When it comes to the phrase "high leverage," many people instinctively shake their heads—it's too risky, it will definitely blow up.

But what is the truth? High leverage itself is not inherently sinful; the problem lies with those who do not know how to use it.

When market sentiment is high, spot prices can rise by 5%, and high leverage can directly double the returns. This is not some mysticism; it is purely a mathematical game. Only by daring to amplify can one potentially reap huge profits. The problem lies in the fact that the vast majority of traders cannot handle this double-edged sword.

Why does liquidation occur?

It's not that the leverage multiplier is too high, but that human nature is too impulsive.

No stop loss, random increasing positions, emotions running high, operating fiercely like a tiger, and in the end, only two lines of tears are left in the account. I've seen this happen too many times—some people talk about stable operations but never set a stop loss; others think about flipping positions quickly, with a mindset more erratic than the candlesticks. This is not trading at all; it's clearly gambling.

Want to turn around with high leverage? You can, but you need to have iron-clad discipline.

Be able to see the direction clearly, keep your hands steady, and be ruthless with stop losses. By achieving these three points, high leverage becomes your wealth accelerator; if you fail to do so, it becomes your grave.

To put it bluntly, leverage is just a magnifying glass. If you have a clear trading logic, it amplifies your profitability; if you lack logic, it amplifies your losses. Some people make steady profits with 10x leverage, while others go bankrupt daily with 3x; the difference lies in "who uses it and how it is used."

So, don't be terrified at the mere mention of leverage, and don't get overly excited and go all in. Understand the market trends, maintain a steady trading mindset, and leverage can help you make money, rather than directly taking your life.