Crypto Contract: 99% of people face liquidation, why do 1% of people make a fortune? The truth is mind-bending!
Do you think low leverage is safe? Wrong! 90% of people can't even calculate the 'real leverage'!
You face liquidation, not because the market is too harsh, but because you fundamentally don't understand the 'rules of the game'.
1. Those who face liquidation support those who make money.
Every day countless people face liquidation, but why do some people still make a fortune?
Because the contract market is a 'body-snatching' game; the money you lose in liquidation ultimately ends up in someone else's pocket.
Question: Whose money is it when the contract makes money?
Answer: The money of the liquidated people!
2. 90% of people die in these 3 fatal traps.
Holding on (not cutting losses when losing, resulting in being wiped out in one wave)
Going all in (a single mistake leads to a complete loss)
Emotional averaging down (the more you lose, the more you add, ultimately leading to complete liquidation)
You are not losing to the market; you are losing to yourself!
3. Leverage is not what you think it is.
The '5x' or '10x' written by exchanges is just for platform risk control and has nothing to do with your actual risk!
Real leverage = your position / your stop-loss funds.
With a capital of 10,000 USDT, using 10x leverage and only setting a stop-loss of 100 USDT?
Your real leverage is actually 100x! (With a slight market fluctuation of 1%, you'll be out!)
4. The secret of professional traders: 80% of the time in cash, 20% of the time picking up money.
You are not here to trade; you are here to wait for others to make mistakes.
Bull market? Retail investors FOMO chase highs, you short at high positions.
Bear market? Retail investors panic sell, you buy at low positions.
You can make money in both rising and falling markets; the key is whether you can survive until the 'money-picking moment'.
With the same strategy, 80% of people still lose money—because of human nature.
Dreamers: This coin can rise 100 times! Go all in! (Result: liquidation)
Risk managers: This position has a risk-reward ratio of 3:1, try a 5% position, and set a clear stop-loss.' (Survive, wait for opportunities)
If you can't control risk, don't play contracts.
6. How to become that 1% winner?
Do you know why some people keep making profits while you are always being harvested?
Do you know that the real 'high win-rate strategy' does not rely on technical indicators but on 'contrarian behavior'?
Do you know how to use 'hedging arbitrage' to profit from swings rather than blindly betting on direction?
If you really want to make money, learn to 'not face liquidation' first.
Otherwise, you will always be someone else's ATM.