In Futures Trading, many people are attracted by the huge profits of high leverage, but overlook the enormous risks that come with it. High leverage not only amplifies profits but also increases risks exponentially. This practice often stimulates the desire to get rich overnight, leading to irrational momentum investing behaviors, which may ultimately result in missed gains or miss out.

Moreover, under high leverage, every point of fluctuation can lead to significant profit and loss, often exceeding the psychological tolerance of most traders. Even if the direction of the position is correct, it may result in premature liquidation due to an inability to withstand severe fluctuations, or even reverse operations, turning what should have been a profitable position into a loss.

The recent significant market correction is a perfect example. Bitcoin has corrected nearly 7000 points, and Ethereum has corrected 600 points. In this situation, highly leveraged long positions are almost impossible to withstand; even if the funds allow, psychological pressure will force traders to consider cutting losses rather than averaging down or waiting for a reversal.

In contrast, low leverage allows traders to stay clear-headed, rationally viewing each round of rises and falls, without being swayed by emotions. This enables better judgment on when to stop loss and when to increase positions, with decisions more based on technical analysis rather than impulsive reactions.

Overall, high-leverage trading relies more on luck and emotions, while low-leverage trading depends more on rationality and technology. We should remember that in the cryptocurrency market, survival is more important than short-term high returns. There may be opportunities in the future that are hundreds or even thousands of times greater, the key is to survive long enough to wait for that day.

My personal advice is to consider using higher leverage only when the market situation is very clear. For example, I recently opened a long position on Ethereum, using low leverage and continuously averaging the price, and I have already achieved profits. This strategy allows participation in the market while effectively controlling risk.

Remember, a person can only earn money that matches their understanding. Leverage not only amplifies profits but also magnifies risks. In this opportunity-filled world of cryptocurrency, maintaining rationality and patience is essential to truly capture long-term substantial gains.