Note, you do get 10% off fees if you sign up through a referral link. You can use bitmex.com/register/PCyTj9 Even if you don't use mine, use someone's because it's 10% off fees, which adds up.
I kept seeing the Bitmex wrecked twitter thing and seeing mentions of leverage all over Veeky Forums, but had absolutely no idea what it all meant. It also looked too complicated for me so I've always ignored it. Got bored today and it's actually much simpler than it seems. There's a ton of guides that go super in-depth and those made absolutely no sense to me, so I'm going to explain it from an idiot's perspective.
First of all, the draw of Bitmex is you can do what's called Leveraged trading. In the simplest terms possible, it means you multiply your percentage gains/losses. If you go 10x leverage long on bitcoin and bitcoin gains 1%, you gain 10% more money. This is super cool for impatient people like me because it allows you to trade more actively without getting wrecked by fees, and it's ridiculously exciting.
Bitmex doesn't allow US users, but supposedly, all you need to do is register under a VPN and you're good to go. I used ExpressVPN. It is a paid VPN, but they have a 30 day money back guarantee. You can register on Bitmex with it, then cancel. Or keep it because it's actually a super nice program.
Once you're registered, deposit some BTC into your Bitmex wallet. When you first open the trade screen it's going to look super complicated. It's not.
Buying Long on a coin means you expect it to go up. Buying short on a coin means you expect it to go down. Playing those buys works like any other Exchange (i.e. Binance). You can set a limit price to buy in at and an amount. to buy.
Now you want to pick your leverage. In the menu below that, there's a slider. Again, each multiplier of leverage means every 1% = your leverage multiplier. 1% gain with a 25x leverage means 25% gain. I would start with 2x/3x leverage until you get a good handle on things.
The Cost number below the buy long/buy short number is the big one here. With leverage, you're essentially putting loaned money toward a coin. With 10x leverage, you can buy 1 BTC even if you only have .1 BTC (this is why the percentage gains are so drastic). However, this means you can lose it as well.
Let's say you bought 1 BTC at $10000, Long at 10x leverage (So you put in $1000). If BTC dropped 10% to $9000, you would lose all $1000 you put in. If it went to $11000, you would gain $1000 and double your money. Bitmex will auto "liquidate you" if you drop too far and don't have any more money to cover (10x leverage means if it drops more than 10% you lose all the money you put in. 25x leverage means if it drops more than 4% you lose all your money).
You can change orders on the fly and constantly adjust. Let's say BTC raised to $10100 (1%). You could then sell your long order and you will have gained 10% and now you can invest your $1100.
Like I said, there's a ton of guides out there that go into the more fancy TA and ways you can adjust orders, but this should provide a quick overview to get you started. They have a testnet site where you can practice with fake money first as well.
Asher Cook
Some tips I've come up with to remind myself each time before I trade:
1. Be patient. Never FOMO in. If you see something skyrocketing, it's probably too late and too risky. Wait for the exact right time to enter, you don't always have to have an active order. 2. Always stop loss a bit before your liquidation price. Better to lose 70% than 100%. 3. Don't leave stuff on overnight. Flash crashes/pumps happen too often. 4. Careful with low volume coins (basically everything but ETH and BTC on Bitmex). Buy orders and sell orders are sometimes really care apart, which at high leverage can mean accidental liquidation on even the smallest crash. Also, never market buy these low volume ones. 5. Market buy BTC is fine. I like to have the window up ready to hit buy and wait for the best possible entry. You can watch the buy/sell walls while the window is open, so it's easier to time in.
Big one: 6. Every coin usually has a pattern in terms of index/mark price for the day. Sometimes BTC on Bitmex will be a solid $40-$50 higher than Binance/Index price that day and sometimes it will be below it. I usually try to figure out which of these it is (watch it for half an hour or so) before trading.
It's just autistic speculative gambling, notice all the flashing lights.
Elijah Bailey
I mean if anyone could accurately predict the price of bitcoin they'd be worth more than one million quite fast.
Nathaniel Collins
thanks just lost 5k
Gavin Bennett
>better to lose 70% than 100% thing is, sometimes it gets close to your liquidation price then goes down or up (depending if you went short or long) and you can get your money back with minor loses or if patient even win a bit. I've lost more panic closing a position than being liquidated. Keep that in mind, once you start a position, consider that money lost and be patient. Its better that way
Camden Johnson
> Note, you do get 10% off fees if you sign up through a referral link. Any proofs?
