At three in the morning, a friend from Hunan sent a voice message, trembling in his voice:
"Bro, I put all my 10,000 U in a tenfold position, and it dropped 3% and got liquidated, what's going on?"
I looked at his records: 9,500 U fully invested, selling off at the slightest drop, buying back at the slightest rise, going back and forth, and he didn't even set a stop loss.
Many people think that going all in means they can withstand it, but if it's not done well, it dies faster than using a partial position. The key to a full liquidation isn't leverage, but rather the position size being too heavy — just like he put in 95% of his capital, and with slight fluctuations, it went to zero directly.
These three principles have allowed me to go half a year without liquidation, and I even doubled my money:
First, a single trade should not exceed 20% of total capital.
For a 10,000 U account, the maximum for one trade is 2,000 U.
Even if the stop loss is 10%, the loss would only be 200, not harming the foundation.
Second, a single loss must not exceed 3% of total capital.
For example, if I open with 2,000 U at twenty times, set a stop loss at 1.5%, a loss of 300 is exactly 3% of total capital. If I make several consecutive mistakes, I can still hold on.
Third, do not open positions during fluctuations, and do not add to profits.
Only trade during trend breakouts; no matter how tempting the sideways market is, I won't touch it. After opening a position, never chase the market; controlling your hands means controlling your emotions.
The true purpose of going all in is to leave room for a buffer, not to gamble your life.
There was a fan who kept getting liquidated monthly; after following these three rules for three months, he rolled from 5,000 U to 8,000 U.
He said: "I used to think going all in was gambling, but now I understand that going all in is for stability."
In the crypto world, it's not about who makes money faster; it's about who survives longer.
Gamble less on direction, control your position more, and slow is fast.
Can't control your position? The bright light is right in front of you @顶级带单飞哥
