Gate Contract Trading Depth Analysis: Utilizing Professional Trading Tools Amid Market Volatility

In the global digital currency trading market, Gate, as a longstanding trading platform, continues to strengthen its position. As of November 2025, the platform serves over 46 million registered users worldwide, offering more than 4,100 assets.

Today (December 16), against the backdrop of Bitcoin falling below $86,000 and large-scale liquidation of contracts across the network, Gate’s futures trading features are providing investors with differentiated risk management tools.

01 Market Performance

As of December 16, the overall cryptocurrency market shows a downward trend. Bitcoin is priced at $86,026, down 2.8% in the past 24 hours, while Ethereum has also declined by 3.7%, trading at $2,953.

According to the latest reading of the Fear and Greed Index, market sentiment has dropped to the extreme fear zone, with over 30% of the past two months being in fear or extreme fear.

This decline has triggered large-scale contract liquidations. In the past 24 hours, total contract liquidation across the network reached $270 million, with over 110,000 traders wiped out. Long positions accounted for $230 million of the liquidations, far exceeding the $35.23 million in short liquidations.

02 Product Positioning

In response to market volatility, Gate has launched the decentralized perpetual contract trading platform Gate Perp DEX, aiming to combine the liquidity of centralized exchanges with the transparency and security of decentralized exchanges.

The platform is built on Gate’s independently developed Layer 2 network, Gate Layer, and is an important implementation of Gate’s “All in Web3” strategy, offering a truly “connect-and-use” trading experience.

Gate Perp DEX supports multiple mainstream public chains including Ethereum, BSC, Solana, Base, and also enables cross-chain interoperability. Users can trade with various assets such as USDT, USDC, ETH, BTC as collateral freely.

03 Core Features

Gate’s contract trading platform offers professional-grade trading functions to meet different strategic needs. The platform supports up to 125x leverage and offers a variety of order types including limit orders, market orders, conditional orders, and stop-loss/take-profit orders.

It is worth noting that the platform provides two margin modes: full position margin and isolated margin. For novice traders, it is recommended to prioritize using isolated margin mode, which isolates the risk of loss in a single trade within specific margin limits to prevent total loss.

With Gate Layer technology, transaction confirmation speeds can reach seconds, and Gas costs are reduced by approximately 95% compared to the Ethereum mainnet, delivering fast, low-cost trading experiences.

04 Asset Security

Regarding asset security, all user assets are held in audited smart contracts, with users maintaining control of their private keys through Web3 wallets. All transactions and asset changes are recorded on-chain in real-time, ensuring transparency and traceability.

Gate maintains 100% reserve guarantees, meaning the platform always holds sufficient funds to support user balances, reducing the risk of liquidity shortages during withdrawals.

Additionally, Gate operates a proof-of-reserves system that allows users to verify whether their assets are securely held and not misused. Regular third-party audits and public wallet records are used to compare overall liabilities with actual reserves.

05 Practical Guide

For beginners new to contract trading, Gate offers a clear onboarding process. First, users do not need complicated registration or identity verification—simply connect with Gate Wallet or other mainstream Web3 wallets.

Next, users select the supported public chain (such as ETH, BSC, or SOL), and deposit assets like USDT into the connected wallet address. It is especially important to ensure that the deposited assets match the network of the selected public chain.

In the trading interface, choose the trading pair you are interested in, set leverage, select order type, and set stop-loss/take-profit to manage risk, then execute the opening position.

06 Trading Strategies

In the current market environment, developing suitable trading strategies is particularly important. For traders new to perpetual contracts, it is recommended to start with low leverage and always set stop-loss and take-profit orders to effectively manage risk.

In volatile markets, consider employing position scaling techniques, such as gradually increasing positions when trends are favorable, while moving stop-loss orders to lock in profits. Using automated compounding and reinvestment strategies can also help grow the principal.

It’s crucial to always remember that contract trading involves high risk and may lead to loss of principal. Trade rationally and do not invest funds beyond your risk tolerance.

Future Outlook

On the Gate Perp DEX trading page, users can already experience a rich trading scene supporting 447 markets, with leverage on BTC and ETH markets reaching up to 125x.

According to the latest data from Gate, despite market pullbacks, core assets such as BTC, ETH, and GUSD on the platform have hit new mid-term highs, with derivatives trading market share stable at 10.5%, maintaining the global fourth position.

Looking ahead, Gate plans to introduce AI trading assistants to provide strategy suggestions and risk control tools for users, as well as more innovative derivative products such as perpetual ETFs, continuously enriching the on-chain trading ecosystem.