Futures Trading Guide

CryptonX provides users with an advanced futures trading infrastructure, enabling leveraged trading through connected exchanges. With futures contracts, you have the potential to profit from future price movements of crypto assets.

What is Futures Trading?

A futures contract is an agreement to buy or sell an asset at a predetermined price on a specific future date.

CryptonX allows users to automatically generate futures positions using artificial intelligence and predefined trading algorithms.

Benefits of Futures Trading

• Profit in Both Directions: Open long (buy) or short (sell) positions depending on market expectations.
• Leverage: Amplify your position size with relatively smaller capital.
• Risk Management: Use advanced strategies for hedging and capital protection.

CryptonX USD-M Futures Wallet

The CryptonX platform enables manual control over wallet allocation and strategy configuration related to futures trading.

For more details, refer to the Wallet Management and Strategy Settings sections in the app.

Tracking Your Positions

Monitor your active positions and profit/loss from the Open Positions tab. The following data is available:

• Entry price
• Position size
• Leverage used
• Unrealized profit/loss (PnL)
• Liquidation price (the price at which your position will be auto-closed)

Margin and Liquidation

Margin Types

• Isolated Margin: Only the margin allocated to a specific position is at risk.
• Cross Margin: All of your futures balance is used to protect your open positions.

Note: Due to its high risk, Cross Margin is not supported on the CryptonX platform.

Liquidation

If the market price moves against your position and reaches the liquidation price (based on your leverage and market volatility), your position is automatically closed by the system and your margin is lost.

CryptonX has implemented additional protection mechanisms to help prevent liquidation. Positions are also safeguarded using predefined Stop-Loss levels.

Commissions and Fees

A small trading fee is charged per position. The latest rates are visible under the Futures Fee section depending on your connected exchange (e.g., Binance).

If a position remains open overnight, funding fees may apply. These periodic charges are used to balance long and short positions across the market.

Risk Warning

Futures trading carries a high level of risk. Especially when using high leverage, there's a significant chance of losing your entire capital. Please consider the following precautions:

• Start with Low Leverage: The default leverage on CryptonX is set to 2x. You can modify this setting, but we recommend keeping it unchanged unless you actively monitor the market.
• Use Stop-Loss Orders: CryptonX automatically applies predefined stop-loss levels tailored to each strategy. You may manually adjust these stop-loss thresholds if desired.

New to Futures Trading?

If you're new to futures or want to deepen your understanding, we recommend checking out Binance's comprehensive beginner guide. It offers a clear, step-by-step introduction to futures trading on their platform. Read Guide to Trading on Binance Futures as a Beginner