Last week, Xiao Yang in the community blew up his position again; this is the third time this month.

With a capital of 10,000 USDT, he opened a long position of 30,000 USDT in ETH, seeing the platform labeled "5x leverage". As a result, a small bearish candle in BTC caused the sector to collapse, and his position was liquidated within three minutes.

Such scenarios play out every day in the futures market. In November, the liquidation amount in the cryptocurrency futures market exceeded 28 billion US dollars, with 80% being retail investors using over 10x leverage.

Many people haven't even calculated their "actual leverage": you can afford to lose 500 USDT in capital, yet you opened a position far beyond your capacity. It seems like 5x leverage, but in reality, the leverage is magnified to dozens of times due to capital management loopholes.

Last week, just a 3.2% pullback in BTC triggered the liquidation of 42,000 long positions, and those liquidated chips became the profit source for the skilled players.

Real futures players never use it to gamble.

For them, futures are tools to hedge against spot risk, and the core is "wait for signals".

They spend 70% of their time monitoring MACD divergences and volume indicators, and only act when the trend confirmation signal appears, strictly controlling the margin ratio within 10% of the account.

In contrast, retail investors chase after rises and cut losses during falls; the transaction fees from high-frequency operations are enough for the platform to buy a sports car.

To survive in futures, it boils down to two words: restraint.

This is the most practical experience I've gained from five years of watching the market: while others are fixated on the candlestick chart shouting "all in", you need to calculate the liquidation line; #加密市场观察

When others are cursing during liquidation, you should check if the risk-reward ratio has reached 1:3.

Losses must not exceed 5% of the account, but profits should dare to set trailing stop losses to let profits run with the trend.

Futures are not gambling; reckless heavy positions and relying on feelings are.

Controlling risk with discipline and earning profits based on probability is the survival rule.

Recently, I've been leading a team to make trend trades, sharing risk management models with everyone. If you want to avoid liquidation traps, follow me; I only talk about practical techniques that can be implemented.

Follow me; I only discuss practical techniques that can be implemented. See you in the Binance chat room. #币圈暴富