Hope you did not use high leverage?

[Ziskinberg]

We can't stop these traders who feel confident to use high leverage, especially if they made a winning history from it. Since they have made it before and make profits, then expect that they will still take that high risk again thinking the same outcome will happen.

Obviously, using high leverage mostly create negative outcome for many traders. That is why making profits on your first attempt won't guarantee another, there are more cases of losing than seeing your money double or triple its amount. I don't encourage using high leverage, except for those born risk takers as they will often do everything to satisfy their urge.

[masulum]

We can't stop these traders who feel confident to use high leverage, especially if they made a winning history from it. Since they have made it before and make profits, then expect that they will still take that high risk again thinking the same outcome will happen.

Obviously, using high leverage mostly create negative outcome for many traders. That is why making profits on your first attempt won't guarantee another, there are more cases of losing than seeing your money double or triple its amount. I don't encourage using high leverage, except for those born risk takers as they will often do everything to satisfy their urge.

futures trade is indeed incredible temptation, especially if in the beginning already experience getting big profit because using high leverage. At first maybe feel very easy to get money, but actually that is the trap because slowly we start addicted and want to open position continuously without thinking the risk anymore. we never know, the market movement very volatile and nobody know for sure, and once hitting a big loss, usually we become emotional want to hurry taking our losing money back. Unfortunately, the reality is not as beautiful as daydream, many fail to win back because if already trading using emotion, in the end even become more loss and completely run out. in the end futures trade with high leverage ended just like a gambler who lose their control.

[Finebone]

Hope you did not use high leverage during this fall that many of us predicted?

I am referring to those that have gone on long position.

Or you know that you should go short? But using high leverage is not good, you can just be lucky this time.

Majority of the liquidation that goes on in the market is as a result of leverage trading, and using higher leverage brings your liquidation price closer, but the problem with most traders is that they prefer using as low as $10 to trade with high leverage like 30x, than using $200-300 without leverage, not knowing that they can use $300 to trade and set their stop loss at $10, since it's what they can afford to lose, and their liquidation price will be very far off, unlike when you use higher leverage to trade.

[Dr.Osh]

Hope you did not use high leverage during this fall that many of us predicted?

I am referring to those that have gone on long position.

Or you know that you should go short? But using high leverage is not good, you can just be lucky this time.

Low leverage can still encourage averaging, but martingale is very bad. Starting a trade with 0.2x leverage is very good.

I also hope people know about perpetual and future trading? There are long term position holders.

I hope people understand the reason for this thread.

That's how it should be. The more potential you see, the higher the risk. It's best to balance your futures wallet according to how much you can afford to lose on each trade. Futures trading can eat up your money at any time, so we need to be careful. What you're referring to as 0.2x might be 20% of your trading capital. Am I correct?

[stadus]

Whether you trade in futures or not, using high leverage should never be encouraged because the result could only lead to trading like gambling. If possible,   prefer to use low leverage which could be safer and better for beginners, and can prevent a trader from rapid, massive losses.

But we can't hold those traders who really aim for high profits, they can still succeed on it if they are well-experienced traders who want to open multiple positions in trading. If they fail and lose a lot, at least they will be cautious enough the next time they go for high leverage.

[Peanutswar]

This depends on your risk management so me basically I do not make a high leverage with the market instead what im doing is is like ranging from 10-50x but having 100x is rarely. I just do with a high lever with a different condition. First is the trend you must need to identify what is the trend of the market in a bigger picture meaning in a higher time frame such as 1H, 4H and 1D now if you already identified the trend is the position to take how long the internal it is because if the demand is just a fast phase probably you can scalp with a higher leverage but if you are into a higher leverage now thats not the most ideal to risk. Also by that is the volume and the market structure with the assist of technical analysis tools.

[Jaweria parveen]

Whenever I go to the market, I do not consider futures trading good and it is more risky and most experts have good analysis about it. Although those who do futures trading use more leverage for more profit and those who only use small leverage for their small profit, which will reduce their losses even if they lose. Even if I do futures trading, I do not use large leverage because the reason is related to my money being exhausted at once. Therefore, those who have more capital and are sitting with more profit and good analysis use large leverage. This is how a lot of loss occurs and people who do not trade should not be too greedy so that they have minimum loss and get good profit and stay in the market for a long time.

[BitBrainers]

Leverage got wrecked, no argument there. But the reason this drop hurt so much wasn't really Bitcoin, it was the Fed. Warsh held rates but dropped forward guidance and wouldn't even give a dot plot, and now 9 officials see another hike this year when none did in March. Longs got cleared because they need cheap money to survive. Spot holders didn't care. Long term holders actually bought around 125k BTC this month while the leverage crowd got liquidated into them. That's the real split here, not high vs low leverage.

[aoluain]

Whether you trade in futures or not, using high leverage should never be encouraged because the result could only lead to trading like gambling. If possible,   prefer to use low leverage which could be safer and better for beginners, and can prevent a trader from rapid, massive losses.

