Can 25x position ever work out to profits

[tvplus006]

...If I can gain good skills in spot trading, then I can decide to do futures trading later. If I decide, I will definitely use 1% to maximum 5% leverage. I will never use more leverage because I never want to put my money at risk or at maximum risk.

Obviously, you have made the right decision to switch to futures trading after you have perfected your skills in spot trading. The main thing is that you remember your promise and strictly adhere to risk management when trading futures.

[shinratensei_]

I agreed with you that that leverage of 25x is somewhat risky but then at that time I made a lot of profits I opened the position with $50 and when the market shifted in the market favor I was able to make around $12 profits which I close the position immediately to take profits in other not to lose that along the way.


Between we have to take risks sometimes in other to keep control of our profits merging when that comes around.

Leverage is just semantic if we know how to manage the margin.
There's reason why I prefer to open 50x lev with $20 marign than $200 with 5x lev while the position size is actually the same.

It's simpler, requires little capital while having more or less the same risk if we use cross perpetual account and have some balance to compensate the negative PnL beyond 100%.
Overall, it's very helpful if we know how to use it.

[pusaka]

I agreed with you that that leverage of 25x is somewhat risky but then at that time I made a lot of profits I opened the position with $50 and when the market shifted in the market favor I was able to make around $12 profits which I close the position immediately to take profits in other not to lose that along the way.


Between we have to take risks sometimes in other to keep control of our profits merging when that comes around.

Leverage is just semantic if we know how to manage the margin.
There's reason why I prefer to open 50x lev with $20 marign than $200 with 5x lev while the position size is actually the same.

It's simpler, requires little capital while having more or less the same risk if we use cross perpetual account and have some balance to compensate the negative PnL beyond 100%.
Overall, it's very helpful if we know how to use it.

However, it's not that easy, of course, because we have to be prepared for all the risks. I know some people who use very high leverage are actually new to trading, with the goal of making a profit.

Of course, it makes more sense if it's used by someone who already understands trading. I think if it's used by beginners, it's like gambling. The reason is that their knowledge is still limited and their skills are still in the learning stage.

[Moreno233]

...If I can gain good skills in spot trading, then I can decide to do futures trading later. If I decide, I will definitely use 1% to maximum 5% leverage. I will never use more leverage because I never want to put my money at risk or at maximum risk.

Spot trading and futures trading are entirely different games and you must be grounded in the game before you attempt futures trading else you will get burnt so badly. Before you attempt futures trading, you must do your homework well about the asset you want to trade if it is one with low liquidity because such asset often fail technical analysis. However, if it is a high liquidity asset like Bitcoin, then it does obey technical analysis a lot but you should still check fundamentals. Therefore, work on getting a working strategy that you have tested and confirmed before going live on futures trading.

[leonair]

Alot of liquidations have happened in the last 24 to 48 hours though to sharp drop in the price of Bitcoin and other coins, those trading futures markets I mean the one gambling with the price of cryptocurrency we all know is based on luck but yes it happened most times and frequently trading positions get liquidated.


But the one that caught my attention the most is when an exchange users wrote a poetic statement about the bad side of trading but ye, from the screenshot he shared he shown an x25 position which to me and every other crypto traders is never going to work.

25x is a very large leverage, it will turn the entire trading experience into a gamble. A small movement in the market can liquidate him. Just as in gambling, one can lose all his funds in a short time, all trading funds can be lost in a small movement. I think that the person who is trading using 25x is not aware of the guidelines of trading. And he is never a responsible trader. He is enjoying the fun of gambling through trading and he has left his trading fund to his luck. And he is planning that he will be able to increase his fund several times in a very short time. This greed is encouraging him to trade at such high leverage.

[tvplus006]

Spot trading and futures trading are entirely different games and you must be grounded in the game before you attempt futures trading else you will get burnt so badly.

