Can leverage really stabilize? Don't be fooled anymore!
Recently, the issue of leverage has been weighing on my mind—does doubling leverage really guarantee profits with no losses? Or is it just a facade that looks 'stable'?
We should all be aware of the tricks the operators play:
A sudden drop of 50%, or a slow grind down to just 70%, followed by an endless consolidation—by the time your patience runs out, you might have to pack up and leave.
Brutal market manipulation, a fierce operation like a tiger, and before you even get to see the main event, you've already been kicked out of the game.
Some people think that low leverage is quite safe, like using 40% of their position with 2x leverage; it sounds okay, right? But in reality, this isn't much different from trading spot where you have to pay extra!
Over time, the funding rates can crush you, it's like boiling a frog in warm water.
To be honest, low leverage isn't really advantageous unless you encounter extreme market conditions (like a major washout like '312'); otherwise, it offers no real benefits. Experts might make big bucks with high leverage, but for most of us, the risk isn't worth it.
On the other hand, spot trading is the most stable choice:
When prices rise, spot trading can yield significant profits, so there's no need to take on leverage risk.
When prices don't rise, spot trading is safer; losses are limited, and just holding on means victory.
The most crucial point: as long as you don't chase highs, spot trading is actually quite good.
Low leverage may seem safe, but it's actually an invisible pit; high leverage may look like a quick way to earn money, but it's just a tool for harvesting retail investors.
In the next strategic direction, I will guide everyone to target lucrative opportunities in copycat projects, especially those with great potential, and expecting a 10x return is definitely achievable. If you want to make big money in a bull market, like and comment, and I will help you position yourself for the entire bull market!