Let me explain to you why high leverage is prone to collapse! !
The leverage mentioned here does not refer to your leverage multiple, but the total warehouse leverage.
For example, for U-standard contracts, the leverage multiple is 10, and 10% of the total funds are used as margin to open an order, which is actually 0 leverage.
For spot, the same setting, set to 20 times leverage, 5% of the total funds are used as margin to open an order, and it is also the same 0 leverage!
Set to 100 times leverage, use 1% of the total funds as margin to open an order, and it is also 0 leverage.
However, the leverage set by the contract is different from the final total warehouse leverage.
The total warehouse leverage of the contract is already very large at 3-5 times. For example, a 400,000 position is opened with a principal of 100,000, which is a 3 times leverage of the total position.
In actual operation, most people open 10-20 or even 50-125 times, so at this time, almost all the principal is used to open margin orders, which is a very dangerous operation. If you are not careful, you will lose all your money.
At this time, the total leverage is 10-125 times. If the market is in your direction, it is really easy to make money. On the contrary, you will fall into endless darkness and you will be finished if you resist.
Don't miss the good airdrops in the market! ! !
X-AI, launched by a team of engineers from Musk, will soon be launched on major platforms.
Don't miss this opportunity. If you want to get a very large increase, you still have to participate in on-chain activities in the early stage and hold pre-orders.
The address of the official website is here
x-ai. cyou
Copy and delete the space to visit
Hold it firmly in your hand and wait for the outbreak. From 2024 to 2025, there will be more 100-fold coins
According to Coingecko data, x-ai will increase by more than 100 times by the first half of next year!
