In this PrimeXBT Tutorial – Complete Guide To Leverage Trading On PrimeXBT, you will learn EXACTLY how to trade Bitcoin, Altcoins, and numerous Crypto derivatives on the PrimeXBT platform. We will also give you a step-by-step guide on Bitcoin margin trading and help you learn about PrimeXBT Covesting feature. Let’s dive in!
Is PrimeXBT The Perfect Broker?
PrimeXBT stands out from the crowd when it comes to quality of service and the share number of available assets to trade on the platform. This crypto exchange offers users high liquidity in over 70+ different asset classes including Crypto (Bitcoin, Ethereum, Litecoin, Ripple, EOS), Forex, Commodities (Metals, Oil, Gas), and Indices.
These are way more tradable assets than other major crypto exchanges like Bybit offers to their users.
Can U.S. Traders Use PrimeXBT?
Crypto traders should always take some time to see whether the exchange they want to use is available in their country/region or not. Similarly, U.S. citizens looking to use PrimeXBT to trade should know that it is currently blocked in the country. You can check out the best crypto exchanges in USA.
A Step-By-Step Guide To Opening A PrimeXBT Account
The registration process for owning a PrimeXBT trading account is very easy and straightforward. The exchange does not require new users to submit any KYC documents, so all you need to sign up for an account is a working Email address, a Strong Password, and a Mobile phone number to get your verification codes on.
Once you have those requirements, click on this link PrimeXBT Sign-up page to register and sign-up for an account. If you use this specific link you will get a very valuable FREE bonus if you meet the deposit requirements.
You will need a working email and phone number to successfully receive your verification codes and complete the new account sign-up process.
How To Get A FREE Sign-Up Bonus
PrimeXBT currently offers a $200 welcome bonus on your first deposit on the trading platform. However, to qualify for this bonus, you need to make an initial deposit of at least 0.017 BTC, 0.425 ETH, or 850 USDT.
To activate your $200 deposit bonus. Sign up with this link and then deposit the stipulated amount before the timer expires.
This bonus will be added to your trading account equity under the name “Reward”. The bonus cannot be withdrawn, traded, or used to cover fees, it can only be used as additional collateral for margin trading on the PrimeXBT platform.
PrimeXBT 25% Deposit Bonus
Thanks to Bitcoinsensus, new users signing up to PrimeXBT using our link can get up to a 25% bonus on their first deposit. This bonus is way better than the $200 bonus as it offers you the opportunity to earn a higher bonus depending on your initial deposit. However, to qualify for this bonus, you need to make an initial deposit of at least 0.001 BTC.
To activate your 25% deposit bonus. Sign up with this link and then go to “promo code” and enter “bitcoinsensus50” in the provided space.
This can only be used as additional collateral for margin trading on the PrimeXBT platform. We will talk more about margin trading later on in this PrimeXBT Tutorial – Complete Guide To Leverage Trading On PrimeXBT.
How To Deposit On PrimeXBT
When it comes to funding your PrimeXBT account, you now have numerous options to work with. You can now trade any asset on the PrimeXBT platform with either a:
- Bitcoin account
- USDT account
- ETH account, or
- USDC account.
PrimeXBT accepts the direct purchase of cryptocurrency on its platform using a debit or credit card. But this method won’t offer you the best rates having a crypto wallet to easily deposit and withdraw from your PrimeXBT trading account is the best option.
PrimeXBT Tutorial: Steps-To Making Your First Deposit
Now that you have learned how to buy Bitcoin, the next step is making your first deposit on PrimeXBT. You can follow the detailed steps below to complete this process.
The first step is to select the wallet you wish to deposit in. For this example, we will be making a Bitcoin deposit. So click on the Deposit button in front of the Bitcoin Cryptocurrency.
Once you click the deposit button, a pop-up will display your Personal BTC Deposit Address. You can scan or copy this address and then send your Bitcoin directly to it. If you don’t own any Bitcoin yet, you can check out our list of the best exchanges where you can buy Bitcoin.
