My friend shoved his phone in front of my eyes, and the screen showed the contract account was completely empty: "1000U principal, gone in five days. If I had known, I would have stubbornly stuck to spot trading!"
His frustration felt like a needle, piercing back to when I first entered the crypto world—my mind was filled with thoughts of "making quick money," but I ended up getting hurt badly.
The first time I encountered contracts, I was lured by the claim of "doubling in a day."
Holding 800U in principal, watching spot trading rise slowly, I turned around and jumped into BTC with 10x leverage.
Little did I know, that day brought volatility, and when the 8% liquidation warning popped up, my mind went blank; I actually doubled down and held on, ultimately not only failing to save the position but also losing an additional 200U.
Now when I think back to that move, all that remains is the word "absurd."
Only after falling into many pitfalls did I understand: whether to choose spot or contracts has nothing to do with "how quickly you can make money"; it only depends on "whether you can withstand it."
Over the years, I've used this logic to advise many blindly following trends.
For a principal below 1500U, I sincerely recommend sticking to spot trading.
That friend of mine with 1000U playing contracts, under 10x leverage, if BTC drops 10%, he directly faces liquidation; he panics and adds to his position at the sight of red, and it's only a matter of time before he loses all his principal.
But spot trading is different. Holding coins gives you confidence; even if it drops 20%, as long as you don’t sell, there will always be a rebound opportunity.
Contract volatility is several times that of spot; if ETH spot drops 5%, a 10x contract loses 50%, which new traders simply cannot handle psychologically.
Previously, when I held ETH in spot, I wasn’t worried even when it dropped 15%; after waiting for half a month, it indeed bounced back.
Meanwhile, contract traders often focus on "earning 300U in a week," forgetting the risk of "losing all capital" behind it.
Spot trading earns long-term returns. Last year, the SOL spot I bought rose 40% over four months; although it’s slow, I sleep soundly.
Don’t envy the myth of contracts doubling in a day; for new traders, being able to hold onto spot trading and avoiding pitfalls is the true victory.
In the past, I stumbled alone in the dark, but now the light is in my hands.
The light keeps shining; will you follow? @不贪的阿 K



