In the high-stakes world of crypto trading, leverage can make you rich—or wreck your wallet. Many traders are tempted by 50x, 100x leverage offers, hoping for quick profits. But here’s the truth: high leverage is a liquidation trap.
What Is Leverage in Crypto?
Leverage means borrowing funds to open a larger trade than your actual balance. For example, with 10x leverage, $100 lets you trade with $1,000.
Sounds great, right? Until the market dips just a little—and your position is automatically liquidated.
Why Low Leverage = Smart Trading
More Room for Market Swings: Crypto is volatile. A 2x or 3x leverage gives you space to breathe.
Less Stress: You won’t be glued to charts fearing sudden drops.
Better Risk Management: Slow and steady wins the long-term game.
Final Word
Leverage is like fire—it can warm your wallet or burn it to ashes. So next time you trade, keep it cool. Use low leverage. Save your wallet. Stay in the game.
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