In the crypto world Futures Trading, the main reasons most investors incur losses can be attributed to the following core factors:
### 1. **High leverage amplifies risk**
- Futures Trading allows for high leverage (such as 10x, 50x, or even 100x), which means that even small market fluctuations can lead to liquidation. For example:
- Under **10x leverage**, a 10% price reversal will trigger a liquidation;
- With **100x leverage**, only a 1% price movement is required to wipe out the principal.
- On August 8, 2025, the total liquidation amount across the network reached $313 mil
View Original### 1. **High leverage amplifies risk**
- Futures Trading allows for high leverage (such as 10x, 50x, or even 100x), which means that even small market fluctuations can lead to liquidation. For example:
- Under **10x leverage**, a 10% price reversal will trigger a liquidation;
- With **100x leverage**, only a 1% price movement is required to wipe out the principal.
- On August 8, 2025, the total liquidation amount across the network reached $313 mil