I now basically treat borrowing and lending as a "liquidation warning system." When there are three steps left before hitting the red line, don’t try to hold on; I usually treat the position as already wrong: either add margin, but only enough to let me sleep peacefully; or simply reduce some leverage, preferring to earn less rather than get blown up by a single needle. To put it plainly, liquidation isn’t losing money; it’s being passively eliminated, and the experience is terrible.

Recently, everyone has been interpreting ETF capital flows, U.S. stock risk appetite, and the rise and fall of coins together, and I’ve looked at it too, but I don’t dare to rely on it as a lifeline, because emotions come and go quickly. With borrowing and lending, if the market sentiment shifts and you react a half beat too late, you’re done.

Tonight, I’ll first raise the health threshold for all borrowed positions a bit, and also place a small order to reduce leverage—just like that for now.