#TradingTypes101 1. The Myth of Leverage: Why It’s Riskier Than It Looks ⚠️🧨

Leverage magnifies both gains and losses, which might sound balanced—but the system is designed in a way that favors the house 🏦.

➡️ Higher leverage means a much narrower margin for error.

➡️ For example, at 40x leverage, even a 2.5% price move against you can liquidate your entire position 😱.

➡️ Binance profits from each executed trade and liquidation 💰. The quicker your position is wiped out, the more they earn in fees.

💡 Pro traders (whales) use low leverage (2x–3x) to minimize liquidation risk. They aim for steady gains, unlike retail traders chasing quick profits with risky 100x leverage.

📉 While many chase 100x, the pros secure long-term success quietly and smartly.

2. The Liquidation Trap: How Big Traders Manipulate the Market 🎯🕵️‍♂️

Your liquidation price is visible on the platform—giving large players insight into where retail traders’ stop-losses are placed 👀.

Here’s the usual game plan:

🔁 Whales compress the price into tight zones to trap traders.

🔁 Then, with strategic moves just outside support/resistance, they trigger liquidations en masse 💥.

🔁 Your high-leverage position? Gone in seconds.

🔁 Their low-leverage position? Collects your margin 🏆.

This is not random—it’s a calculated takedown strategy 🧠.

📌 Your 50x long? Wiped. Their 3x short? Winning.