Bloodshed of 446 million! Last night, the 'bull army' lay dead everywhere, and Mig warned: leverage is a meat grinder!

"Last night the crypto circle saw another 'bull army graveyard', with 446 million USD flowing like a river of blood—this is not a market crash, but an inevitable liquidation after a leverage frenzy!"

Simply put, in the past day, mainstream coins like Bitcoin and Ethereum dropped significantly. This drop was severe, directly obliterating those 'bulls' who borrowed money to leverage, betting that prices would continue to rise! According to professional data, there were bullish bets equivalent to 446 million USD on global exchanges, and as the price fell below their 'lifeline', they were forcibly liquidated by the system, causing their money to evaporate. This is equivalent to 3.2 billion in bullish funds turning to ashes in just one day!

Mig's perspective and in-depth analysis:

I believe there are two core reasons for this wave of liquidation storm, which are interlinked:

The 'double-edged sword' effect of leverage is too fierce.

In a bull market, everyone easily gets 'high', borrowing money to buy coins in hopes of making quick profits. When coin prices rise, profits are huge, but as soon as there is a significant pullback, like a 10%-15% drop, many high-leverage positions are immediately breached at the 'forced liquidation price', triggering a chain reaction of liquidations.

This time is a typical example of 'leverage踩踏'—the sell orders from earlier liquidations smashed the market, causing prices to fall further and pulling another batch of people down, like dominoes.

The 'catalyst' is often sudden news or technical breakdown: the market itself is already a bit 'chilly at high altitudes', and as soon as there is a slight wind, the profit-takers and high-leverage bulls run first.

Mig's core reminder:

Leverage is not unplayable, but it is more like 'walking a tightrope', not a friend of ordinary investors. Especially when market volatility increases and favorable news seems to have 'run out', leveraging long positions is like standing under a waterfall catching stones! True risk control requires a reverence for the market, managing position leverage well, setting stop-loss levels, and strictly enforcing them.

Surviving allows you to truly feast during a bull market.

"The smoke from the liquidations has not yet cleared; will the market be left in a slump, or will the main forces take the opportunity to clean the plate and come back light?" #加密市场回调

Blind operations = losses! Follow Mig closely, learn professional thinking and strategies, and say goodbye to 'gut feeling' trading! Click on the avatar, change starts with following!