#MarketTurbulence

The liquidation price is not fixed; it changes according to:

- Changes in margin balance

- Fees and interest

- Type of account

- Market movements

- Adding or withdrawing funds from the margin

Example (simplified):

- If you start a trade with $100 at 10x leverage and a liquidation price of 9000 (for example, for Bitcoin).

- After 3 days, $2 in fees and interest are deducted.

- Now your actual capital is $98, so the liquidation point is adjusted closer (for example, it becomes 9010).

- The longer you hold the trade, the closer the liquidation gets.

Advice:

- Always monitor your margin balance and the fees/interest paid.

- Use stop-loss orders.

- Do not use high leverage unless fully aware of its risks.

⚠️ Very important notice:

- Leverage multiplies profits, but it also multiplies losses!

- If the price drops by just 5%, you could lose your entire capital ($10), as the loss is calculated on the full trading amount ($200).

- Trading with leverage requires high expertise and precise risk management.