šØ Leverage isnāt your enemyāliquidation price is way overhyped.
Most traders miss what really counts in contract trading. For example, āIs 10x on $1,000 riskier than 5x on $2,000?ā Both control $10,000, so just worrying about liquidation price misses the big picture. The real danger is poor risk management and skipping stop-losses, not leverage itself.
High leverage alone wonāt blow up your accountābad habits will, like opening a huge position and just hoping for the best. Thatās gambling, not trading. Smart traders use leverage with tight stops and never let it get close to liquidation.
Hereās the truth: if you canāt make steady gains in spot trading, contracts will drain you even faster. Most beginners dream of flipping $200 into $2,000 fast, but usually lose it all in minutes. ā Start with spot, learn the basics, and only use profits for contracts.
š At the end of the day, leverage is just a tool. With discipline, it grows your wealth; without it, it destroys accounts. Pros manage riskārookies chase dreams and get liquidated. Which one are you? š¤
Ever learned this lesson the hard way?