Daily Money-Losing Guide: Full Position + High Leverage
Many people who just entered the crypto world don't start by learning risk control,
but rather first think about one thing:
With such a small principal, how can one turn it over without leverage?
Thus,
heavy positions with high leverage,
became the fastest way for beginners to pay tuition.
Let me make it clear:
This kind of play is not "possibly losing,"
but it will definitely cause problems, it's just a matter of time.
The reason is simple.
You think leverage amplifies profits,
but what it truly amplifies is price volatility.
And most of the time in the market,
it's not a one-sided rise,
but rather repeated fluctuations, sweeping people back and forth.
Thus, the most heart-wrenching scene will appear:
The direction is correct, the trend is also right,
but you just can't——
hold on until the market moves.
Being stopped out or forcibly liquidated,
is not due to poor watching of charts,
but because from the moment you place the order,
the position structure has already been sentenced to death.
Do you know what kind of people the exchanges like the most?
Those with full positions, high leverage, frequent orders, and who love to hold.
In their view:
Stop-loss is liquidity,
liquidation is the counterparty,
and transaction fees are stable income.
You think you are taking a gamble,
but in reality, you are adding fuel to the market.
Those who can survive in the long term,
are usually only these few types:
Light positions, avoiding a single fatal drawdown
Low leverage, or even none, able to withstand volatility
Putting "survival" as the top priority
Valuing certainty more than odds
It’s not that they don’t want to make quick money,
but they are very clear:
Opportunities are always abundant, the principal is the life.
If you still hope
for one or two heavy positions to turn around,
using 20x or 50x to change your fate,
Then you are not trading,
but accelerating your exit.
No mysticism, no selling things,
just a heads-up——
You will eventually encounter these pitfalls.
The last sentence is very realistic:
Since you want to trade,
at least choose a platform with low transaction fees,
this is the most basic and also the most important cost control.
Those who can survive in the market and still make money have always been the ones who dare to reach out first.
Are you ready? @bit萧
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