Every day, there are people getting liquidated in contracts, yet new ones keep rushing in. Why is that?



Honestly, it's not because they're brave, but because they simply haven't done the math.

Seeing platforms offer 5x, 10x leverage, many people really believe they're just using 5x. But the problem is—if you have 10,000 USDT, the most you can afford to lose is 500 USDT, yet you open a position of 30,000 USDT. On paper, it's 5x leverage, but in reality, you're dancing on the edge of 60x risk. You don't even realize it.

People who truly understand trading contracts know one thing: contracts are not gambling, but risk hedging. Every penny you make is essentially earned from others' liquidation. Because of this, professionals rarely trade frequently. Most of the time, they are waiting—waiting for the structure to complete, waiting for the position to be in place, waiting for emotions to settle. If the market hasn't confirmed the trend, they prefer to stay on the sidelines rather than force a trade.

What about retail traders? They stare at the screen every day, and as soon as the market moves, they want to jump in. But in the oscillations, they get worn down little by little, losing money gradually amid emotional swings.

For contracts to survive long-term, the core principle is two words—against human nature.

When others panic, you must stay calm; when others are greedy, you must be cautious. Stop-loss must be strict (don't lose more than 5% of your account on a single trade). Once you're in the right direction, profits must be expanded—at least twice the size of your stop-loss—to establish a long-term advantage.

So stop blaming "contracts are just gambling." Your liquidation is because you're gambling; others are making money because they are seriously doing the math—calculating probabilities, risk-reward ratios, worst-case scenarios. Not relying on gut feelings, luck, or staying up all night.

If you're still placing orders based on emotions, I sincerely advise you to rest early. In dreams, there are all kinds of market moves, and you don't have to risk real money.
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airdrop_huntressvip
· 01-11 02:39
Honestly, those who get liquidated every day mostly haven't figured out how much they can afford to lose. As a result, they just can't hold on. Trust me, don't gamble, really.
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SatoshiChallengervip
· 01-09 23:11
The data shows that even when retail investor liquidation rates reach 98%, people are still talking about "counter-human nature." Ironically, this phrase itself is a reflection of human nature, do you understand?
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GhostChainLoyalistvip
· 01-09 04:54
That's right, but some people just can't understand it. Take my friend, for example, who keeps shouting that he's only using 5x leverage every day, but when I check his holdings... Oh my god, he's already on the path to bankruptcy.
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SwapWhisperervip
· 01-09 04:54
Exactly right. Those people who watch the market every day haven't even considered that they're actually on the edge of a 60x cliff, thinking they're very stable. Someone should have explained this clearly and in detail: not everyone is suited to trading contracts. I really can't stand those who lose money and then blame the platform or the market... if you have no awareness of your own situation, don't insist on playing hard.
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PerennialLeekvip
· 01-09 04:52
That's a valid point, but I can't help but ask—how many people can truly go against human nature? I'm the kind of person who can't resist touching the screen; I know I should stay out of the market, but I just can't sit still. As a result, I end up getting burned pretty badly.
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LayoffMinervip
· 01-09 04:43
Haha, another article advising people not to gamble, but the next second someone still goes all in... Honestly, I've seen too many cases.
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SignatureDeniedvip
· 01-09 04:37
That's right, but most people simply don't realize they're actually playing with 60x leverage. Those who constantly shout for a 5% stop-loss will still end up holding their positions, and that's human nature.
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faded_wojak.ethvip
· 01-09 04:31
Exactly right, but no one really calculates it; they get excited when they see leverage. I used to be the same, but only after losing money did I realize the importance of stop-loss.
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