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Currently, the whales have a lot of orders in the range of 81-83k; they have sold off most of their holdings at the price of 85k - 84k.
Currently, they have two options:
- Continue to sell at the price of 84k and secure a profit of 1%.
- Or push the price up, causing the short orders to be liquidated, and then sell at the range of 86k.
=> Be careful of the price range of 86k.
So what is the issue here?
Because when people open a long/short (isolate) position with leverage of x50, x100, if the price moves up or down by 1-2%, your position will be liquidated - and this liquidation area has been marked as shown in the chart below!
This inadvertently creates a tasty bait for the whales!
How to avoid this issue?
Actually, it is very simple:
1. Use Cross + set stoploss
- Cross will use your entire account to calculate the liquidation point, which is usually very far from the current price.
- Stoploss is a trigger (taker) order - it is not in the order book, so no one will know how much liquidity needs to be liquidated.
2. Use Isolate more safely
- ISOLATE is a mode that separates a portion of your assets, isolating it from your total assets, and will only use that isolated portion for collateral.
- Use a maximum leverage of x10: the price will need to move at least 10% for your order to be liquidated (This means the liquidation point will be very far away - 10% is not a small number that every whale can manipulate).