High leverage is definitely high risk and something I would say a lot of people dont realise.
The way I think about it is that the volatility of the market looks very appealing and tag on
the allure of leveraging a trade in order to make bigger profits, it seems like a no brainer.

But what a lot of people especially newbies dont realise is that the volatility actually
"does more harm than good".

This depends on your risk management so me basically I do not make a high leverage with the market instead what im doing is is like ranging from 10-50x but having 100x is rarely.

WOW 50% leveraged trade? the market only has to move against you by 2% and you are
wrecked. I would consider 50% high leverage, high risk

[Asuspawer09]

I mean long term leverage trading was really tempting at this point and I would instantly get you jealous when you see some of the position of other traders that is holding the position for years that is just incrediable and I dont know how they are doing it at this point, but investors and newbies just need to remember how dangerous and risky it is to do leverage or future trading, because most of the beginners though that cryptocurrency or trading is just an easy money, where you could multiple your money. Also they think that it is like other projects where they easily make a profit since most of the project this days are schemes, they just think that it is easy and they crack the code easily.

Not realizing how true investing works, It suppose to be boring, if some traders are able to earn a huge amount in just a short amount of time they were probably very lucky about that, but it doesn't mean you could replicate that, most of the time they are already investing for a very long time, they are doing it for years in order to have the chance to get lucky, unlike for someone that is just getting started ofcourse you are going to get destroy but the OGs. I learned it the hard way, investing in leverage and the future was not for everyone, it is still the best investment for spot trading, safest, and easiest.

[Jatiluhung]

We can't stop these traders who feel confident to use high leverage, especially if they made a winning history from it. Since they have made it before and make profits, then expect that they will still take that high risk again thinking the same outcome will happen.

Obviously, using high leverage mostly create negative outcome for many traders. That is why making profits on your first attempt won't guarantee another, there are more cases of losing than seeing your money double or triple its amount. I don't encourage using high leverage, except for those born risk takers as they will often do everything to satisfy their urge.

Well, there are also people who really enjoy taking high risks with equally high potential rewards. And in the futures market, people can indeed set their own risk levels, deciding what risks they’re willing to take and which ones they’re not.

For traders who truly prioritize sound risk management, taking high risks with high leverage is definitely something they’ll avoid, unless they’re using a small margin with isolated margin trading rather than cross margin trading. In that case, since they’re using capital they’re prepared to lose, we can’t really blame them, because they know exactly what they’re getting into. However, such actions are absolutely not recommended.

It’s better to trade more conservatively with low leverage if you want to stay in the futures market. Personally, I’m not a big fan of the futures market, although I do try it occasionally, like when I see a major opportunity arise. But that’s very rare. I prefer trading in the spot market because there’s no need to worry about liquidation or similar issues.

[Akbarkoe]

This depends on your risk management so me basically I do not make a high leverage with the market instead what im doing is is like ranging from 10-50x but having 100x is rarely. I just do with a high lever with a different condition. First is the trend you must need to identify what is the trend of the market in a bigger picture meaning in a higher time frame such as 1H, 4H and 1D now if you already identified the trend is the position to take how long the internal it is because if the demand is just a fast phase probably you can scalp with a higher leverage but if you are into a higher leverage now thats not the most ideal to risk. Also by that is the volume and the market structure with the assist of technical analysis tools.

10x-50x is also relatively large from my point of view, I wonder how much margin you always use to take +30x positions, the trend is always interesting to pay attention to especially in short time frames, but still in an uncertain market, some days green and then turned red, there is always room for uncertainty to come to the traders, which is why there are so many cases of liquidation in the market.

My leverage today is not more than 8x, which is more than enough, especially playing in a very volatile market even though the trend is indeed in a good state.

[tygeade]

0.2x leverage won't even matter to be honest. It would be like trading with our actual capital. I doubt if anyone really find such low leverage useful. There is margin trading where we can find better leverage while taking out liquidation risk. I would personally consider using up to 5x leverage as the profits I get are noticeable. I have seen people using 100x leverage and still making profits in a few trades. Even if they profit in 2 trades out of 100, they would still be profitable only if they are using isolated margins.

I am sitting out as of now because of the uncertainties but will consider going long if we stay above $70k for a week. If not, I would keep speculating instead of real investing. It is better to stay out sometimes in order to save unnecessary loss.

[I_Anime]

0.2x leverage won't even matter to be honest. It would be like trading with our actual capital. I doubt if anyone really find such low leverage useful. There is margin trading where we can find better leverage while taking out liquidation risk. I would personally consider using up to 5x leverage as the profits I get are noticeable. I have seen people using 100x leverage and still making profits in a few trades. Even if they profit in 2 trades out of 100, they would still be profitable only if they are using isolated margins.

