I use the dumbest method for trading coins, and my win rate is nearly 100%! A must-read for all traders! #币安Alpha上新

The truth behind the liquidation wave in the crypto market: Why do 90% of players become 'fuel'?

Do you know why the liquidation rate for contracts exceeds 90%+, yet new traders keep coming in? Today, we will reveal three brutal realities; reading this may save your principal—

1. Leverage Trap: Lower multiple ≠ lower risk #加密市场反弹

Those who claim '5x leverage is very stable' hide a key formula:

Actual risk = Leverage multiple × Volatility × Position percentage

🔹 Example: Bitcoin's daily volatility is 15%, using 20% of principal to open 5x leverage

→ 15% × 5 × 20% = 15% of principal instantly goes to zero

🔥 Professional players' iron rules:

✅ Single position opening ≤ 10% of principal

✅ Total leverage ≤ 3x (For example, with 100U principal, position value ≤ 300U)

✅ Stop-loss line strictly set in the ±3%-5% range

2. Contracts vs Spot: One is a marathon, the other is a 100-meter sprint #阿布扎比稳定币

🔹 Fatal misconception in spot trading: 'If you are stuck, just hold on and wait for the bull market to get out'

→ Contract reality:

⏳ Forced liquidation countdown: In a specific position mode, insufficient margin leads to liquidation

💥 Amplified volatility effect: Under 100x leverage, a 1% reverse price fluctuation leads to liquidation

Essential difference: Spot bets on direction, contracts bet on 'direction + time + volatility'

3. Illusion of high profits: 80% of profits come from 2% of trading opportunities

🔹 Fatal trap for beginners: 'Don’t miss any fluctuations, watch the market every day to open positions'

→ Real data: 95% of market movements are ineffective fluctuations, forced liquidation orders mostly arise from this type of operation

🔹 Survivor strategy:

🌙 90% of the time in cash: Waiting for weekly trend signals (like BTC breaking key resistance)

⚖ Hedging positions: Long and short positions opened simultaneously to lock in risks, capturing one-sided trends after confirmation

📉 Stop-loss philosophy: 'When you want to go all in, first reduce your position by 50% before thinking'

Pitfall avoidance mindset: Counterintuitive operations are the key to survival

⚠️ Liquidation warning signs:

✅ Frequently watching the market to the point of insomnia

✅ Fantasizing about 'one trade recovering losses'

✅ Averaging down after breaking the stop-loss line

💡 Life-saving mantra:

'When the market makes you feel that 'not gambling means losing a billion',

That’s exactly when you should close the software and go for a run'

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