2026-01-08 02:20:26

Regarding high leverage, many beginners have heard the legendary stories of "turning 1,000 yuan into ten times in a week in the crypto world," which sound incredible. But the reality is far from perfect—high leverage is actually a double-edged sword. It can amplify your gains, but it’s more likely to instantly wipe out your principal.

Taking 125x leverage as an example, for mainstream coins like Bitcoin and Ethereum, a mere 0.8% reverse fluctuation can completely wipe out your account. The harsh math in the crypto world is: losing 90% requires a 9x recovery just to break even. One careless move on this path can lead to irreversible loss. So don’t envy those "legends" who go all-in with high leverage; they are often the result of survivor bias. Those who truly survive and profit consistently treat risk control as their lifeline.

Another common trap is "ineffective trading." Many people's accounts shrink not because they missed the market opportunities, but because they get caught up in frequent trading and fee erosion. In volatile markets, repeatedly chasing highs and lows, combined with the 24/7 nature of crypto markets, easily leads to impulsive, irrational decisions. I’ve gone through this phase myself, and only later did I realize a key principle: real opportunities rarely appear frequently. Most of the time, what you should do is patiently wait. There’s a fundamental rule in the market—waiting and choosing often make more money than frequent trading. Those who truly make money are the ones who have honed their skills through boring observation and patience.

BTC-0,53%

ETH-1,03%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

14 Likes

Reward
14
7
Repost
Share

Comment

0/400

RunWithRugs

· 01-08 15:25

125x leverage, 0.8% loss and you're wiped out? Wow, that's some serious math... Better to play it safe and wait patiently.

View OriginalReply0

WhaleSurfer

· 01-08 02:47

Leverage of 125x sounds exciting, but it's actually a killer of principal --- Survivor bias really needs to be engraved in your mind; don't get brainwashed by those legendary stories --- Frequent trading is truly an invisible bloodsucker; trading fees can grind you to death --- Wait, wait, wait, is this the core of making money? Why does it feel so hard? --- 0.8% liquidation risk, just thinking about it is terrifying --- Every time I see someone go all-in, I want to advise them to stay calm, but they've already lost everything --- Patience is easy to talk about, but really doing it is deadly; the 24/7 temptation is too strong --- Losing 90% and then making 9 times back to break even—this math problem is hopeless even on paper --- It's really just teaching us: don't be greedy, surviving seriously matters more than anything --- Do those who make money really endure through boring waiting, or have I just not waited long enough

View OriginalReply0

SleepyArbCat

· 01-08 02:47

125x leverage? I'll just watch, not saying anything Frequent trading really burns money, can't even cover gas fees Waiting for this thing to talk is easy, sticking to it is hard All-in players are survivors; the dead won't speak My sober time is limited, so I choose to observe

View OriginalReply0

retroactive_airdrop

· 01-08 02:43

125x all-in sounds great, but I woke up and my account was gone... This math is really incredible

View OriginalReply0

TokenTaxonomist

· 01-08 02:41

actually, per my analysis... the survivor bias taxonomy here is *chef's kiss* — statistically speaking, those 125x leverage stories are just evolutionary dead-ends wrapped in confirmation bias. let me pull up my spreadsheet real quick, but yeah, 0.8% liquidation margin? that's not trading, that's just cryptographic darwinism with extra steps.

Reply0

FortuneTeller42

· 01-08 02:40

125x leverage? Man, isn't this gambling? Purely just giving away money. Fees are the real hidden killer, my blood and tears lessons. Waiting for these two words to be spoken is too absolute; most people simply can't do it. That part about frequent trading hit me hard; I used to pay thousands of yuan in fees in a single day. Survivor bias is indeed the biggest toxic chicken soup in the crypto world. Need to multiply by 9 times to break even? That sounds hopeless; better to be more conservative. 0.8% liquidation risk—this risk factor is just too insane. Out of ten "HODL" legends, nine lost everything in the shadows. Those who truly survive are the ones who quietly get rich; they won't come out to speak.

View OriginalReply0

AirdropAnxiety

· 01-08 02:28

Playing 125x leverage is really brainless; risking 0.8% can blow up your account... I can't do the math, but it sounds hopeless. Fees eating away at profits is the most painful, frequent trading is just cutting yourself. Wait, the real money makers are probably earning while sleeping, right? I just want to ask, are you still using leverage now? You're right, but I still can't shake the habit of chasing gains... Losing 90% to gain 9 times, the probability is even lower than winning the lottery. Forget it, I should just be honest and HODL coins, no more messing around.

View OriginalReply0