I want to share a few things about futures orders that I’ve learned through trading over time. How many of you have heard about futures but still haven’t dared to get involved? I understand that feeling, because it really involves a lot of risk if you don’t prepare carefully.

Simply put, a futures order is a way for you to bet on the price trend of a coin—predicting whether it will go up (Long) or down (Short). The key point is that you can use leverage, meaning you borrow money to trade with a larger amount of capital. For example: with $1 as your starting capital, using 100x leverage lets you control $100. Sounds tempting, right? But that’s also where the danger lies.

The problem is that when your futures order goes the wrong way, losses can accumulate very quickly. If you can’t control it, you could lose 100% of your original capital—what’s called “burning your funds” (liquidation). I know beginners often get caught off guard by how fast they can lose money.

But don’t be afraid—you can manage the risk. Every exchange provides two important tools: SL (Stop Loss—stop-loss point) and TP (Take Profit—take-profit point). These automatic features will help you close the order before you lose too much. When placing a futures order, always set both of these points.

Based on my experience, here are the rules I follow:

For Bitcoin, I only use leverage of x5 or below. It’s safer, and you’ll sleep better.

For Ethereum and other altcoins, x3 is the level I feel comfortable with. They’re more volatile, so you need to be more careful.

Split your capital into multiple rounds of “armor-plating.” Instead of going all in at once, enter in smaller portions. This helps you better withstand losses when the price moves against you.

The most important thing is to pay attention to the liquidation point—the place where the exchange will automatically close your position. Try to set it as far away as possible. I once just glanced for a moment and immediately got an email about liquidation—it was really annoying.

In short, futures orders aren’t something to be afraid of if you learn how to manage them. But this is only sharing my personal experience, not investment advice. Please do your own research carefully before getting into futures trading.