#Write2Earn
Hi friends
Why Do So Many People Lose Money in Crypto? One Word: Leverage.
One of the biggest mistakes new traders make in the crypto world is using high leverage without truly understanding the risk.
Let’s say you only have $1,000, but you decide to trade with 100x leverage using just $100.
Now, you're controlling $10,000 in the market — $9,000 of which isn’t even yours.
If the market moves just 10% against your position — which happens all the time in crypto — your $1,000 is gone. Wiped out.
High leverage might look tempting, but it’s a double-edged sword.
Contract trading is just a tool. It can help you short the market when needed, while spot trading is more straightforward — buy and hold.
The tool isn’t dangerous by itself. Just like a knife, it depends on how you use it — for protection or destruction.
You’ll often see 10x, 50x, even 100x leverage being promoted, but don’t forget the most powerful leverage of all: 1x — trading only with your own money.
The market moves daily. It’s noisy, unpredictable, and emotional. Don’t panic.
If you always feel one step behind or overwhelmed by the chaos — you're not alone. Let’s talk.
Trade smart. Stay in control. Leverage is optional — risk management isn’t.
