Hearing the words "high leverage," many people's first reaction is—it's over, you're playing with fire.

But frankly, leverage itself isn't inherently sinful. The real problem usually lies with the hands holding the leverage.

When the market is doing well, you see spot prices rise a few points, add leverage, and the profit curve skyrockets. This isn't luck—it's pure mathematics. Maximizing capital utilization naturally boosts efficiency.

Where's the problem? Most people's minds are only focused on one thing—how to make more money. But they never consider whether they can handle the losses.

Why do liquidations happen? It sounds complicated, but it's really just four words: operating too impulsively.

Never setting stop-losses, adding positions after losing money, making reckless trades when emotional—trading so frequently every day that it feels like a job—but the numbers in the account are the most honest. I've seen too many people like this. They say they are cautious and rational, but in reality, stop-losses are just decorations in their accounts; they desperately want to recover losses, but their mindset fluctuates more violently than the K-line chart. This isn't trading anymore; it's just gambling on size.

So, can high leverage be used? Yes, but only under one condition—you must have discipline.

Your market judgment must be clear, not ambiguous. When entering a trade, be decisive; don't waver. Most importantly, actually execute the stop-loss, not just write it in a notebook—do it in your account.

By doing these, leverage becomes your accelerator, speeding up your wealth accumulation; if not, it turns into a magnifying glass—amplifying all your mistakes and weaknesses infinitely.

Leverage is like a mirror; what it reflects is actually the trader himself. Those with a complete trading system can survive even with 10x leverage; those without a system will feel overwhelmed even with just 3x.

So, don't be scared off and withdraw immediately at the mention of high leverage, nor get overly excited and rush in at the sight of profits.

Understanding market structure and controlling your mindset are the prerequisites for pursuing trading efficiency.