, you can go in with $100 but trade with $1000.
Leverage is the ratio, or the multiple amounts you can trade with times what you initially deposited. $100 with 10:1 is $1000, with 50:1 is $5000, etc.
Margin trading is attracting traders due to the opportunities to trade larger amounts and with greater flexibility. Traders can both short and long Bitcoin and other assets with margin trading.
And if you add leveraged trading, then you can increase your traded amounts with multipliers of anything between 2x to 125x your initial amount.
With added leverage you can quickly increase your amounts and therefore also increase the potentials of your profits.
But where it’s possible to make big profits it’s also possible to make as big losses.
That’s why it’s very important that you realise how margin trading works and the risks of trading with added leverage.
6 leading margin trading platforms – 125x leverage
PrimeXBT is a rising and award-winning trading platform for both cryptocurrencies, but also forex (FX), stock indices and commodities.
This margin trading platform has attracted interest from traders around the world due to its attractive features, such as:
- High leverage (100x)
- Strong trading volume (545m average trading
- volume per day)
- Fast execution with multiple trading interfaces
- And the option to stay anonymous while using the platform
With its low trading fee of 0.05% it makes for a good deal compared to many other margin trading platforms.
You can now get a special deal with 35% deposit bonus for new traders – use this link and enter gocryptowise in the promo section when depositing.
Binance has attracted novice users to serious traders since its inception.
- Learn more about how to use Binance for margin trading here
- If you are based in the US you can then use Binance.us
Bybit is another popular margin trading platform. It provides you with the complete works for margin trading and with added leverage trading up to 100x.
That means Bybit is an excellent place to take home the big profits.
Bybit is a cryptocurrency derivative exchange offering perpetual contracts. These contracts work similar to futures contract but with the option for greater leverage and no expiry date.
The fees on Bybit are very good, -0.025% (rebate maker fee) and 0.075% taker fee.
With the basic trading interface trading on Bybit is easy enough to use. And add to that some helpful guides that will help you get started and trade on Bybit with ease.
You can get up to $90 in bonus over at Bybit by completing various tasks. Like surveys and practicing trading. To get the bonus you just need to register for a free account – join Bybit here.
BitMex is a well-known margin trading platform, and one of the most popular ones.
It offers high leverage (100x), futures contracts and perpetual contracts (only for Bitcoin), and some useful margin trading features such as Cross Margin and Isolated Margin positions.
BitMex has been around since 2014 and it has for some years now been one of the most popular trading platforms. Created by self-made billionaire Ben Delo.
Bitfinex hasn’t been without its issues (Tether + the previous hack) but considering everything it got I’d still say it’s one of the top margin trading exchanges around.
It got great daily trading volumes ($230m), beginner-friendly interface, lots of assets, futures trading (with perpetual contracts), low fees (0.02% – discounts if you own LEO tokens).
Bitfinex provides excellent trading volume, and with 5x leverage for traditional cryptocurrency margin trading and 100x for derivatives trading.
It might not be first name you think about for margin trading, but it is one of the most reputable exchanges with a trusted trading platform.
It has a bit lower leverage than others (5x) but it comes with lower fees than most (0.02%) and high margin limits ($500,000).
Margin trading is growing in popularity, it presents traders with extremely lucrative options to make big gains. But what comes with great rewards also comes with as great risks.
Add leverage trading up to some staggering of 100-125x, and you can quickly make big profits or big losses.
So as with all trading you need to know what you do before you start.
Meaning you understand how cryptocurrency trading works, how margin trading with leverage works.
And that you understand the risks that come with trading, especially margin trading.
There are guides and instructions how to margin trade on most of these sites that I’ve listed.
You can get additional trading help here. Otherwise be smart and careful.
Hello and welcome to Go Cryptowise.
My name is Per Englund and I’m a long-term fan and investor and trader of Bitcoin and other cryptocurrencies. I caught the attention of Bitcoin like many other several years ago, but it was first around 2016/2017 that I truly got into cryptocurrencies and blockchain technology.
I have since traded, bought, researched and learnt about this new emerging space to the fullest. When not producing crypto-content I create and design new products and businesses. And I want to combine my business experience with my passion to create meaningful content for all our readers.
And I am bringing this vision to my writing and how Go CryptoWise work.
Connect with me on LinkedIn. Ask me anything on here.
Get in touch with me to find out more about Go CryptoWise and what we care about.