The insanely bullish narratives that have been taking shape in prior months have made many desperate to have as much exposure to the potential upside this market offers.

This has made YOU slide the leverage all the way to the right, and today you paid the price.

In the past 24 hours, $936 million has been liquidated due to high amounts of leverage that was wiped out during an abrupt correction to the downside:

^{Crypto gives you the urge to use leverage because:}

• You see others making much more money than you.

• Leverage users only post their wins.

• Exchanges glamorize using leverage. Look at the way even Binance tries to encourage it 💀:

  
  

  

  (Screenshot taken from Binance’s official website).

How to beat this market:

Never ever use leverage - this might be difficult to do when you see PnL’s with crazy returns on your timeline, but you have to know that these are just ultra degen gamblers. (There’s a reason why these are never the individuals you hear of who made it at the later stages of a bull run 😉).

Know that 30-40% corrections are common in bull markets. By just using spot (no leverage), you will have a clearer thought process when going through these corrections, and while a move like this will not liquidate you on 2x leverage, seeing your portfolio down double the amount than it would’ve been when compared to no leverage, does not put you at ease.