📈📉

89% of futures traders are liquidated in their first month. Here is what the 11% do differently. When I lost my initial $5,400, I didn't lose it to market manipulation or bad luck; I lost it because I treated leverage like a turbo button rather than a risk multiplier. You are not a trader until you know the exact price where your position vanishes. The formula is Liquidation Price = Entry Price * (1 - (1 / Leverage) + (Maintenance Margin Rate / Leverage)). For simplicity, let’s assume a 0.5% maintenance margin requirement.

Imagine you have a $1,000 account and decide to go long on $SOL at $60,000 equivalent market exposure. If you use 10x leverage, your liquidation price sits roughly 9.5% away from your entry, landing...