爆倉

Hello everyone! In today's 100-day challenge in the crypto world, let's talk about two crucial concepts in leveraged trading that cannot be ignored: Margin Call and Liquidation. These two terms are particularly important for high-leverage traders as they not only affect your positions but also determine your financial fate. Let’s dive deeper into the operating mechanisms and response strategies for both!

The metaphor of margin call and liquidation: a tilted water cup🚰
Imagine your leveraged position as a cup of water, and market volatility is equivalent to shaking the cup.
Margin Call: When the water is about to overflow, make the cup larger (increase margin) to prevent water from spilling out (liquidation).