💥 Why 100x Leverage Isn’t the Problem — Your Brain Might Be🔥
📉 Traders love blaming leverage for their losses.
But here’s the truth: leverage didn’t wreck you — your risk management (or lack of it) did.
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🧠 What Actually Matters in a Trade?
Forget leverage for a sec. The real pillars are:
✅ Position size.
✅ Dollar risk per trade.
✅ Discipline.
Whether you’re using 2x, 10x, 100x, or spot…
If your position size and stop-loss are the same — your outcome is the same.
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⚙️ Let’s Break It Down With Simple Math
Portfolio: $100,000..
Risk: $1,000..
Long BTC at $100K, SL at $99K, TP at $102K (2R trade)..
Here’s how the same trade plays out:
Scenario Leverage Margin Used Result.
A 100x $1,000 ±$1K / $2K.
B 10x $10,000 ±$1K / $2K
C 2x $50,000 ±$1K / $2K.
D Spot $100,000 ±$1K / $2K.
📌 Same result — different margin efficiency.
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🤦 So Where Do Most Traders Go Wrong?
They ask:
“How much leverage should I use with $1,000?”
Then they pick leverage based on feelings:
Feeling scared → 2x.
Feeling hyped → YOLO 100x.
No plan. No sizing logic. Just pure emotion.
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🔑 Flip the Script Like a Pro
1. Define how much you’re willing to risk..
2. Calculate your trade size..
3. THEN pick the leverage..
Leverage is just a tool — not a strategy.
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🚧 Real-World Caveats:
Even perfect setups can get messy due to:
Funding fees..
Spread/slippage..
Volatility gaps..
Slow execution..
So stay sharp. Theory ≠ reality.
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✅ TL;DR:
Leverage isn’t dangerous..
Bad habits are..
Leverage ≠ Risk.
Emotion = Risk..
So next time someone cries:
> “He’s using 100x leverage, he’s gonna get liquidated!”..
Just smile and think:
It’s not the leverage that kills… it’s the lack of a brain.