If you have already started trading Bitcoin contracts and are experiencing losses, struggling to find a solution, then I strongly recommend that you read this article word for word. After reading, you will find that you will no longer be at risk of being taken advantage of.
No longer need to blindly bet on rises and falls, nor wake up at six in the morning to receive messages like XXX 'You have been forcibly liquidated by the system' and feel miserable for several days...
It is better to teach a person to fish than to give them fish. Today, I not only tell you the essence of futures contracts but also share my experiences accumulated over many years in the market, so you can learn this set of Bitcoin contracts and futures trading system and use it as a tool!
No need to suffer losses that you don't understand, avoid a pitfall, which is worth millions in your investment journey.
Not for anything else, just seeking to move a finger to click follow.
The leverage multiplier does not determine risk; any leverage has 100% risk. What the leverage multiplier determines is the distance to your liquidation price.
It's not that you can win just because you judged correctly.
For example, if you bought correctly and were bullish, it did indeed rise after a while.
But sorry~ you may have already been liquidated in advance. For example, if you bought long around $6200, it first dropped to your liquidation price of $5000 before rising, indicating you have already been liquidated, and saying anything is useless.
Once you start trading, you will fall into a period of self-deception.
After you place your order, the illusion begins to form. You keep expecting it to move in the direction you judged, and then you will keep staring at it because the distance to your liquidation price is so close...
In fact, your subjective awareness not only cannot control the market direction, but you are also easily controlled by price fluctuations, leading to wrong decisions.
Therefore, if you want to participate in Bitcoin contract trading, you must rely on data and rigorous investment discipline, and through deliberate practice, help yourself break free from this psychological bias!
After reading the above content, you have actually surpassed 90% of retail traders in this market!
Next, if you continue to patiently look at the content below, you will be able to surpass 99% of retail traders in this market!
2. The role of contract leverage
Many people, upon hearing about contracts and leverage, immediately say this is 'gambling', operating furiously, and should not be touched... But few know that it is actually a very good risk hedging tool, and secondly, a tool for arbitrage that only a few can use effectively.
Most people start by treating futures trading as a tool for big and small bets, so when we are not good at it and lack an intellectual advantage, we cannot gain information in an environment of 'information asymmetry', leading to the instinct to create reasons that make ourselves feel better or to create an imagined enemy.
This concept is what we often hear: 'the dealer' or 'the dog dealer'.
Especially in the blockchain contract market, this is where the competition for existing funds is the fiercest.
