ADL liquidated me 🔴
⚠️ YOU CAN BE MAKING A PROFIT ON BINANCE FUTURES AND STILL SEE YOUR POSITION CLOSED AUTOMATICALLY 🚧 DO YOU KNOW WHY? ⁉️
👀 It’s called ADL (Auto-Deleveraging), and it’s a risk every futures trader should understand.
🧠 WHAT IS ADL?
It’s the automatic deleveraging mechanism Binance Futures uses as a last resort when the insurance fund can’t cover a bankrupt position.
In that scenario, the system may automatically close profitable positions held by traders on the opposite side to manage the deficit.