2026-01-07 13:23:12

Contract trading may seem to have a high threshold, but in reality, it is a combination of spot trading and leverage. When funds are amplified, profits and losses also expand accordingly—making quick gains possible, but losses can also be fierce. To make steady profits, you must first understand the rules clearly.

First, pay attention to the funding rate. When the funding fee is positive, longs pay shorts, which often indicates that the price is at a high level. Blindly chasing the high can easily catch the last upward move; when the funding fee is negative, the opposite is true, usually signaling that there may still be room for further decline. This is a barometer of market sentiment and should not be ignored.

Regarding leverage multiples, it’s like a double-edged sword. For beginners, a leverage of 3 to 5 times is a safer choice, as it can amplify gains while keeping risks within controllable limits. Leverage above 10 times belongs to the territory of professional traders, requiring years of experience and strong psychological resilience.

The execution of trading can be divided into four key steps:

**1. Confirm the main trend.** Do not rely too heavily on short-term charts; first look at the daily chart for the overall direction. Moving average arrangements and MACD indicators can effectively help you judge the strength of the trend—this is fundamental.

**2. Precisely choose entry points.** When the four-hour chart shows a pullback to the middle band of the Bollinger Bands and RSI shows an upward reversal, such points have higher success rates; if accompanied by increased trading volume and breakout, even better.

**3. Set stop-loss in advance.** Pre-determine your maximum loss tolerance; close the position immediately when reached—do not hold onto hope. The risk of liquidation always exists, so do not give it a chance.

**4. Realize profits in time.** Exit decisively whenever there are reasonable gains, even if only 10%. The market offers continuous opportunities; greed will only cause you to give up profits for nothing.

Regarding risk management, the size of each position is crucial—do not allocate more than 30% of your account capital to any single coin. This can protect your principal during adverse market fluctuations.

In the end, contract trading is not about who makes the biggest single profit, but about who can persist until the end. Market opportunities are everywhere, but once your principal is exhausted, it’s game over.

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MetaEggplant

· 01-10 10:05

There's nothing wrong with that, but most people die at the step of greed. 10x leverage is not meant for me. The funding rate is indeed easy to overlook. I previously ignored it and almost got liquidated. Set your stop-loss and don't be soft-hearted; that's the only way to survive. It looks simple, but in practice, it's all a psychological battle.

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GateUser-40edb63b

· 01-10 09:40

Funding rate really is a trap that's hard to understand; so many people have taken the final step because of this thing. As for 10x leverage, I will never touch it again. Last time, I literally sleepwalked into a liquidation. The advice on stop-losses is quite correct, but actually executing it is really damn hard; you always want to take a gamble. The saying "lock in profits" should be tattooed on me—greed kills. The 30% position limit, sometimes I just can't resist going all in...

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CommunitySlacker

· 01-07 13:53

In simple terms, greed kills people. Knowing when to take profits is the real key. 10x leverage is just giving money to the exchange; I've seen too many people get liquidated in a daze. Funding rates really need to be monitored closely. This thing is all about market psychology, and it can save you a lot of trouble. The 30% position limit—this rule is etched in my mind. Violating it once was enough. Make a 10% profit on a single trade and then exit. It sounds unsatisfying, but those who survive the longest play this way. Set your stop-loss in advance; don’t wait until your mindset is shattered to realize it. By then, it’s already too late.

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BtcDailyResearcher

· 01-07 13:53

I really hate those 10x leverage newbies; 99% will get liquidated. Basically, greed kills people. No matter how many times you hear "take profits," some people still don't listen. The funding rate is indeed easy to overlook. Anyway, I always check it every time. I'd rather miss out than take the last hit. I think a 30% stop-loss is still too lenient; it feels too loose. Trading contracts is really about betting whether your mental toughness is strong enough; technical skills are secondary.

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MetaMaskVictim

· 01-07 13:51

Haha, it's the same old story. In reality, it's just gambling plus psychological warfare. Where are those guys with 10x leverage now? I trust the funding rate, but only a few can truly read it accurately. 3 to 5 times leverage sounds safe, but when you lose, it still hits unexpectedly. It's easy to say not to be greedy, but when the market takes off, who still thinks about taking profits? That's the hardest part. One word: wait for the explosion. The suggestion of a 30% single trade is indeed prudent, but most people simply can't do it. It seems like a four-step plan, but in reality, it's just armchair strategizing. The market will teach you to start over.

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ZKProofster

· 01-07 13:48

ngl the funding rate breakdown actually hits different... most people just yolo without checking if they're literally paying to hold bags lmao

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ForkTrooper

· 01-07 13:34

It's a simple truth—living is more important than making quick money. --- 10x leverage is really a gambler's game; everyone around me is all-in and wiping out overnight. --- The explanation of the funding rate was spot on; so many people get wiped out chasing the high. --- I deeply understand the 30% position limit; you don't realize how desperate a liquidation can be until you've experienced it. --- The strategy looks clear, but executing it is still a mental challenge—who hasn't been greedy? --- Looking at trends on the daily chart is the truth; short-term fluctuations are just noise. --- The simple principle of taking profits is so hard for so many people to follow. --- Stop-loss is like insurance; it's best not to need it, but when you do, it's a lifesaver. --- Entering at the middle band of the four-hour Bollinger Bands sounds professional, but in practice, it still depends on intuition and adjustment. --- The last sentence is brilliant—losing your principal means everything is over; that's real hard currency. --- Leverage is a double-edged sword; beginners really shouldn't aim to do everything at once—take it slow. --- Some people are still pushing when the funding rate is positive; truly admirable courage.

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DeadTrades_Walking

· 01-07 13:30

Honestly, I didn't pay much attention to the funding rate before, and as a result, I got caught off guard at a high level. Only after reading this article do I understand what it means to "catch the last wave," haha. 10x leverage? That's asking for death. I've seen so many brothers lose everything in one shot. Stop-loss is actually the hardest thing to do, human nature is gambler's mentality, always wanting to make a quick buck... Taking profits and securing gains is definitely not wrong. Now, as long as I have a profit, I just run. No more greed. Principal is the key, if it's gone, it's completely over. 3 to 5 times leverage is actually more comfortable, and the quality of sleep is different. I need to change my habit of aiming for 30% on a coin.

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