Trading is generally risky, but before starting futures trading, a beginner should learn how to trade on the spot market, as the risk of losing their deposit will be significantly lower. And only after trading on the spot market begins to bring stable profits, you can consider starting trading futures.

[salad daging]

Spot trading and futures trading are entirely different games and you must be grounded in the game before you attempt futures trading else you will get burnt so badly.

Trading is generally risky, but before starting futures trading, a beginner should learn how to trade on the spot market, as the risk of losing their deposit will be significantly lower. And only after trading on the spot market begins to bring stable profits, you can consider starting trading futures.

That's a better way than for beginners to jump straight into futures trading, especially without any skills, because they will lose more money quickly since we know how high the risk is in futures trading with high leverage.

Spot trading has a much lower risk. I myself still continue to trade in spot even though the profits are not as big as in futures, but we want peace of mind in trading, so we don't trade in futures.

[bitgolden]

Trading is generally risky, but before starting futures trading, a beginner should learn how to trade on the spot market, as the risk of losing their deposit will be significantly lower. And only after trading on the spot market begins to bring stable profits, you can consider starting trading futures.

That's a better way than for beginners to jump straight into futures trading, especially without any skills, because they will lose more money quickly since we know how high the risk is in futures trading with high leverage.

Spot trading has a much lower risk. I myself still continue to trade in spot even though the profits are not as big as in futures, but we want peace of mind in trading, so we don't trade in futures.

They do not understand the whole point of it, it's clear that we are not going to see the price being that quickly up, and they get in and realize too late that even a small movement could make it zero and because of that they lose the whole trade, whatever they put on that trade becomes zero very quickly and they do not get that.

This is why it's clear that we are going to see plenty of people who are not doing the right job, and we should probably focus on how to do a better job if we know what we are dealing with. Newbies should be dealing with spot trading, because it's a lot better and won't have that kind of return, it would make more sense and it would allow us to have better return. If you can do that, then we can earn a lot more.

[joeperry]

It depends on the coin and how much money you have in your wallet, sometimes the x25 for me is not enough especially if I have small positions so it's also depends on your position too. Futures and trading doesn't based on luck, if you know how to trade you will based it on technical analysis, available data and sometimes news (for fundamental analysis) it's not like you just choose that it's going up or down, if that's what you do or define trading, you should try to understand it more.

You'll only get liquidated if you don't have stop loss which experienced traders do have, if there's a target profit there should always also a stop loss, you need to figure these two, not only whether it goes up or down, that's pure gambling.

[slaman29]

...If I can gain good skills in spot trading, then I can decide to do futures trading later. If I decide, I will definitely use 1% to maximum 5% leverage. I will never use more leverage because I never want to put my money at risk or at maximum risk.

Obviously, you have made the right decision to switch to futures trading after you have perfected your skills in spot trading. The main thing is that you remember your promise and strictly adhere to risk management when trading futures.

Obviously? He got lucky

You need minimum 1 full crypto cylce (bear, middle and bull) and 100s of trades to prove you are a decent trader. Futures, spot, they won't really require so much difference, to me anyway.

OP look at your spot trade history and simply convert them to leveraged trade, and just see if the data shows you'd have been successful. I sincerely doubt you find much difference. Would all your stops have been hit at 5x lev? You really stopped at 20% loss in spot?

[Firstfrost]

Trading is generally risky, but before starting futures trading, a beginner should learn how to trade on the spot market, as the risk of losing their deposit will be significantly lower. And only after trading on the spot market begins to bring stable profits, you can consider starting trading futures.

That's a better way than for beginners to jump straight into futures trading, especially without any skills, because they will lose more money quickly since we know how high the risk is in futures trading with high leverage.

Spot trading has a much lower risk. I myself still continue to trade in spot even though the profits are not as big as in futures, but we want peace of mind in trading, so we don't trade in futures.

