Market Notes | $114 million in Binance futures liquidations over the past 4 hours | Long positions accounted for 85.2% | $BTC ranked first
Definition: The higher the leverage, the closer the liquidation price is to the entry price. It takes only a small price move for a position to be liquidated.
How to read this: The risk of leveraged trading is that even if your call ultimately proves correct, a sudden wick along the way could still liquidate your position prematurely.
It’s safer to look for confirmation across several indicators rather than rely on just one, but even more signals can’t provide a definitive conclusion.
Definition: The higher the leverage, the closer the liquidation price is to the entry price. It takes only a small price move for a position to be liquidated.
How to read this: The risk of leveraged trading is that even if your call ultimately proves correct, a sudden wick along the way could still liquidate your position prematurely.
It’s safer to look for confirmation across several indicators rather than rely on just one, but even more signals can’t provide a definitive conclusion.