How to Trade Perpetual Futures on Bybit: Step-by-Step Guide for Beginners

By Bybit Research · Published July 13, 2026 · Updated July 13, 2026

Perpetual futures contracts are one of the most popular trading instruments in the cryptocurrency market, allowing traders to speculate on price movements without owning the underlying asset. Bybit is renowned for its robust perpetual futures market, offering deep liquidity, low fees, and an intuitive trading interface. This step-by-step guide walks beginners through the entire process of trading perpetual futures on Bybit, from account setup to executing your first trade and managing risk.

Understanding Perpetual Futures Contracts

Before diving into the practical steps, it is essential to understand what perpetual futures contracts are and how they differ from traditional futures. A traditional futures contract has a specific expiration date, at which point the contract settles and the position is closed. Perpetual futures, as the name suggests, have no expiration date, allowing traders to hold positions indefinitely.

To keep the perpetual contract price aligned with the spot price of the underlying asset, exchanges use a funding rate mechanism. When the perpetual price is higher than the spot price, long positions pay a funding fee to short positions, incentivizing traders to short and bring the price back down. Conversely, when the perpetual price is lower than the spot price, short positions pay long positions. This funding rate is typically charged every 8 hours.

Bybit offers both USDT-margined (linear) and inverse perpetual contracts. USDT-margined contracts are settled in USDT, making them simpler for beginners because profits and losses are denominated in a stablecoin. Inverse contracts are settled in the underlying cryptocurrency (e.g., BTC for BTCUSD contracts), which adds complexity but can be advantageous for long-term holders.

Step 1: Account Registration and Verification

The first step to trading perpetual futures on Bybit is creating an account. Navigate to the Bybit registration page and sign up using your email address or phone number. Create a strong password and complete the CAPTCHA verification. You will receive a verification code via email or SMS that you must enter to confirm your registration.

After registration, you must complete the Know Your Customer (KYC) verification process. This involves providing your full name, date of birth, residential address, and a government-issued identification document such as a passport, driver license, or national ID card. You will also need to complete a facial verification check. KYC verification is mandatory for futures trading and typically completes within a few hours.

Once your account is verified, enable two-factor authentication (2FA) using Google Authenticator or SMS. This adds an essential layer of security to your account and is required before you can deposit funds or start trading.

Step 2: Depositing Funds

To trade USDT-margined perpetual contracts, you need to deposit USDT into your Bybit account. Navigate to the Assets page and select Deposit. Choose USDT as the cryptocurrency and select the blockchain network you wish to use. Bybit supports multiple networks including Ethereum (ERC-20), TRON (TRC-20), and BNB Smart Chain (BEP-20).

TRC-20 is generally the most cost-effective network for USDT transfers, with fees typically under $1 per transaction. Copy the deposit address displayed on the screen and initiate the transfer from your external wallet or exchange. The funds will appear in your Bybit account after the required number of blockchain confirmations, which usually takes 5 to 30 minutes depending on the network.

Once your deposit is confirmed, transfer the USDT from your Spot account to your Derivatives account. This is an internal transfer that is instant and free of charge. You can do this from the Assets page by selecting Transfer and moving funds from Spot Wallet to Derivatives Wallet.

Step 3: Selecting a Contract and Setting Leverage

Navigate to the Trade section and select Derivatives. You will see a list of available perpetual contracts, including popular pairs like BTC/USDT, ETH/USDT, and SOL/USDT. Click on the contract you wish to trade to open the trading interface.

Before placing an order, you need to set your leverage. Bybit allows leverage of up to 100x, but beginners should start with much lower levels, typically between 2x and 5x. Higher leverage means that even a small price movement against your position can result in liquidation, where your entire margin is lost. To change the leverage, click on the leverage selector and enter your desired level.

You also need to choose your margin mode. Cross margin uses your entire derivatives account balance as collateral, meaning that profits from other positions can help prevent liquidation. Isolated margin restricts the collateral to the margin allocated to a specific position, limiting your maximum loss to that amount. For beginners, isolated margin is recommended as it provides better risk control.

Step 4: Placing Orders

Bybit offers several order types for perpetual futures trading. The most common are market orders, limit orders, and conditional orders. A market order executes immediately at the best available price, which is ideal when you want to enter or exit a position quickly. A limit order allows you to specify the price at which you want to buy or sell, which is useful for getting a better entry price but may not be filled if the market does not reach your specified price.

To place a long (buy) order, enter the quantity of contracts you wish to buy and select your order type. If placing a market order, simply click Buy Long. If placing a limit order, enter your desired price and click Buy Long. The order will appear in the Open Orders section until it is filled.

Conditional orders, including stop-loss and take-profit orders, are essential for risk management. A stop-loss order automatically closes your position when the price reaches a predetermined level, limiting your losses. A take-profit order automatically closes your position when the price reaches your profit target. You can set these orders when placing your initial order or add them to an existing position.

Step 5: Managing Positions and Risk

Once your position is open, it will appear in the Positions section, showing your entry price, current PnL (profit and loss), margin, and liquidation price. Monitor these metrics closely, especially the liquidation price, which is the price at which your position will be automatically closed to prevent further losses.

To close a position, you can place an opposite order (sell to close a long position, or buy to close a short position). Alternatively, you can use the Close button next to your position to close it at the current market price instantly. Always consider closing positions before major market events or when you will be away from the markets for an extended period.

Effective risk management is the most critical skill for successful futures trading. Never risk more than a small percentage of your account on a single trade, typically 1% to 2%. Always use stop-loss orders. Avoid using maximum leverage. And perhaps most importantly, do not let emotions drive your trading decisions. Stick to your trading plan and accept that losses are an inevitable part of trading.

Frequently Asked Questions

Below are answers to common questions about trading perpetual futures on Bybit.