going full for leverage.

[nattekut]

I have been successfully trading crypto for over 4 years now and I made some very decent profits since then. I helped me to quit my first business and start trading professionally and run a couple small side businesses aside. 

Now the past 4 months I have been getting deeper in the world of leverage trading. I have been doing that on CFD's for some time but even with this experience I needed to educate myself some more cause crypto markets are so much more volatile. I have been doing paper trading with leverage for 3 months now and the results are just mind blowing. On paper I managed to work up a 10,000$ starting balance up to almost 250,000$ within 6 months.

But like with everything trading on paper is easy peasy. It starts to get more difficult as soon as real hard cash is getting involved.

I already noticed that it is much riskier to go for 100x leverage in crypto cause with a 100x leverage your position only needs to fall with 1% to liquidate your position and makes you loose all your money. I think in a bull market it is possible to go 100x but only with a very small amount of your balance. So I think for crypto a leverage of max 25x is can be comfortable to trade but I think even a 10x or 5x leverage is the best setting to enter with leverage trading. With a smaller leverage you put some more of your own money at risk but still you have a much larger margin before you loose your money. with a 10x leverage price has to drop with 10% to liquidate all your money. 

Are there guys here that already have experience with leverage trading and want to share some of their experiences. Its always nice to get some feedback. I am trading professionally on crypto for over 4 years but now I am going to take my first real steps into leverage trading

 

[nuuuitsjdragon]

I’ve not been into trading much but am looking forward to learning from the discussion amongst the more-experienced Traders.

I’ve heard as a rule of thumb that leverage is useful but nothing more than 5-10x due to the risk it carries. I understand that by using 100x for leverage, it requires you to top up mad amounts whenever the limits are reached? 

Not entirely sure on this but just what I’ve gathered! 

[Kippo]

I want to know  all about crypto trading . But I don’t know how to start learning. I didn’t understand all about that trading system. I would like to see good information to learn crypto trading in this topic 

[nattekut]

55 minutes ago, nuuuitsjdragon said:

I’ve not been into trading much but am looking forward to learning from the discussion amongst the more-experienced Traders.

I’ve heard as a rule of thumb that leverage is useful but nothing more than 5-10x due to the risk it carries. I understand that by using 100x for leverage, it requires you to top up mad amounts whenever the limits are reached? 

Not entirely sure on this but just what I’ve gathered! 

yeps entirely correct. if for example you put 0.01 in a 100x leverage trade you actually get 1 BTC to trade with. But you take the risk that of BTC drops by 1% only your position gets liquidated and you loose your entire 0.01BTC. thats why I rather take a 5x or 10x leverage max. In this way you have much more room for a flash crash and not loose your money cause your position gets liquidated

[Kate]

Paused trading for a week since i was on vacation and come back to see i have lost over 100 usd in profits due to price drop. Just a suggestion if you want to be a trader no vacations unless sold all btc. 

[nattekut]

2 minutes ago, Kate said:

Paused trading for a week since i was on vacation and come back to see i have lost over 100 usd in profits due to price drop. Just a suggestion if you want to be a trader no vacations unless sold all btc. 

I mostly keep trading on holidays but not so intensively. I mostly switch from day trade mode to long mode and place my orders by using different indicators then when I am day trading. So when I am on holidays I mostly put some orders in the morning and only check around noon and at the evening. 

[williamshennie9]

Leverage can either be good or bad. Like you said, with 100:1 leverage, you can maximise the movements in terms of the profit you make. However, you will also be more affected if the trade goes in the wrong direction if your leverage is high.