It will take from a couple of minutes to a couple of hours for your deposit to reflect on your PrimeXBT wallet address. Please ensure you send the right Coin to the right wallet address to avoid delays or loss of funds.
You can use this same process for depositing ETH, USDT, or USDC. All you need to do is select the right wallet of your choice, click on deposit, and then follow instructions.
To make a direct cryptocurrency purchase on the PrimeXBT platform using your credit or debit card, all you need to do is click on the “Purchase BTC” link that appears on the deposit pop-up.
This will redirect you to the page below where you can clearly see all accepted payment methods and fees charged.
Leverage Trading On PrimeXBT
PrimeXBT offers traders a 1:100 leverage for trading cryptocurrencies and a 1:1000 leverage for trading Forex, Indices, and Commodities.
How does this work? Well with leverage of 1:100, you can take a position that is 100x more than your account balance. However, leverage is a double edge sword and should be used with caution by only experienced traders.
A simple Explanation Of Leverage Trading & The Risk Involved
On PrimeXBT exchange, you can trade Bitcoin with up to a x100 leverage. An easy way of understanding leverage trading is to think of it as being able to open a position worth more money than the initial margin you are risking to open the position. When leveraged trading, it’s important to know that margin trading offers both big opportunities as well as risks.
A Margin Trading Example
For example, if you open a Bitcoin position on PrimeXBT using $1000 worth of BTC on 10x leverage, your full position will be worth $10,000. This means that if the Bitcoin price moves up only 1%, you will actually make 10% on your initial margin.
If you use 25x leverage and the Bitcoin price moves up 2%, your return on investment will be 50%, etc. Of course, the same can be said if the prices moves in the opposite direction, but with negative returns.
You are essentially “borrowing” Bitcoin from the exchange to maximize your profits. However, this comes with increased risk because of something called the “liquidation price”.
Risk – The Liquidation Price
In very simple terms, increased leverage means increased risk. For example, if we open a $1,000 Bitcoin position on PrimeXBT with the default 10x leverage we will increase our profits by 10 times if the Bitcoin price moves up.
However, if the price moves down 10% we will reach our liquidation price. If you use 100x leverage, which is the highest leverage possible on PrimeXBT, it only takes a 1% drop in the Bitcoin price for us to reach the liquidation price. Simply put, higher leverage means that the liquidation price will be closer to your entry price, which is riskier.
The liquidation price will always be met before the price reaches the “bankruptcy price”, as shown in the image below.
When the Bitcoin price touches the liquidation price, our position on PrimeXBT gets “liquidated”, which basically means that we lose our initial margin. In other words, if the position gets liquidated, we lose the position and the money we used to open the position. This is the risky part of margin trading Bitcoin.
Consequently, to prevent the leveraged position from getting liquidated you should always set up a stop loss, this is extremely important. Keep reading this PrimeXBT Tutorial – Complete Guide To Leverage Trading On PrimeXBT, because further down below we will explain step by step how to set up a proper stop loss.
To gain more information about leveraged/margin trading read our how to trade Bitcoin guide. This covers a step-by-step approach to leverage tarding for beginners.
Can You Lose More Than You Invested On PrimeXBT?
A common question is: can I lose more than I deposit into the exchange and then be in debt to PrimeXBT? No, you can never lose more than you deposit into PrimeXBT account. If you deposit 0.1 BTC into PrimeXBT exchange, the maximum amount of funds you can lose is 0.1 BTC. Moreover, you can never lose more than the funds you use to open a position.
To understand this, you’ll need to know the basics of trading on PrimeXBT, which you’ll learn in the following rapid-fire Trading guide.
Setting Up Your Margin Trading Account
In order to trade Bitcoin with leverage, you need to setup a PrimeXBT margin trading account and then internally tranfer funds from your PrimeXBT wallet to your margin account.
Just click on the deposit button in the margin trading account section of the website and then deposit into the wallet provided. Once the transfer has been confirmed, the equity on the margin trading account will change to reflect the new balance.
