Margin Trading

Margin trading is more on the riskier side, often taken by only experienced traders. When the trader is taking a short position on a margin, it is known as a margin bear. Similarly, margin bull is termed to a long position on margin calls.

Margin trading facilitates crypto traders to take bigger positions, which wouldn’t have been possible otherwise. Oftentimes, traders actually need a dedicated margin account to take such positions.

For normal circumstances, a regular cash account is used for trading. With a margin account, the cash flow greatly varies. A trader can even start with as little as only 10% for the position and increase accordingly.