Who hasn't seen a liquidation notification at three in the morning? But the scene at 1:37 AM when my phone vibrated like it could fry an egg is something I will never forget.
The voice of a fan from Shenzhen was filled with tears, almost leaking through the receiver: 'Bro! I opened a full position on an account of 10,000 U at 10 times leverage, and when it retraced by 3 points, the money just disappeared! Where did I go wrong?'
I asked him to send the transaction record immediately; a quick glance hit the nail on the head: 9500U went in with a full position, without even setting a stop-loss. This isn't trading; it's just giving 'spending money' to the market!
After 5 years of analyzing cryptocurrency assets, I've seen 90% of liquidations fall into the same trap: treating 'full position' as 'all in'! Many people think that 'putting all the money in increases risk tolerance,' which is a huge misconception — a full position is a double-edged sword; if misused, it can lead to liquidation 10 times faster than a partial position. The core issue is never about how high the leverage is, but rather that you've turned your position into a 'last-ditch bet.'