Recently, this wave of crypto market crashes has liquidated 650 million across the entire network in one day. Many whales lost millions overnight, and Bitcoin dropped from its high to 91,000. Everyone is blaming geopolitical issues and policy changes, but digging deeper, the real problem isn’t there—this is a self-destructive cycle triggered by excessive leverage.

On the surface, it looks like a black swan, but in reality, it’s the explosives they set themselves.

When ETH broke below 3200, the chain reaction liquidation mechanism in the market was activated. High-leverage long positions were liquidated, lending chains broke, and automated stop-losses triggered a cascade—everything happened simultaneously, creating a terrifying stampede effect. You might think it’s just a normal correction, but the market was already packed with dry tinder, just waiting for a spark to ignite.

What’s more ironic is that the "opportunity" seen by retail investors is precisely the "escape window" for whales. Some are floating with a loss of 1.5 million, some are still looping through borrowing and leveraging to go long, and some big players are dumping assets to cash out—retail investors are bottom-fishing, only to become the bagholders. The market never lacks stories, only clear-headedness. When emotions are amplified tenfold or a hundredfold by leverage, any small movement can turn into a catastrophe.

So how to survive? Here are some suggestions:

First, immediately cut leverage. Whether you’re bearish or bullish, high leverage is a gamble for your life. Preserve your strength, keep your ammunition, and you’ll survive the next rebound.

Second, switch to spot dollar-cost averaging. The long-term value of ETH and BTC hasn’t changed; a sharp drop is actually the best opportunity for DCA, much more reliable than gambling everything on a single shot.

Finally, don’t get hijacked by data noise. PCE data, central bank decisions are indeed important, but nothing is more important than your position management. Strictly follow your stop-loss plan; it’s more likely to save you than chasing every piece of news.

This crash has revealed everyone’s true level—those relying on leverage are essentially hostages to risk. Every deep dip in the market is screening out overconfident players. To do better in the next cycle, start cultivating a position management habit that can withstand crashes.