Crypto futures spread trades walkthrough: How to profit from gaps

While some crypto traders are hyperfocused on maximizing their gains while trading futures contracts, poor risk management often leads to account blowups and amplified losses. This is where futures spread trading becomes invaluable. By simultaneously taking opposing positions in related futures contracts, traders can significantly reduce their exposure to directional risk.

Keen to learn more? From grasping how to execute spread trades by managing long and short positions effectively to weighing the pros and cons of futures spread trading in the crypto space, this article will guide you through everything you need to know when trading futures spreads on Bybit.

Key Takeaways:

• Futures spread trading involves simultaneously buying and selling related futures contracts in order to profit from changes in the price difference between them, rather than the absolute price direction of the underlying asset.

• Explore our article to find out how you can plan and execute a futures spread trade.

What is futures spread trading in the crypto market?