How to achieve stable profits in Bitcoin contracts? 

As an emerging digital asset, Bitcoin has attracted the attention of investors around the world. Especially in the contract trading model, many people hope to obtain high returns through the leverage effect of the contract. However, although contract trading brings considerable profit opportunities, it is also accompanied by huge risks. Therefore, how to achieve stable profits and avoid losses in Bitcoin contracts has become a question that every investor needs to think about seriously.

First of all, understanding the basic mechanism of Bitcoin contracts is the first step to success. Bitcoin contract trading usually includes two types: futures contracts and perpetual contracts. Futures contracts are agreements between two parties to buy or sell Bitcoin at an agreed price at a certain time in the future, while perpetual contracts have no expiration time and traders can close their positions at any time. Due to the complexity of the contract itself, investors need to master basic trading strategies and market analysis skills in order to capture profit opportunities in volatile markets.

Secondly, risk management is the key to stable profits. Many novice investors often ignore risk control when trading Bitcoin contracts because they are too optimistic about market trends. Formulating reasonable stop-loss and stop-profit strategies is an indispensable link for every investor. For example, investors can set a stop loss according to their own risk tolerance. Once the price falls to this position, stop loss in time to reduce losses. At the same time, it is also very important to set a reasonable stop profit point to avoid missing profit opportunities due to greed.

In addition, technical analysis also plays a vital role in Bitcoin contract trading. By analyzing historical price data, investors can identify price trends and technical indicators such as key support and resistance levels. Commonly used technical analysis tools include K-line charts, moving averages, relative strength index (RSI), etc. These tools can help investors judge the market's buying and selling signals and formulate corresponding trading strategies. For example, when the RSI indicator is higher than 70, the market may be overbought, and investors can consider selling; when the RSI is lower than 30, the market may be oversold, and investors can consider buying.

In addition, choosing a suitable trading platform is also an important part of achieving stable profits. There are many Bitcoin contract trading platforms on the market, and investors should choose based on factors such as the platform's security, handling fees, and user experience. Choosing a reputable platform can not only provide protection for transactions, but also improve the convenience and efficiency of transactions.

In Bitcoin contract trading, the reasonable use of leverage is also an art. Leverage can magnify returns, but it also magnifies risks. Therefore, investors should choose an appropriate leverage ratio based on their own risk tolerance. Excessive leverage may bring high profits in the short term, but it may also lead to huge losses when the market fluctuates. Therefore, it is recommended that novice investors use lower leverage in initial transactions to reduce risks.

Finally, continuous learning and summarizing experience is a long-term strategy to achieve stable profits. The Bitcoin market is changing rapidly, and new technologies and new strategies are emerging in an endless stream. Investors need to maintain their enthusiasm for learning and update their knowledge reserves in a timely manner. By analyzing their own trading records and summarizing the lessons learned from success and failure, investors can continuously optimize their trading strategies and improve their profitability.

In Bitcoin contract trading, the path to stable profits is not achieved overnight, but requires investors to constantly explore and adjust in practice. Mastering basic trading knowledge, setting reasonable risk management strategies, using technical and fundamental analysis tools, maintaining emotional stability, choosing a suitable trading platform, and using leverage reasonably are all important factors in achieving this goal. Only by constantly learning and summarizing experience can investors remain invincible in a volatile market and truly achieve stable profits in Bitcoin contracts.

The four most famous international exchanges:

Binance INTL	OKX INTL	Gate.io INTL	Huobi INTL
China Line　APP DL	China Line　APP DL	China Line　APP DL	China Line　APP DL

Note: The above exchange logo is the official website registration link, and the text is the APP download link.

Seeing this title, many investors will laugh it off, because in the eyes of most investors, this is almost impossible. In fact, on the contrary, if you look at it from another perspective, this also shows that most of these friends are just beginner investors and do not really understand the Bitcoin contract market. In other words, Bitcoin contracts can make steady profits. So, how can Bitcoin contracts make steady profits? The following Coin Circle editor will tell you how to avoid losses in Bitcoin contracts. I hope that through this article, investors can unlock new ways to play Bitcoin contracts.

 How to make steady profits in Bitcoin contracts?

The way to make a steady profit from Bitcoin contracts is to hedge options + futures contracts. So, how to hedge options + futures contracts?

For example, the current price of Bitcoin is 10,000 US dollars. Suppose you use 5,000 yuan to open a 20x leverage to go long, and at the same time open 2 put options on BitOffer for hedging. The option cycle is 4 hours. The cost of each option is about 30 US dollars, and 2 options are about 60 US dollars. The option rights are 1 option = 1 BTC spot rights. Pay attention to the contract long + option put, contract short + option call, and open hedging, whether it rises or falls, you can make a profit.

