🚨 Leverage isn’t the enemy, and liquidation price is often overhyped.

Most traders misunderstand what really matters in contract trading.

📉 For example: “Is 10x on $1,000 riskier than 5x on $2,000?”

Both positions control $10,000, but focusing only on the liquidation price misses the point.

New traders often worry about leverage, thinking higher leverage is always riskier because the liquidation price is closer—this isn’t the real issue.

The real danger comes from poor risk management and skipping stop-losses, not the leverage itself.

💡 High leverage won’t wreck your account—bad habits will, like opening a 50x trade and then just hoping for the best. That’s gambling, not trading.

Smart traders use higher leverage with strict stop-losses, so liquidation isn’t even a concern—they never let it get that far.

Here’s the tough truth:

If you can’t make steady profits trading spot, using contracts will likely drain your account even faster.

Many beginners ask, “How do I turn $200 into $2,000 quickly?”—and usually end up losing it all in minutes.

✅ Start with spot trading, learn candlestick patterns, and manage your position sizes.

Only try contracts with profits—not your main capital.

📌 Bottom line:

Leverage is just a tool. Used with discipline, it can build wealth. Used carelessly, it destroys accounts.

Smart traders focus on risk control; beginners chase dreams and get liquidated.

Which are you? 🤔