Leverage is not a devil. Liquidation price? Totally exaggerated.
90% of people misunderstand the essence of contract trading.
📉 "What’s the difference between 10x with $1000 and 5x with $2000?"
When you see someone asking this question... you know immediately:
He is stuck in the liquidation price mindset.
👉 Both positions are worth $10,000.
But beginners only say: "10x is more dangerous - liquidation price is closer!"
⚠️ Mistake.
The real risk is not leverage.
The real killer is the lack of a stop-loss order and poor risk management.
💡 High leverage does not destroy your account.
You are the one destroying it - when you open a position with 50x and then... withdraw in hope.
This is gambling. It's not trading.
The secret?
🎯 The smartest traders use high leverage with precise stop-loss orders.
They don't worry about liquidation - because they don't let it get to that point.
And here’s the bitter truth:
If you can't achieve consistent profit in spot trading,
Then the contracts will drain you faster.
Many beginners ask: "Sir, how do I turn $200 into $2000 quickly?"
They usually do this...
💸 By losing everything in 5 minutes.
✅ Achieve your first gains in spot trading.
✅ Learn the candle structure.
✅ Learn to control position size.
Then test the situation with contracts - using profits only.
📌 Summary:
Leverage is a tool.
Are you using it with discipline? It builds wealth.
Are you using it emotionally? It destroys accounts.
🧠 Smart traders control risk.
Beginners chase dreams and get liquidated.
Which one are you?