They do not understand the whole point of it, it's clear that we are not going to see the price being that quickly up, and they get in and realize too late that even a small movement could make it zero and because of that they lose the whole trade, whatever they put on that trade becomes zero very quickly and they do not get that.

This is why it's clear that we are going to see plenty of people who are not doing the right job, and we should probably focus on how to do a better job if we know what we are dealing with. Newbies should be dealing with spot trading, because it's a lot better and won't have that kind of return, it would make more sense and it would allow us to have better return. If you can do that, then we can earn a lot more.

I hope new traders can come across posts like this because most of them need enlightenment. Many start over-leveraging without fully grasping the downside or in some cases choose to ignore . Spot trading is definitely a less risky starting point, particularly for those still learning how price action works.

The fact that it's better to aim for consistent and realistic returns rather than aiming for huge gains is an advice more people need to hear.

[masulum]

The fact that it's better to aim for consistent and realistic returns rather than aiming for huge gains is an advice more people need to hear.

But it's more difficult for them to achieve hundreds of percent profits  . Futures are always the choice for beginners to get profit ^{(even just on their mind)}, because what they see on social media is the extremely high returns from futures and memes. Meanwhile, they haven't yet learned the risk of loss. a social media post appears a few days ago, but new traders who see it today immediately open a position in the same coin, and hoping for the same results, the market trend may have changed drastically, so they are entry with wrong positions already and making them loss a lot of money. IMO, new traders are turning to futures because social media influencers are more likely to broadcast profits from futures than spot.

[gunhell16]

Alot of liquidations have happened in the last 24 to 48 hours though to sharp drop in the price of Bitcoin and other coins, those trading futures markets I mean the one gambling with the price of cryptocurrency we all know is based on luck but yes it happened most times and frequently trading positions get liquidated.


But the one that caught my attention the most is when an exchange users wrote a poetic statement about the bad side of trading but ye, from the screenshot he shared he shown an x25 position which to me and every other crypto traders is never going to work.

I think 25x leverage is only okay if you're using a fund of around $10-$20 for futures trading. But if you're using $30 or more to take a position, whether long or short,
you'll surely get liquidated quickly if you make the wrong move.

That kind of leveraged trading is too dangerous with a large amount of funds. When I use $100, I only use a 5-10x leverage.

[tvplus006]

I think 25x leverage is only okay if you're using a fund of around $10-$20 for futures trading. But if you're using $30 or more to take a position, whether long or short,
you'll surely get liquidated quickly if you make the wrong move.
That kind of leveraged trading is too dangerous with a large amount of funds. When I use $100, I only use a 5-10x leverage.

The amount of leverage directly depends on the size of the order being opened and the amount of margin that you have in your account. And if you open a position of $1,000 with $100, your position will be liquidated if the price deviates by 10%. But if you have a margin of 1000 bucks, and you open an order for the same 1000 dollars, then to liquidate your order, the price will need to change by 100%.

[Powerjumboo]

Alot of liquidations have happened in the last 24 to 48 hours though to sharp drop in the price of Bitcoin and other coins, those trading futures markets I mean the one gambling with the price of cryptocurrency we all know is based on luck but yes it happened most times and frequently trading positions get liquidated.


But the one that caught my attention the most is when an exchange users wrote a poetic statement about the bad side of trading but ye, from the screenshot he shared he shown an x25 position which to me and every other crypto traders is never going to work.

You yourself said that futures trading is completely dependent on luck, so it is possible to make a profit even with a 25x position if you have good luck. Many people are seen who trade with 25x, 30x, 50x, but I don't know if they can make a profit, but if they have good luck, they can also make a profit. Futures trading is completely like gambling, if you have good luck, you will definitely make a profit, and if you do not have good luck, you will definitely not make a profit, you will definitely lose. I have never tried futures trading because I think futures trading is completely risky and I also think that I can lose my money at any time, but currently I am using the spot trading platform to learn.

