Brothers, wake up! Contracts are not ATM machines; they are battlegrounds.

One of my fans, named A K—last year cried in the group: he had the right direction but got dumped early, just when he cut losses the market rallied; he held on once, and the leverage blew him up. After hearing this, I replied: you are not fighting against the market; you are fighting against the system.

The following words are lessons learned with real money; I will break them down for you.

1. The funding rate is not a cost; it is an alarm.

A positive funding rate means long positions pay protection fees to shorts, while a negative rate is the opposite. A funding rate above 0.05% for three consecutive periods indicates that longs are squeezed into a can, ready to be 'opened' at any time. Last week, A K saw +0.09% and chased longs, only to be hit by a spike in the middle of the night, and the rate turned negative instantly, causing his position to evaporate. Conclusion: When the funding rate is high, it’s better to go against the trend and touch the top or bottom rather than follow the crowd.

2. The liquidation price has hidden deductions.

Do you think a 10x leverage means liquidation at a 10% drop? Naive. When the platform forcibly closes positions, it will additionally deduct 'liquidity fees' and 'insurance funds'—pleasant names, but essentially just sending you on your way early. A K had 10x long on ETH; theoretically, the liquidation price was 1900, but it actually liquidated at 1886. Remember: move the liquidation price out by 2-3% to create an escape route for hidden deductions.

3. High leverage must be a lightning battle.

With 100x leverage, fees and funding are calculated based on the amplified nominal principal. A K once held 100x overnight and lost 8% of his principal in one night, without any movement in the market, just his health diminishing first. The rule: with high leverage, only grab breakthroughs in the first 5 minutes; if profits ≥ 10%, immediately reduce leverage or close positions. Slow means death.

4. Rolling positions are both a holy grail and poison.

Increasing positions with profits can indeed multiply returns by dozens of times, but once there is a pullback, the all-in mode can wipe everything out. A K's current iron rule: floating profit increases ≤ 50%, and the base position must never be wiped out. Survive, and there will be another wave of output.

5. The market is not targeting you; it’s targeting you all.

Exchanges can see everyone's leverage and stop-losses; collective liquidations are their richest liquidity. Key price levels being repeatedly spiked is not a coincidence, it is precision hunting. Hide your stop-loss 30 points beyond the whole number, and your win rate will instantly increase.

Finally, I will share A K's life-saving mantra with you:

1. If the funding rate is abnormal, do the opposite;

2. If holding leverage overnight, definitely reduce positions;

3. Move stop-losses out to prevent spikes;

4. Increase positions with floating profits, but keep a base position.

Follow @小花生说币 to decide whether or not to follow along.