1. When Bitcoin rises by 200 US dollars, that is, the increase is 2%.

20x leverage to go long, the profit is 40%, that is, 2,000 yuan, and the put option loses the principal, that is, 60 US dollars. The two are settled, and the net profit of the account is 1,580 yuan.

2. When Bitcoin falls by $200, that is, the decline is 2%

20 times leverage long, loss of 40%, that is, 2,000 yuan, put option profit of $400, that is, 2,800 yuan, deducting the option cost of $60, the net profit is 380 yuan

3. When Bitcoin rises by $500, that is, the increase is 5%

20 times leverage long, funds doubled, profit of 5,000 yuan, put option loss of principal, that is, $60 (420 yuan), the two settled, the net profit is 4,580 yuan.

4. When Bitcoin falls by $500, that is, the decline is 5%

20 times leverage long, triggered liquidation, loss of 5,000 yuan, put option profit of $1,000, that is, 7,000 yuan, minus (5,000+60 US dollars), the net profit is 1,580 yuan.

The contract hits liquidation, and the account still makes a profit. This is just one way to play the contract. In fact, there are many ways to play that have not been discovered. In general, using the hedging method to play contracts, you can make a profit regardless of whether the price goes up or down, and you can make money even if the position is liquidated. I believe you have never seen such a novel way of playing.

 Bitcoin contract rules:

1. Trading time

Contract trading is 724 hours trading, and trading will only be interrupted during the settlement or delivery period at 16:00 (UTC+8) every Friday. In the last 10 minutes before delivery, the contract can only be closed, not opened.

2. Trading type

Trading types are divided into two categories, opening and closing. Opening and closing positions are divided into two directions: buying and selling:

Buying long (bullish) means that when the user is bullish or bullish on the index, a certain number of new contracts are purchased. Performing the "buy long" operation will increase the long position after the match is successful.

Selling long (long order closing) means that the user is no longer bullish on the future index market and the sold contract is covered, and the current buy contract is offset and exits the market. Perform the "sell to close long" operation, and the long position will be reduced after the match is successful.

Sell to open short (bearish) means that when the user is bearish or bearish on the index, a certain number of contracts are newly sold. Perform the "sell to open short" operation, and the short position will be increased after the match is successful.

Buy to close short (close short position) means that the user is no longer bearish on the future index market and buys back the contract, which offsets the current sell contract and exits the market. Perform the "buy to close short" operation, and the short position will be reduced after the match is successful.

3. Order method

Limit order: The user needs to specify the price and quantity of the order. Limit order can be used for opening and closing positions.

Counterparty price order: If the user chooses to place an order at the counterparty price, the user can only enter the order quantity and cannot enter the order price.

The system will read the latest counterparty price (if the user buys, the counterparty price is the sell 1 price; if it is a sell, the counterparty price is the buy 1 price) at the moment of receiving this order, and issue a limit order for this counterparty price.

4. Position

After the user opens a position and completes the transaction, he has a position, and the positions of the same contract in the same direction will be merged. In a contract account, there can be a maximum of 6 positions, namely, long positions of the current week contract, short positions of the current week contract, long positions of the next week contract, short positions of the next week contract, long positions of the quarterly contract, and short positions of the quarterly contract.

5. Order restrictions

The platform will limit the number of positions held by a single user in a certain period of contracts and the number of orders for a single opening/closing position to prevent users from manipulating the market.

For newcomers in the cryptocurrency circle, investment requires patience and learning, step by step. Do not rush to open a real trading account, and do not compare with others to avoid impatience. The main purpose of learning simulated trading is to develop personal operating strategies and patterns. When the probability of profit increases day by day and the monthly profit amount gradually increases, it means that you can open a real trading account for margin trading.

In addition to technical analysis, fundamental analysis cannot be ignored. The price of Bitcoin is affected by many factors, including market demand, policies and regulations, and the macroeconomic environment. Therefore, investors need to remain sensitive to market dynamics and obtain relevant information in a timely manner in order to respond quickly. For example, a government of a certain country has introduced a regulatory policy for cryptocurrencies, which may have a significant impact on the price of Bitcoin. Investors should adjust their trading strategies based on this information.

In actual transactions, emotional management is also very important. Market volatility often makes investors panic or excited, which in turn affects decision-making. Keeping a calm and rational attitude and avoiding making wrong decisions due to emotional fluctuations are essential qualities for every successful trader. Setting a clear trading plan and strictly following it can help investors stay rational when the market fluctuates and reduce losses caused by emotions.