everyone thinks the sec approving 3x leveraged etps is free money for retail, but actually most degens are about to get completely liquidated without understanding volatility decay.

we have all been there watching our portfolio evaporate on leveraged positions during choppy weeks. traders always crave max leverage when market momentum picks up, only to realize daily resetting math works aggressively against holding these instruments long term.

look at what just went down on october 2. the sec cleared cboe bzx to list six separate 3x leveraged products covering $BTC, $ETH, gold, silver, crude oil, and natural gas. bloomberg analyst eric balchunas pointed out how wild this daily 3x futures exposure is. if the underlying asset chops sideways or takes a sharp intraday dip, daily rebalancing will slowly eat your principal alive even if your macro thesis is right.

these products are designed strictly for fast intraday scalps, not for diamond handing into the next cycle. if you treat a 3x $BTC product like spot, you are basically donating liquidity to market makers.

how are you planning to play these once they hit the order books?

#Bitcoin #Ethereum #CryptoTrading