In just one day, the total liquidation amount in the crypto market reached $270 million!
Let's take a look at the Total Liquidations Chart of Bitcoin. Unfortunately, despite the risks, a large number of traders still choose to use leverage to trade.
According to the latest data, in just one day yesterday, up to $235 million of long positions and $34 million of short positions were forced to close, and the total liquidation amount reached $270 million.
This phenomenon shows that in the extremely volatile cryptocurrency market, many traders still tend to use leverage to amplify their trading size. However, the rapid fluctuations in the market may cause these leveraged traders to quickly face the risk of liquidation. Once a liquidation occurs, traders will not only lose their investment, but these losses are permanent and irreversible. #杠杆交易 #仓位管理 #爆仓数据
Therefore, here we remind everyone again that when trading, you should avoid using leverage, because leveraged trading amplifies the risk and may lead to significant losses once the market reverses. Prudent trading strategies and risk management are essential to protecting capital. In the cryptocurrency market, solid trading habits and a fear of market volatility are the keys to long-term success.