First, understand what perpetual contracts are—there is no expiration date for delivery, as long as you don't get liquidated or close your position, theoretically you can hold it indefinitely, which is also why it is favored by many traders.

But the core question arises: How much leverage is appropriate?

A friend nearby said he is used to using 30x, 50x, or even 100x leverage. This kind of thinking is common among retail investors: wanting to achieve the greatest volatility with the least amount of money. But the key point is not 'how much risk is high,' but rather—regardless of how much leverage you use, do you have a corresponding risk management plan?

Taking BTC as an example:

If the current market price is around 116,000 USDT, a 1x leverage contract requires 11,600 USDT in margin.

10x leverage only requires 1,160 USDT;

100x leverage is less than 116 USDT.

From a cost perspective, the higher the leverage, the lower the threshold, which is indeed tempting. But don't forget: once you use leverage, it is essentially borrowing money to trade, and the only difference is the speed of risk exposure.

Rather than getting tangled up in leverage, it's better to clarify these few things first: How much capital do you have to withstand losses? Have you set a stop-loss point? Are you using a position-by-position mechanism? Is your position allocation reasonable?

The most taboo thing in contract trading is holding onto losing positions. When the market is volatile, a small pullback can cause a high-leverage account to be liquidated directly. Even worse, once liquidated, no matter how good the trend is, it has nothing to do with you anymore. Therefore, it is crucial to appropriately increase margin, take profits and stop losses in a timely manner, and set daily profit targets.

Don't think of these operations as 'conservative.' For example, if you have 5000 USDT in capital, steadily earning 2% daily (100 USDT), you can have a profit of 2000-3000 USDT after a month. This is much more reliable than making a big bet to earn a lot of money in one go and then losing it all in the next round.

Finally, here are a few suggestions:

Leverage is not better the larger it is; it must match your capital and trading plan;

Try to use a position-by-position model, which can effectively isolate risk;

Take profits and stop losses must be strictly enforced; profitable trades = successful strategy + good mindset;

Don't be greedy, don't get too excited, having a 'small goal' every day is enough;

Don't think about getting rich overnight, and more importantly, avoid consecutive liquidations.

A final reminder: Contracts are both a tool for amplifying profits and a blade that magnifies losses. If used well, it is an aid; if used poorly, it is a sharp blade. I hope this can help you remain calm and rational in perpetual contract trading and avoid detours.