[sana54210]

There are many chances that we can make sure that we can make some profits, but this isn't one of them. It's really risky and you can't just wait it out, if it's down then it's gone. So, there are cases where you can do spot trading, or lower leverage and the margin call would not be that easy, I would say take a look at those.

However, if you are a big trader who has done a lot of trades and usually in the profit then you know what you are doing and you won't be forced to do anything big, and you can definitely try 25x and probably will do a good job. It is not an easy thing, but it's not impossible neither. Those veterans could make this work somehow, and I am sure they are going to make a lot of good returns with this.

[M47AK16]

Alot of liquidations have happened in the last 24 to 48 hours though to sharp drop in the price of Bitcoin and other coins, those trading futures markets I mean the one gambling with the price of cryptocurrency we all know is based on luck but yes it happened most times and frequently trading positions get liquidated.


But the one that caught my attention the most is when an exchange users wrote a poetic statement about the bad side of trading but ye, from the screenshot he shared he shown an x25 position which to me and every other crypto traders is never going to work.

Why would it not work out? In futures, aiming for 25x might not be something out of the box. Remember, we can use up to 125x margin in futures and we will definitely not put all our investment in one single trade. So imagine you have $1000 and you choose to invest $20 in one trade which rounds up to 2% per trade.

Now even if you choose 25x margin, your trade size would be $500 which is not that bad. So even after risking just 2% on 25x position, your trade size is half of your total margin. Now the important part would be to close the trade appropriately which seems to be the toughest part. Negligence will risk the complete margin and that will make people like the one discussed by OP write some more poetic statements and try to create a negative impact on those just starting to learn.

[YOSHIE]

Can 25x position ever work out to profits

If you refer to the 25X leverage trading, there is no guarantee of the benefits you get, for me the risk of liquidation to greater losses, The risk if the trading market that you do is not in accordance with what you predict or trading that you do is automatically closed by the stock exchange, for example if there is a possibility of liquidation forcibly closed by the stock exchange.

Other risks that often occur to the 25x leverage method in trade in the crypto market of trade assets can go down suddenly of course you Can lose and vice versa you might be able to get your benefits, conclusions of the 25x large risk leverage trading.

[Jatiluhung]

Alot of liquidations have happened in the last 24 to 48 hours though to sharp drop in the price of Bitcoin and other coins, those trading futures markets I mean the one gambling with the price of cryptocurrency we all know is based on luck but yes it happened most times and frequently trading positions get liquidated.


But the one that caught my attention the most is when an exchange users wrote a poetic statement about the bad side of trading but ye, from the screenshot he shared he shown an x25 position which to me and every other crypto traders is never going to work.

25x leverage is simply too high. And I personally wouldn't dare take the risk of trading futures using 25x leverage, unless it's for a scalping trading style, which is quite common among day traders. They enter and exit quickly with strict and swift risk management. They also set clear stop-loss and take-profit orders from the start. Therefore, the loss percentage is calculated from the start. However, using 25x leverage without engaging in a day-trading style like scalping only puts the trader at risk of having their position liquidated. Unless they are using isolated positions and don't risk their entire capital in the market, then that's understandable. However, it's best to avoid leverage exceeding 10x. I personally am not a day trader and well I wouldn't dare to take that risk either.

[Questat]

25x leverage is to much.

Anyone that use that amount to opened long position at a price around $119000 or at a higher price for bitcoin would have been liquidated.

I prefer to just go for 5x maximum which is better.

What I am surprised with are people trading with millions of dollars and still using leverage. If I am such people, I will not use leverage at all.

That only tells us that the richer the person is, the more greedy he becomes that he’ll decide to suicide his  millions of dollars and take leverage wishing it could go more than his set expectations. And this is the reason also why rich traders end up getting poorer because of their wrong perspective and mindset when it comes to trading.

Trading will never be an instant access to make you get richer in the process, most times it becomes the opposite, unfortunately a lot of greedy traders fall on its trap.