Why do some people say that you shouldn't play contracts when trading in cryptocurrencies?
1. Contract trading is simply a risk amplifier, which directly "blows up" the original high risk of the cryptocurrency circle. In this market, volatility is as exciting as a roller coaster. Once you step into the contract field, the risk is like a wild horse that is almost impossible to fully control.
Spot investment can at least keep some assets from going to zero, but once you get started with contracts, the risk is directly maxed out, just like gambling, winning or losing is all in a thought.
2. The contract market is not a fair competition field, but more like a manipulated arena.
You think you are playing a game with the market, but in fact, every transaction and every position of yours may become a "prey" in the eyes of the exchange.
They hold heavy troops and can pull or smash as they please, and you, like the lamb to be slaughtered, can be directly blown up by a "pin" in the middle of the night, without even giving you time to react.
3. Human nature is a major weakness in contract trading.
Greed is the most irresistible temptation in human nature. In contract trading, the temptation of hundreds or thousands of times of profit is enough to make people lose their minds and slide into the abyss step by step.
If you win, you want to win more, and if you lose, you want to get your money back. In the end, you often get deeper and deeper, until you lose everything or even go to the end.
Moreover, contract trading is really not something that ordinary people can play. It requires not only courage, but also deep professional knowledge, keen market insight and strong psychological quality.
Those who can do it in the contract market are often quantitative institutions with professional teams, big data support and rich resources. They are like advanced players in the game, while we ordinary people are just newbies who have not even figured out the rules of the game, but want to challenge the masters. The result can be imagined.
Therefore, I sincerely advise those who are eager to trade contracts to think twice before acting.
If you must try, please keep a small position, strictly control the risk, and don't be blinded by greed.
Remember, although the cryptocurrency world is tempting, it is also full of poisonous snakes and fierce beasts. If you are not careful, you may be doomed. Be cautious, cautious, and cautious again!
