Having been in the market for several years, to be honest, I've seen too many tragedies of 'losing every time you open a position, precision liquidation'.
Does this happen to you often? You spot a trend, confidently open a position, and then when you come back from the bathroom, your position is gone!
A contract, in simple terms, is playing with a large position using a small amount of money. It sounds appealing, but the essence is leverage!
Leverage amplifies your profits while also amplifying your risks! Originally, you could interact with the market, but with contracts, it's a direct win-or-lose situation!
For example, if you have 100 dollars and use 10x leverage, it's like controlling a position of 1000 dollars. If the market rises by 10%, your earnings double! But if the market goes against you by 10%, sorry, you're directly liquidated, and your account goes to zero!
The contract market is a zero-sum game; every dollar you earn is a dollar someone else loses, and vice versa. This is not a battle between retail investors but a game between retail investors and large funds!
What truly drives market movements are the big players and institutions! They don't care about short-term fluctuations; they are focused on the stop-loss points in the market! They will first wash out small players and then decide whether to push the market up or down.
When there are too many long or short positions, large funds will use volatility to hit the liquidation points of leveraged players! After a batch of people are passively forced out, they will control the market and move at their own pace!
This is why beginners are often the first to be washed out. Why? High leverage, positions that can't be sustained, and they are the easiest to harvest!
To survive in the crypto space, remember one thing: don’t trade for profits, but trade for safety!
If you want to achieve stable profits, first put aside your eagerness for quick success and fantasies of overnight wealth!
In fact, trading in the crypto contract market can be said to have the lowest costs.
If it's stocks, one lot can be a few hundred, and losing once can cost tens.
If it's futures, one lot can be over a thousand, and losing once can cost hundreds.
In the crypto contract market, you can open a position with as little as 1U, or even 0.5U. With a 3% stop loss set, you might lose a few dollars in one go.
With such cheap tuition, why rush?
When you are not consistently profitable, you should be wary of the significant risks and the likelihood of liquidation in contracts.
When you can consistently earn profits, you should appreciate the benefits of large fluctuations in contracts that lead to significant returns. Therefore, to succeed, you need to achieve consistent profitability.
As someone who has been through it, I can tell you: in trading from a technical perspective, it’s all about learning patterns, candlesticks, and technical indicators.
Is this difficult? If mastering these techniques guaranteed profits, then all the top students would be trading experts.
In fact, in futures trading, the most important thing in the crypto space is experience.
This experience includes: mindset, how to deal with market situations. How to reconcile with yourself during losses, and how to boost your confidence during profits.
In the crypto space, it's basically a struggle between retail investors and institutional players; if you don't have cutting-edge information or firsthand data, you can only be harvested! If you want to plan together and harvest with the big players, you can come to me!
There’s a saying I strongly agree with: the boundary of knowledge determines the boundary of wealth; a person can only earn the wealth within their knowledge boundary.
When trading cryptocurrencies, you must maintain a good mindset. Don't let your blood pressure rise during a crash, and don't become complacent during a surge; securing profits is crucial.
For those without many resources, being practical is the unbreakable way to survive. Good luck!$BTC $ETH #加密市场反弹 #Strategy增持比特币