Top 5 Crypto Exchanges For Margin Trading — Compared

Margin Trading

There is the saying that — the higher the risk, the more profitable the output.

The saying can be true, however, there should be a balance between the risk and the calculated output.

Some risks are better taken by capable individuals before there can be an iota of hope for success.

One way to make money online is by crypto day trading.

It is a form of speculation where a trader buys and sells a financial instrument within the same day.

It is risky and at the same time lucrative. It is one of the fastest ways to make money on the internet.

However, there is also a kind of trading that is more lucrative and enormously rewarding than day trading, it is at the same time one of the riskiest ways to make money online.

This trading is called margin trading.

Read about how to use bitcoin price charts to predict its future price.

A Brief Explanation On Crypto Margin Trading

Margin trading is also known as leverage trading.

It is a form of trading that boosts the profit a trader gets from a trade he places if it is successful.

It allows traders to trade with money provided by a third party.

The third party or investment brokers are usually cryptocurrency exchanges.

In other words, it is a kind of trading in which traders buy Bitcoin and other cryptocurrencies with borrowed money from a third party based on the money you have.

In return, you will need to tender collateral for the money you borrowed from your broker, who will then charge a small interest on the amount borrowed.

Margin trading is undisputedly risky.

Crypto margin traders are expected to be extra careful because of the high degree of volatility in the crypto market.

Due to the high risk involved in margin trading, it is not suitable for newbies.

The typical learning curve for a newbie is to start with day trading and spot trading, so when he gains confidence in his spot trading and becomes vast in technical analysis, he can proceed into crypto margin trading.

The knowledge of when to enter and exit a trade or when to buy Bitcoin and sell as well as technical analysis isn’t enough to make you a successful margin trader.

This knowledge will however give you a foresight on the market.

In addition to this knowledge, you need a very good crypto margin exchange where you can trade leverage.

Top 5 Crypto Exchanges For Margin Traders

The following are the best five crypto margin exchanges you can always use to trade.

We will be listing them in order of preference and we will also state the reason why they are in that order.

  1. Remitano
  2. Binance
  3. Bybit
  4. BitMex
  5. Huobi

1. Remitano

Remitano is the leading Peer-to-Peer exchange platform.

Remitano allows its users to trade with a 2x margin level which looks very reasonable for both beginners and experts.

You can start with very low capital and double your capital with lesser risk.

It has one of the lowest interest rates of 9% per annum.

Most crypto margin exchanges give their customers a high margin like 10x, 20x, 50x some can go as far as 100x and above.

All these margin levels look attractive but most time traders fall victim and eventually get liquidated.

Remitano margin 2X was created to help investors maximize their profit without taking excessive risks.

In a bid to help traders maximize their profit and minimize their loss, the ‘Remitano invest’ also has stop-loss and take-profit features.

The take-profit allows you to set your profit price and the system automatically sells your coins when it reaches that price.

Stop-loss automatically sells your coins to reduce loss based on the selling price you set.

Combining these features with Margin 2X makes Remitano the most powerful exchange for margin trading.

The platform is also very popular for having the financial security of its users in mind.

They are known for scrutinizing every investment asset before introducing it to their customers.

They hardly adopt new coins into their platform until they are sure it is promising and safe for users.

Because of this and some other features, the platform is one of the most preferred crypto margin exchanges.

2. Binance

Another trusted platform to use for your crypto margin trading is Binance.

Binance is a fast-growing exchange platform that offers a wide range of coins across so many countries.

The Binance platform features a spot exchange and P2P Platform but also offers margin trading features that allow traders to use as high as 5x leverage.

However, just like Remitano, you need to complete your KYC before you can use the margin trading platform.

3. ByBit

ByBit offers the highest leverage for margin traders, allowing traders to use up to 100x margin on their trades.

It is one of the most popular KYC policies. It offers 24 hours customer service.

It allows you to trade up to five coins which include Bitcoin, Ripple, Ethereum, Electroneum, and USDT.

It is a good place for experienced margin traders to take as much risks as they can.

The intuitive user interface makes it easy for newbies and professionals to carry out their margin trades.

4. BitMex

Bitmex is one of the earliest cryptocurrency exchanges in the market but it became more popular when it introduced the margin trading feature which allowed users to borrow money to increase their trade position.

Bitmex users can margin-trade up to six coins on the platform including Bitcoin, Bitcoin Cash, Cardano, Ethereum, Litecoin, and Ripple.

Bitmex offers a leverage of up to 100X on Bitcoin and 50X for Ethereum margin trading.

5. Huobi

The last margin exchange on our list is Huobi. It allows you to trade up to a 5x margin level for Bitcoin.

It is Singapore-based, uses KYC policy, and is available for people in the US.

Huobi also offers a very reasonable margin for beginners.

Margin trading is extremely risky and not recommended for crypto newbies.

If you are new to cryptocurrencies, first you need to learn how to buy bitcoin in Nigeria and trade it.

You can then experiment with margin 2X on Remitano invest because it is the safest margin trading option out there.

Using exchanges with extreme leverage levels can lead to the liquidation of your entire portfolio within seconds.

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