Rhythm is more important than direction; risk control is more important than profit—this is a painful lesson learned through countless liquidation orders in the market.

Watching each trigger of forced liquidation on the candlestick chart, many only realize belatedly: they are not really trading, but participating in a game with extremely low odds of winning. The most frightening part is that they haven't even fully understood the rules of this game.

**Leverage mathematics, 99% of people can't understand it**

Exchange advertisements are always eye-catching—5x leverage, 10x leverage, 50x leverage. It sounds very tempting. But how many people can accurately calculate their risk exposure? You have $10,000 in your account and think losing $500 is nothing, so you casually open a position of $30,000. You think this is 5x leverage. But in reality? Count the decimal points—you are already using leverage equivalent to dozens of times the market fluctuations.

When the market slightly fluctuates, liquidation happens. You become someone else's ATM.

Leverage is like a double-edged sword. When it amplifies your gains, it also amplifies your losses. Here's a simple math problem: using 10x leverage to go long on Bitcoin, if the price drops by 10%, your account balance is completely wiped out. This is not just a theoretical scenario; it happens every day on exchanges.

High leverage compresses the safety buffer of margin. The market only needs a slight fluctuation, and the liquidation command is automatically triggered. This explains why during a sudden crash, over 1.6 million traders' positions were liquidated within just a few hours. That is not an isolated phenomenon; it is systemic risk being released.

**Mindset choice determines your outcome**

In this market, making money is never about frequent trading. What do successful traders have in common? They know when to give up. They know how to say no. They know to take profits when they are ahead and cut losses promptly.

And most liquidated traders? They have all experienced that moment of unwillingness. When they lose, they want to win it back, using bigger leverage and more aggressive positions. The more they fight, the deeper they go. One liquidation, two deposits, three times it becomes a habit.

This is a market where risk management and mental resilience determine life or death.