Going "long" means buying a cryptocurrency with the expectation that its price will rise. A long position profits when the asset appreciates in value and loses when it declines.
Spot vs Leveraged Long
Spot Long: Simply buying and holding the asset. Maximum loss is limited to your investment.
Leveraged Long: Using borrowed funds to amplify your position. A 10x leveraged long on $1,000 gives you $10,000 of exposure, magnifying both gains and losses.
Long vs Short
While going long bets on price increases, going "short" bets on price decreases. Traders short by borrowing an asset, selling it, and hoping to buy it back cheaper later. In crypto, both long and short positions can be opened on futures exchanges.
Liquidation Risk
Leveraged long positions have a liquidation price — if the asset drops to this price, your position is automatically closed and you lose your collateral. Higher leverage means a closer liquidation price and higher risk.