You can also pick a margin account with a different currency other than Bitcoin. Currently, PrimeXBT supports margin accounts with a base currency of ETH, USDT, or USDC. Just click on “Open new account” and pick the cryptocurrency of your choice.
Once the margin account as been successfully set-up and funded, the next step is to start placing trades. To get to your margin trading page, click on the Trade button located in front of the margin account of your choice.
This will redirect you to the trading page and chart of your margin account. On this page, you can begin choosing what pairs to trade, analyzing/marking out key levels, and placing your orders in the market.
We will talk more indepth about this later on in this PrimeXBT Tutorial.
PrimeXBT Trading Interface
The PrimeXBT trading interface is web-based, simplistic and very user friendly. it comes with an array of the best tools, indicators and features a trader can ever need to carry out extensive analysis and place trades.
Since it is web-based, it does not require you to download anything or make any installations on your computer. The trading interface also has an inbuilt “help and tutorial section” with videos and articles that are very useful for both beginners and intermediary traders looking to sharpen their trading skills.
Placing Your First Bitcoin Trade On PrimeXBT
Before you can successfully place your first Bitcoin trade on the PrimeXBT trading platform, you need to understand some important concepts and trading terms. Trading Bitcoin is a little bit more complex than just clicking the “buy” and “sell” buttons and below you will learn to trade cryptocurrency successfully.
Different Order Types
PrimeXBT offers its traders 3-different types of orders for entering and exiting trades.
A market order is an instant order. Once you place a trade using this order type, your trade request gets executed immediately at the best price available in the order book. You will pay a small transaction fee for this order type.
You place your trade above or below the current price and then wait for it to get triggered. When you open a limit order, you are a market maker, because you are providing the order book with liquidity. Your order will remain inactive and stay in the order book until the price gets to it. Here, you have the option of not paying transaction fees.
Works like a limit order but instead of opening trade the conditional order automatically closes a trade when price triggers it. You can set an automatic Take-profit and Stop-loss price using this order type.
Market Vs. Limit Order
- When it comes to placing a market order, you’re guaranteed to get the position opened immediately, but you won’t be able to control the entry price.
- With the limit order, you can guarantee your entry price, but you’ll have to wait for the price to reach your limit price for the position to open.
When trading on low time frames, such knowledge is very important to be successful. In addition, PrimeXBT fees are different for both market and limit orders. You’ll learn more about the fee structure further down in this PrimeXBT tutorial.
Applying Leverage To Your Trade On PrimeXBT
Understanding how leverage works is very important when it comes to trading on a margin account. PrimeXBT offers users the opportunity to trade the Crypto market with leverage as high as 1:100. This is the default leverage for all crypto trade and cannot be manually chaneged.
However, you can either increase or decrease the amount of cryptocurrency you are willing to trade at any point in time. With the leverage of 1:100, you can easily increase your trading size.
The higher the amount/size traded, the greater the risk /potential reward.
You can easily set your trading size from the New Order pane that always pops-up when you want to take a trade.
There are several Bitcoin trading platforms offering higher leverage. Make sure to check our list of the top exchanges for leverage trading Bitcoin.
PrimeXBT Trading Fees
PrimeXBT exchange has remained very competitive in its fee structure, providing users with one of the lowest fees in the Bitcoin trading industry. Currently, PrimeXBT charges a very low flat fee of about 0.05% per trade. This is very low, especially when compared to other exchanges. Most other cryptocurrency exchanges charge as much as 0.075% per order.
The most popular Bitcoin trading exchange, Bybit, charges a 0.075% taker fee. However, Bybit actually has a negative maker fee of -0.025%. This means that on Bybit, you’ll actually get paid for using limit orders as a market maker. If you use the market order a lot for entering trades on your chosen cryptocurrency pairs, then PrimeXBT is for you. However, if you are a regular user of limit orders, then check out our Bybit review.
