🔥 Can you play high leverage with 500 yuan? A must-read contract entry guide for beginners to avoid pitfalls
💡 Why play contracts? - It is both an accelerator and a meat grinder
The core of contracts is 'leverage amplification':
With 500 yuan opening 100 times leverage, a 1% increase in coin price doubles your investment (profit = 500 × 100 × 1% × 2 = 2000 yuan);
But! High leverage = high risk, a sudden spike (a rapid price drop) can wipe out your principal.
(Personal experience: 2000U principal was liquidated within 30 minutes due to not setting a stop-loss, leaving no chance to recover...)
🚨 Must-read for beginners: 3 survival rules learned through blood and tears
1️⃣ Position control is life!
Single position ≤ 5% of principal: With 10,000 U, play with a maximum of 500U, and even if liquidated, it won't hurt your foundation;
Profit withdrawal rule: Take out the principal first after making a profit, only use profits to roll over (I relied on this trick to grow from 3000U to six figures, keeping the principal safe).
2️⃣ Stop-loss > everything, holding on = seeking death
Set a 5% stop-loss line, pull out if you hit it! Don’t fantasize about 'retracement,' 90% of those holding positions in contracts end up liquidated;
Avoid extreme periods: during Fed interest rate meetings and non-farm payroll data releases, market fluctuations can wipe out your principal ten times over. Focus on the quiet hours from 3-5 AM (less volatility, suitable for practice).
3️⃣ Stay away from altcoins! Only touch BTC/ETH
Altcoin skyrocketing 50%? It's highly likely that the market maker is luring in buyers, and when you buy in, they will dump (I have seen too many people lose their principal due to 'hundredfold coins' hype);
Mainstream coins (BTC/ETH) have more controllable volatility, sufficient liquidity, and lower spike probability (my doubling trades all relied on these two coins).
💬 Practical insights: The crypto world does not reward hard work, only rationality
First, play on a demo account (recommended Bybit demo trading), practice for 3 months before going live, don’t jump in with all you have;
Create a 'trading journal': Record the reasons for opening positions, stop-loss and take-profit points, reasons for gains and losses, and review weekly (I corrected my 'chasing highs and cutting losses' habit through reviewing).
Remember: contracts are not a casino, they are a battlefield where 'discipline exchanges for profit.' 500 yuan can be played, but to double it, you must learn to 'stay alive' - control your position, set stop-losses, and choose the right coins, and you will have beaten 80% of retail investors.
Daily focus: OMNI RPL ORCA