I am sitting out as of now because of the uncertainties but will consider going long if we stay above $70k for a week. If not, I would keep speculating instead of real investing. It is better to stay out sometimes in order to save unnecessary loss.

Personally I prefer higher leverage for small account , and lower leverage for big account . Most leverage are for those that lacks the capital to make significant amount of money from the market , though big account can also use it , using it one have to be careful cause it can be abuse especially by those that  have greedy mindset like trying to get rich quick of the market .

[BitMaxz]

This depends on your risk management so me basically I do not make a high leverage with the market instead what im doing is is like ranging from 10-50x but having 100x is rarely. I just do with a high lever with a different condition. First is the trend you must need to identify what is the trend of the market in a bigger picture meaning in a higher time frame such as 1H, 4H and 1D now if you already identified the trend is the position to take how long the internal it is because if the demand is just a fast phase probably you can scalp with a higher leverage but if you are into a higher leverage now thats not the most ideal to risk. Also by that is the volume and the market structure with the assist of technical analysis tools.

Still, it depends on the risk. I sometimes use 100x only in Bitcoin but have never tried it on other coins with high volatility, but I never disable the use of SL; if I am going to use the 100x leverage, I always make sure I set an SL with calculated risk because no matter how high the leverage you use is, if the margin you use is the same, the result is still the same. The only problem is your liquidity decreases if you use high leverage.

I only use high leverage if I'm holding some position with other coins and do not have enough capital to increase it to be able to hit the margin that I want and the risk that I want. I never use it to actually make a huge profit; I have only a target amount and risk.

[freedomgo]

High leverage comes with high risk, one should be aware of that already before trying to go for high leverage. While experienced and professional traders mostly go for high leverage because of the level of their experience and because of their capability to trade, but we can't deny that they still lose at some point, which led me to a realization that going for high leverage is never safe at all.

However, there are some exceptions. You can go for high leverage when you think you have already that proven trading edge, low-volatility conditions, and strict risk management that will always be practice even for those ordinary traders.

[jossiel]

I never use it to actually make a huge profit; I have only a target amount and risk.

That is the right approach if someone is going to use leverage and if to be specific with high ones.

It's best for those who are looking at it as something risky, they shouldn't do it. I discourage my friends whenever they ask me about it.

Because even I, I have no confidence on myself doing it. Maybe an average and low leverage would be fine but overall, I'd stick to the usual spot.

[bitgolden]

To be fair, if you are going to use low leverage then you might as well trade spot and that actually is better. Leverage is not good if you are not super veteran of trading world with a proven track record.

Of course if you made thousands of trades and are in big profit then you can start considering it, and even with that type of track record you should start low. But if you do not have that, and you have been trading once or twice here and there, then do not ever think about leverage trading.

[shawonngp]

I can only imagine how the trader with a high leverage plus no proper account management would have been roasted by the market by now. Trading with the high leverage is not necessarily bad, but the absence of proper planning in case the decision goes south.

I told people that trading is not good, the best is to hold. Almost a billion dollars was liquidated recently.

Nothing is wrong with your advice and I'd advised countless of people about it myself. But trading is not so bad too, expect that people are terrible at. As investing is the better choice with higher degree of peace of mind, those who trade don't know it in most cases. They want to make the profits that should be made in a whole year in a single day.

Investment is also not always profitable. Especially many people lose by investing in altcoins because they make the wrong decision to select the right coin, I am sharing this from my own personal experience, I was holding 20+ altcoins for almost one and a half years, but when I saw the price decreasing day by day, I sold all the coins at about 60% down in my portfolio, because there is no bull season coming in the altcoins market in the last few years. So now I prefer only BTC investment. If you can make a long-term investment here, you can make a big profit; at least it is much safer than trading. Most traders lose because they want to multiply their investment quickly. They trade with high leverage and lose their investment very easily, which is the actual reality in crypto trading.

[FanEagle]

10x-50x is also relatively large from my point of view, I wonder how much margin you always use to take +30x positions, the trend is always interesting to pay attention to especially in short time frames, but still in an uncertain market, some days green and then turned red, there is always room for uncertainty to come to the traders, which is why there are so many cases of liquidation in the market.

My leverage today is not more than 8x, which is more than enough, especially playing in a very volatile market even though the trend is indeed in a good state.

Yes, 10x to 50x might still seem a lot but it is manageable. With proper risk management in place, we can still make really good profits by using that high leverage. Using up to 50x leverage depends on how experienced we are. Just to try out our luck, it is fine to blow our account once or twice but blowing our account more than 3 times would mean we are doing something wrong. At that point, one can consider decreasing leverage or not using one at all. 50x leverage still seems safe if you are a well-seasoned trader.

In current volatile markets, 8x is a decent choice and I am sure you would still need to sit in front of the screen for hours to speculate sudden moves. Either stop loss will be in place or you will have to stick yourself in front of the screen until this position is closed.