How to add margin to BitMart contract

Margin trading on BitMart Contract enables you to borrow funds to amplify potential gains and risks; however, cautious trading and understanding of risk tolerance is crucial.

Nov 27, 2024 at 03:16 am

How to Add Margin to BitMart Contract

Margin trading involves using borrowed funds to multiply potential gains, but also the potential risks. It is important to trade cautiously and understand your risk tolerance before adding margin to your contract trading.

Step 1: Open a Margin Account

• Navigate to the BitMart website and log in to your account.
• Click on 'Derivatives' in the top menu bar and select 'Margin.'
• Click on 'Open Margin Account.'
• Choose the trading pair you wish to trade with margin.
• Enter the desired amount of margin you want to borrow.
• Read the Margin Trading Agreement carefully and check the box to indicate your agreement.
• Click on 'Open Account' to complete the process.

Step 2: Transfer Funds to Your Margin Account

• After opening a margin account, you need to transfer funds from your spot account to your margin account to cover the margin requirement.
• Click on 'Wallet' in the top menu bar and select 'Spot Account.'
• Find the trading pair you wish to trade with margin and click on 'Transfer.'
• Enter the amount you want to transfer and click on 'Confirm.'
• Your funds will be transferred to your margin account shortly.

Step 3: Set Leverage

• Leverage refers to the amount of borrowed funds you can use in your contract trades.
• Once you have funds in your margin account, you need to set the leverage.
• Click on 'Derivatives' in the top menu bar and select 'Margin.'
• Choose the trading pair you wish to trade and click on 'Trade.'
• Adjust the leverage slider to your desired level.
• Higher leverage means potentially higher profits, but also higher risks.

Step 4: Open a Margin Contract

• With leverage set, you can now open a margin contract.
• Select the trading pair and the contract type (e.g., futures or perpetual).
• Choose the direction of your trade (long or short).
• Enter the order quantity.
• Click on 'Buy/Long' or 'Sell/Short' to open the contract.

Step 5: Monitor and Manage Your Position

• Once you have opened a margin contract, it is important to monitor and manage your position closely.
• Keep track of your profit and loss (P&L) in real-time.
• Adjust your leverage or close your position if necessary based on market movements.
• Be aware of the risk of liquidation, which occurs when the value of your collateral falls below a certain threshold.

Step 6: Close Your Margin Contract

• When you are ready to close your margin contract, simply click on the 'Close' button in the order panel.
• Choose the desired closing price and click on 'Close Position.'
• Your position will be closed, and any profit or loss will be realized and credited or debited to your margin account.

Step 7: Withdraw Funds from Your Margin Account

• Once you have closed all your margin contracts, you can withdraw the remaining funds from your margin account to your spot account.
• Click on 'Wallet' in the top menu bar and select 'Margin Account.'
• Find the trading pair you wish to withdraw funds from and click on 'Transfer.'
• Enter the amount you want to withdraw and click on 'Confirm.'
• Your funds will be transferred to your spot account shortly.