Can contracts really be played? Let’s talk about some real stuff for the brothers who have been struggling in the crypto space.

I see people in the group asking every day how to play contracts. As someone who has both lost and earned in the market, today I want to share some insights about this pit.

Many brothers focus on contracts as soon as they enter the crypto space. Who wouldn’t want to get rich overnight while lying down? Seeing others post gains of several times or dozens of times makes one salivate. But the reality is that out of ten people who play contracts, nine get harvested by the market.

What is a perpetual contract? Simply put, it’s a type of futures that doesn’t require delivery. If you are bullish, you go long; if you are bearish, you go short. It feels much more flexible than spot trading. But this kind of "flexibility" is often the beginning of your demise.

Why do so many people fall for contracts? It’s all because of that damned leverage. From 1x to 125x, it looks tempting, but in reality, it’s a death warrant. What does 100x leverage mean? A 1% fluctuation can double your investment or lead to liquidation. Many people start with low leverage and end up with high leverage, ultimately getting wiped out.

Then there are those funding rates and fees, which are little knives used by platforms to slice the profits of retail investors. Both market orders and limit orders incur fees; trading costs money, and if you’re not careful, expenses will eat away your profits.

Honestly, brothers with poor self-control and who easily get carried away should really avoid contracts. The market has never been lenient on those who act impulsively. I’ve seen too many people in this circle who boast when they make money but go silent when they lose, and eventually disappear altogether.

The test in a bull market is not just about the rise and fall of prices, but also a test of our mindset. When faced with fluctuations in our accounts, we must remain rational. Next, I will announce the next potential tenfold coin! Guessing is not as good as seizing opportunities! Like + comment for a free share.