Recently, I’ve been seeing a bunch of newcomers chasing memes and following celebrities to shout trading signals, with the hype cycling round after round at lightning speed. To put it plainly, the liquidation line of borrowed positions is the easiest thing to overlook.

My own habit is: once you’re “three steps” away from the red line, don’t act like you’re calm. Step one is to set aside your pride and immediately check the liquidation price and health score—don’t just stare at unrealized profit. Step two is to choose the most worry-free move: either add a bit of margin / repay a bit of debt so the line moves lower; or simply reduce your position to bring leverage down, don’t count on a rebound to save you. Step three is to turn on automation (reminders, limit orders, and even handling ahead of time in batches), otherwise, when that moment of volatility hits, people panic and freeze up and then it’s all incorrect actions.

Old players advise newcomers not to take the last baton—basically also don’t borrow yourself up to full capacity when attention is at its hottest... Anyway, with positions, the key is to stay alive for the next round—you know what I mean, right?