2026-01-02 05:23:51

Contracts, to put it simply, are about challenging yourself.

I also paid my dues early in the industry, and today I will share the pitfalls I’ve stepped into and the insights I’ve gained.

The underlying logic of contracts is very simple — you are betting on whether the price will go up or down. Going long if you think it will rise, going short if you think it will fall. The core of the game is to judge whether your prediction is correct.

Currently, the hottest market product is perpetual contracts, which have no expiration date. They rely on funding rate mechanisms to keep the contract price aligned with the spot price. There are also delivery contracts, which have fixed expiration dates, but beginners generally avoid them.

But what really determines your survival are these three points:

**Leverage is an amplifier, not an ATM.** 10x leverage sounds tempting, but in reality, a 1% price fluctuation will wipe out 10% of your account equity. High leverage reduces your margin for error to almost zero. Most of the time, the trap isn’t misjudging the direction, but being unable to withstand large swings.

**Position size and stop-loss are your moat.** Before placing an order, think clearly — how much am I willing to lose on this trade? Set your stop-loss point before executing, and never risk all your principal or borrowed funds.

**Underlying assets and trading hours are crucial.** Mainstream coins like BTC and ETH have active trading and relatively predictable volatility. But those small altcoins? They are easily manipulated by whales, with wild and chaotic swings. Sudden news can push them into extreme行情, and the risk is terrifying. Also, during midnight hours, liquidity often dries up, making price movements harder to predict. Beginners should stay far away.

Honestly: the people who survive the longest in the contract world never rely on luck or courage alone, but on strong self-discipline and crisis awareness. Contracts can be a tool, but never a casino. Learning how to control losses, starting with small funds, and protecting your principal should always be your top priority.

If you’re worried about stepping into traps, it’s wise to observe market trends more and learn step by step. Finally: always remember, surviving is a thousand times more important than making quick money.

BTC1.79%

ETH2.35%

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SilentAlpha

· 7h ago

Honestly, after reading so many contract articles over the years, this guy's words really hit home. Leverage is definitely not an ATM. I've seen too many people go all-in with 10x leverage, only to have their accounts wiped out by just 1% volatility. Stop-loss may sound simple, but in practice, it tests human nature. Most people only regret it after liquidation. Seriously, surviving is a million times more important than getting rich overnight. Trading without a stop-loss is just gambling, not trading. Small coins at midnight look like knives; stay away from them. Over the years, I've noticed a pattern: those who last the longest are never the ones with the biggest guts, but those with a strong sense of rules. It's good advice, but it all depends on whether you follow through. Leverage is a double-edged sword. Beginners really should start practicing with 1x.

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SignatureAnxiety

· 8h ago

10x leverage sounds great, but it can turn around and wipe out your entire capital in an instant, really. Gambler's mentality is a trap; once you're in, it's hard to get out. To be honest, trading small-cap coins in the middle of the night = giving away money, no wonder you're getting cut. Stop-loss is like a condom; you only realize how important it is when you actually use it. I just want to know how many people can stick with small funds testing the waters at this stage; probably not many. Protecting your principal is a hundred times harder than making double profits, that's no lie. Contracts are just emotional amplifiers; if you can't control yourself, you can't control your account. It's not hard to be bullish or bearish; the hard part is holding through the volatility without losing your mind. The biggest trap of perpetual contracts is that it makes you think there's plenty of time, but in reality, you lose the fastest. Leverage is all about psychological warfare; price fluctuations are actually less important.

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HodlTheDoor

· 8h ago

10x leverage is truly a slow-acting poison. I used to be greedy too, but just staying alive is already a win. --- Honestly, trading small-cap coins in the middle of the night is just asking for death. Liquidity is extremely poor. --- Leverage, you see, is like gambling. Self-discipline is the real moat. --- Principal always comes first. That’s so true. Too many people go against it. --- Set your stop-loss before placing an order. This is a hard rule, no exceptions. --- Whether bullish or bearish, it’s fine. Just afraid of the volatility coming and you can’t handle it, really. --- Small-cap coins are just puppets of the whales. Wake up, everyone. --- Perpetual contracts look simple, but actually, it’s a test of your psychological resilience. --- Surviving is much more important than getting rich quickly. That’s true wisdom. --- Trading in the middle of the night? Don’t know what you’re thinking, you’ll definitely step on a landmine.

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ContractFreelancer

· 8h ago

Leverage plays are always ruined by greed; I’ve never seen someone turn around with 10x leverage. --- Stop-loss is easy to talk about but really hard to do. I’m the kind of person who sets it up and then gets itchy and deletes it. --- Trading small coins in the middle of the night— isn’t that just pure money giving? --- What self-discipline and crisis awareness? Honestly, you need to have money to withstand volatility. Without money, even self-discipline is useless. --- I’ve seen too many people go all-in on a single bet, and in the end, they don’t even get a chance to step back. --- The funding rate mechanism of perpetual contracts can indeed be more stable, compared to those wild coins. --- Survival is the top priority, I agree with this, but few actually do it. --- Position management sounds old-fashioned, but it’s really a moat. Now I have small positions on longs and shorts, and I feel much more comfortable.

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TideReceder

· 8h ago

Leverage is really a thing where one careless move can lead to bankruptcy. It's easy to say but hard to do; the stop-loss threshold has knocked out so many people. Really avoid small coins; the market maker strategies are too complicated. Watching others get rich with tenfold leverage, I think I’d better just honestly stick to my principal. Those who operate contracts in the middle of the night are true warriors; I’m really too timid. That’s why people who survive don’t like to talk; they’re always bragging about making quick money. The funding rate mechanism is brilliantly designed — it’s just cutting the leeks. Discipline is something everyone understands in theory, but in practice, everyone keeps making excuses. BTC’s volatility is relatively reasonable, but those zero coins are just hellish difficult.

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nft_widow

· 8h ago

10x leverage sounds great, but when you lose, it's truly despairing. My blood, sweat, and tears account can testify --- Stop-loss is really the key to survival. Those days without it are just tuition fees --- Trading small coins in the middle of the night is just giving money to the whales. Wake up, brothers --- Exactly right. Only by surviving can we witness the next bull market. Dying in a contract means nothing --- Leverage is a trap. Feels like I made a fortune, but one dip and it's all gone --- Position management is truly the pinnacle of wisdom. Many people blow up because they go all-in

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GweiWatcher

· 8h ago

That's right, I'm the kind of person who gets caught up in leverage. When it's 10x, I really thought I was the chosen one. Contracts are a psychological battle; understanding yourself is even harder than understanding the market. Small altcoins really shouldn't be touched in the middle of the night, my blood and tears are the lessons learned. Even if stop-loss is set, I still hesitate and close the position manually—that's human weakness. Living is more important than getting rich overnight; few people truly listen and take it to heart. How should I put it, leverage is just used to harvest new retail investors; I am one of them.

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