๐ง How Liquidation Price Works
For LONG position:
Liquidation happens when price drops enough to wipe your margin
For SHORT position:
Liquidation happens when price rises too much
๐ Example (Based on Your Setup)
๐ข Scenario:
Entry: $0.0222
Leverage: 5x
Margin: $100
๐ Approx Liquidation:
๐ ~$0.0180
โ Thatโs ~18โ20% drop from entry
๐ด Higher Leverage Example
Same trade with 15x:
Entry: $0.0222
๐ Liquidation โ $0.0205
โ Just ~7โ8% move โ account wiped
โ๏ธ Quick Rule
Leverage Distance to Liquidation
3x ~30% move
5x ~18โ20% move
10x ~10% move
20x ~5% move
๐ก Pro Tip (VERY IMPORTANT)
Your stop-loss MUST be far from liquidation
Ideal:
SL at 5โ7%
Liquidation at 15โ20%+
๐ This gives you safety buffer
๐ฅ Best Setup for SENT
Leverage: 5x
Entry: ~$0.0222
SL: $0.0208
Liquidation: ~$0.0180
โ Safe structure โ wonโt get wiped by small wicks
โ ๏ธ Reality
Most traders get liquidated because:
Using 10x+ leverage
No stop-loss
Entering late