I see many bloggers saying they opened 5x or 10x, and that leverage is already very small. I'm really speechless. In fact, I want to tell you, you're all wrong. Leverage is not calculated that way at all. The leverage ratio calculated by the platform has little to do with you; it is more about the proportion that affects the platform's safety. You should calculate risk based on stop-loss or sufficient capital. With the volatility of crypto, it's enough to open positions evenly in increments, around 10-20% of the capital each time, with a total position limit of about 2 (short) to 4 (long) times the initial capital at any one time. The overall stop-loss risk should be high at around 20% of the capital (or within your actual psychological tolerance, which must also be less than 20%). It is recommended to average the risk over time to 10%, meaning there are periods when you are flat... Some may ask, then why engage in contracts... Hehe... I might offend the entire crypto community by saying this: do you really want to earn coins or money? Is there a more flexible speculative tool than contracts? Is USDT really useless? At the onset of a bear market, what is safer—coins or USDT? When you spend money, do you spend coins or USDT? Dear friends in the crypto world, doing contracts (pure speculation) and investing in coins (similar to venture capital) are completely different professions. The essence of contracts is trading risk. Or rather, it is about using risk management and expectations to make money. When doing contracts, you must understand this statement clearly. You might not believe in technology, not believe in manipulators, not believe in K-lines and moving averages, not believe in BTC, thinking they are all scams, or you can believe in them; these conceptual issues won't hinder your ability to earn money. But there is one thing you must understand, and that is [risk]: what is risk, how to control risk, how to calculate risk, how to operate risk, how to withdraw from risk... how to survive... ------- you cannot earn money outside of your cognitive range... Originally, if you invest in a coin and the value doubles, you earn 100%; so if you do contracts and earn 300% with 3x leverage, do you know where that extra money comes from? — For contract trading, the money earned is actually from risk management, which is money given to you by others' losses and liquidations, and to access that money, first, you cannot get liquidated... In fact, looking at the market from the perspective of [risk] is completely different from how ordinary people see it. It's like looking at a mountain from the bottom versus a panoramic view from the top; they are not the same at all. For example, people buying coins can hold their positions waiting for a rise, enduring losses with patience... But in contracts, if you hold a position waiting and endure losses, you likely won't survive the first three episodes. Therefore, operations based on [risk] management are completely different from methods based on [dreams]. In the trading market, dreaming costs money, while those who manage [risk] strive to get that money. So, do you want to be a [dreamer] or a [risk manager]? That depends on you. However, [dreamers] should not play contracts, as engaging in contracts will shatter the beautiful dreams built over years within a few days. That awakening happens too quickly. Anyone who has made a lot of money will feel during the process: "That period was almost like picking up money." That's about right, but—when your opportunity arrives, meaning when it's your turn to pick up money, you must be alive and have the capital to pick it up. Yes, making money from contracts is not difficult... After all, there are so many people getting liquidated and handing over money. They are racing on the edge of a cliff; you just need to wait at the bottom of the cliff and pick up some parts to get by. The difficulty lies in the fact that it is inherently counterintuitive; basically, you have to go against the common people's thoughts about "becoming rich overnight." Whenever you are eager to add positions or open new ones, you need to think about what it means to [go against human nature]... If buying coins is fishing, then doing contracts is stepping into the boxing ring... So I say it's normal to have many periods of being flat. Waiting, testing, retreating, trying again, waiting again... this is the norm for successful speculators.
