Futures trading | Who covers losses when a position is liquidated at a loss?
Binance's ADL ranking takes both profit ratio and effective leverage into account: positions with higher profit ratios and higher leverage are reduced first.
ADL is designed to prevent losses from going uncovered, but one side effect is that the system may partially reduce some profitable positions.
Back to the market: $BTC Current price: 82082.01, 24h: +0.5%.
Keep extra margin in your futures positions so a single price spike doesn't wipe you out.
#BTC
Binance's ADL ranking takes both profit ratio and effective leverage into account: positions with higher profit ratios and higher leverage are reduced first.
ADL is designed to prevent losses from going uncovered, but one side effect is that the system may partially reduce some profitable positions.
Back to the market: $BTC Current price: 82082.01, 24h: +0.5%.
Keep extra margin in your futures positions so a single price spike doesn't wipe you out.
#BTC