When it comes to lending and borrowing, what I fear most now isn't a price drop, but a gradual decline that pushes the liquidation line close to the red line, making my mindset start to waver... At such times, I usually stop and refrain from adding positions, first lay out my holdings and debt sheet clearly: is it the price fluctuation that’s pushing me closer, or did I initially leverage too heavily? I’ll add some margin if I can, but only enough to feel comfortable sleeping at night; if I can't, I’ll honestly reduce my positions or pay back some, preferring to earn less than to be forced to sell by the system.

Recently, everyone has been talking about rate cut expectations, the US dollar index, and risk assets sometimes moving up and down together. Basically, it’s easier to get hit with a sudden big wave of volatility, and if the liquidation line is too close, it’s really hard to withstand. During lunch break, I’ll check the health and liquidation volume changes of a few lending pools on Level 2, and also raise the alert thresholds a bit—just like that.