BitMEX exchange – How to Trade Crypto – Tutorial 2018

hi everyone welcome to our bit max margin trading tutorial i'm eric from crypto potato it is important to note that margin trading is considered very risky so you should trade only with caution always trade the amount you afford to completely lose the biggest advantage of margin trading is that we can actually leverage your position without the need to hold a required bitcoins or crypto assets in the crypto world it is not recommended to hold a large amount of bitcoins on an exchange better to hold them only on cold storage another advantage is that the exchanges allows us to make short trades it means profit when Bitcoin goes down that way we can hedge so let's start as you can see on the right side this is the last transactions made in the middle we have the Bitcoin graph and this is actually the last Bitcoin price the left pane is the most interesting one here we open our position the quantity is the position size in US dollars the limit price is the parts we set in order to open our position buy and sell I will talk in a minute the cost is the total price of the position the order value is the total value of the position it means if the leverage is set one means there is no leverage then it's equal to the cost minus the fields this is the this is now what what is happening now you see 24 many bitcoins on each of them available balance is the balance we have in Bitcoin before opening the position we will define the leverage if this is your first trade I would recommend leaving it on one that is with no leverage at all we will open a sample position now we will set the quantity to be $100 so we will happen we will have update the price according to the market so we see now the price is 4000 around for 4050 dollars so in case we want to open the position immediately so we will set the price to be a little bit higher and then the actual price so we set it here you see two 4060 now we'll make it a little bit interesting we will define the leverage to be times five then we will expect the cost of the position to be reduced by the same ratio so let's see that see now that the cost of our position is twenty-four million bitcoins so now I'm moving the leverage two times five then you see that the cost is only only four point nine milli bitcoins and again now the CAHSEE 24 now we do it again we see that the cost is reduced by the same ratio this is basically allows us to trade on bitcoins we borrow from the exchange keep in mind the higher the leverage will be the more we will have to borrow from bit max and therefore the fees will increase another thing you need to know about is the liquidation price this is the price value at which bit max will close the position or liquidate it bit max can't afford to lose and in order not to lose the money we board from for the position the position will automatically close once we lose the amount of bitcoins that belongs to us so let's open the position we do it using by means long position when we believe that the value of Bitcoin will increase or sell short position when we actually benefit from the decrease in the bitcoins value we believe in Bitcoin so we will go for a long position we will set the Bank price to be higher than the market price like like I mentioned before and so that the price is going up now so let's make the price like four thousand seventy okay that's it okay we will now open the position you see you see the screen this one we need to confirm the position notice we can see when bitmaps is estimated to liquidate the position so if Bitcoin drops around 3400 something like this then we will completely lose our $100 and the big bit max will close the position so let's buy and confirm the position now we solve our position we have here the entry price you see our enterprise and realize P&L so this is the loss or or the estimated profit and it's calculated according to the to this market price and it will be calculated later we also see there will liquidation price it's here it's like the estimated one a little bit a little bit less in case a we close part of the deposition then we will see the again or the loss in the realized pin and here when the time comes we have two ways to close the position the first is by setting a sell command suppose we want the position to close at let's say four thousand two hundred something like this then we will set the same command but the inverse command so let's say let's do it hundred dollars 4200 will set the sell command we approve it and then we have it here in the active orders as long as Bitcoin stays and doesn't in doesn't touch 4200 then we will have this active order the second option if one to close position immediately there is this red button which says Market Market on it the order would be released to the market and it will close the position at the best available price in our case this is what I'm gonna do because I want to sleep tight so let's close now the position okay that's it we can say then in the order history and see if we deport the total profit minus their fees on bitmaps there are more advantage options such as top limit we can see it here but this is for the next videos hope you enjoyed and the video was clear now all you need to do is open a new bit max account the link here below gives you a 10% discount on transaction fees for the first six months thanks a lot and see you in the next videos

41 thoughts on “BitMEX exchange – How to Trade Crypto – Tutorial 2018”

  1. BitMEX advanced trading features tutorial

  2. I think the content of this video is great but nothing and I mean absolutely nothing beats trading with Pauline Burnett, she's super profitable and I've made over 10 btc worth of profits from trading with her

  3. I would appreciate if you could explain the meaning of auto deleveraging. My current long position is deep in the money with more than 2x gains on my margin already. But along with such gains, my priority in the ADL queue has increased to 4 out of 5 colored bars which implies that my position could soon be deleveraged. Does this mean my position would get liquidated at the current price at the time my priority in the ADL queue would reach the top 1 percentile? Because for now im under the impression that if i hold a position with 50x leverage on my margin when BTC is at USD 11k and i wait for it to increase to USD 17k, I can make a percent gain close to 2700% or 27 times on my margin due to the leveraged position. Reading up on the ADL feature on their website makes me believe that it blocks the potential for one to make gains of this quantum and kinda caps your gains at a level which is much lower, say capped at gains ranging from 200% – 400% which is still great IMO. Bitmex doesnt really explain this very well, would appreciate if you could

  4. Hey!!!! thanks so much for making this video! Was a great intro to bitmex. Would love to see more tutorials on bitmex if you have time! 🙂 thanks again!!

  5. Why so you want to buy at higher price than market if ur going long? You buy at 4050 and if go up 4060 didn't you just make money? Now if you buy at 4060 you have to wait to go 4070 to make money correct?

  6. where is the more detailed followup you've promised in the video to follow 'soon'? 😉
    Thanks anyway, interesting.

  7. good video do you have a tutorial on how to do a short on bitcoin walk through example I would like to see a video on that?

  8. Hi probably silly question but when you deposit BTC(XBT) to BitMex isn't this mean when you not trading you going long because your BTC(XBT) stored in BitMex's cold wallet? Thank you for the answer. 🙂

  9. Hello, good video. I wanna ask you about buying with leverage x1, isn't thats the same like just keeping it on platform? Becouse the current is BTC? Is there any fee for time that you are holding your btc in bitmex acc? Once again, good video!

  10. very good video, a question, Bitmex does not have the option to buy and sell only as an Exchange?, like bitfinex, to avoid margin risk, thanks

  11. Wait, when you closed it said you sold @ 4053, you entered @ 4060. Will it actually sell when it's @ 4065 only? It's confusing

  12. can you demonstrate how you trade XRP (Ripple) on Bitmex? Because it seems different than Bitcoin, there is XRP vs Z17, instead of XRP vs BTC

  13. Thanks for the video, very well explained ?? Quick question, can I open an account on Bitmex and funds with USD or CAD then start trading Bitcoin, or do I need to buy Bitcoin and transfer to Bitmex first? Thanks!

  14. helo, can you please help me how to put stop loss and profit loss on bitmex. i cant figure it out on my own. thanks

Leave a Reply

Your email address will not be published. Required fields are marked *