PrimeXBT also charges overnight finance fees for holding a position open overnight, but this varies from trading pair to pair.
|Symbol||Trading Fee||Financing/day Long||Financing/day Short|
|BTC/USD||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
|ETH/USD||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
|ETH/BTC||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
|LTC/USD||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
|LTC/BTC||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
|XRP/USD||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
|XRP/BTC||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
|EOS/USD||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
|EOS/BTC||0.05%||0.194% Daily Funding Rate||0.194% Daily Funding Rate|
PrimeXBT Tutorial: How To Enter A PrimeXBT Trade
The best way to learn how to trade Bitcoin on PrimeXBT is with a real-world example. Below is a step-by-step guide on how to enter a position with leverage on PrimeXBT.
Choose A Crypto Pair
PrimeXBT has a watchlist you can easily customize and populate with the trading pairs of your choice. By clicking on the “Trade” button in front of the pair wish to trade, you open a chart dispaying the price of the crypto pair of your choice.
One of the many features the PrimeXBT trading platform has is the availability of an amazing charting interface and sufficient indicators to aid traders in their technical analysis. The platform has well over 90 different types of indicators inbuilt into the platform and readily available.
You can customize this charting interface and the numerous indicators inbuilt into the platform to suit all your trading needs. You can also easily create and import your own custom tools, indicators, and EA on the platform.
Choose An Order Type
To make a market order, simply press “market”, the leverage has already been set to 100x as default so all you need to do is set the quantity (Qty) you wish to trade and you’re ready to go. “Available Margin” simply shows you what you currently have in your account to trade with.
Stop Loss & Take Profit
Remember that one very important thing in Bitcoin trading is a stop-loss. Now, if you click “Long” or “Short”, you can enter a take profit and a stop loss level, and when you press “Confirm” in the bottom right corner, your market order will be executed and your take profit and stop loss levels will enter the order book as conditional orders that will trigger automatically if the price meets that level.
Before you press “Confirm”, review the order. Make sure that the quantity is correct and that the liquidation price is a level that you are comfortable with. Also, very important is to make sure that your stop loss will be hit before your liquidation price. If you agree to all the terms, press “Confirm”.
View Your Open Position
Now you have an open leveraged position on PrimeXBT. You will be able to view your current position at the bottom of your Bybit trading screen, as shown in the image below.
“Qty”, stands for the number of contracts that your position is worth at the time of opening it. Every contract represents 1 USD of value. “Value” is the same number but in BTC terms, and remember, it’s your initial margin + the leverage combined that sums up this number.
“Margin” shows you the funds that have been drawn from your Bitcoin trading account to open the position and “P&L” is your current profit or loss. “Daily realized P&L shows you how much realized profit or loss you have. This number is affected by fees and rebates.
Close Your Position
You can close your running positions on PrimeXBT using either a market or limit order. For market orders, you can easily click on the “x” cancel button in front of your trading pair.
For the conditonal order type, you can easily place your take profit and stop-loss orders. it will show up under their respective taps.
PrimeXBT Covesting: Earn While You Sleep
Recently, PrimeXBT introduced an amazing product on its platform called Covesting. The feature allows platform users to browse through hundreds of trading strategies provided by other professional traders and ranked by profitability by PrimeXBT.
Once you find profitable strategies that suit your needs and risk tolerance, you can automatically copy their trading activity onto your own account with Covesting. This way, you can improve your returns and achieve the same returns as the leading traders on the platform.
Covesting works well for both new and experienced crypto traders. It also provides you with a unique opportunity to diversify your crypto portfolio by investing in traders with unique strategies and amazing trading results.
PrimeXBT stands out as one of the best leverage crypto trading platforms in the industry. Their dedication to providing the best of services and help for both new and experienced traders makes them one of a kind.
So what are you still waiting for? take the next step by signing up with our link to get your bonus once you deposit, and start trading immediately.
Other Bitcoin Exchanges
Even though the company is still relatively new in the trading industry, PrimeXBT has grown to become an industry leader. If this does not exactly meet your taste, there are several others that could be of interest. Make sure to read our list of the lowest fee bitcoin exchange in the world.