Futures/Perpetual Trading Concept: Your Profit Is Someone Else's Loss, and Your Loss Is Someone Else's Profit

In the world of cryptocurrencies, we buy and sell. This implies that if we want to sell, someone is waiting to buy from us, and if we want to buy, someone is waiting to sell from us. It is a P2P (Peer to Peer) exchange. People surge into the cryptocurrency market for a variety of reasons, but they share a common thing which is liquidity. It's usually common knowledge that when two cryptocurrency traders arrive to the crypto market to engage in trading, they have distinct objectives; one may have come to long (buy) the market, whereas the other may have come to short (sell) the market.

Whenever you are in long position (buyer) and the market is going your way i.e pumping and you're are making money, it is because those that are in short position (sellers) are losing money, since the market isn't going there way. The shorters loss is your profit. This also applies if the market is goong against you, for instance you long and the market is dumping, you lose money and the money you lose automatically goes to the shorters sinve the market goes in there direction or prediction. Every loss you experience is a profit for someone else, and every gain you experience is a loss for someone else. Crypto is considered as being highly risky because of this. Therefore, it is recommended that you decide on your own level of risk. In order to avoid continually being on the losing side of decisions, we must strive to make better ones. The perspective being used here, however, is that of a futures trader. It's nearly the same, but slightly different, when viewed from the perspective of a spot trader or holder. Futures traders simple predict both direction (up or down), they simple make money if market is going up or when going down, this is involved some technical analysis and comes with a lot of risk.

As a futures trader, you have to hope that when you go long (buy or predict upside) or short (sell or predict downside), the market moves in your favor, providing you the profit that is obtained from the loss of someone who took the opposite course of action from the market's movement.

I trade futures and have made both profits and losses; as I previously stated, my profit is someone else's loss and my loss will be someone else's win.