How many times should perpetual futures be opened to be reasonable!


Before answering this question, let me briefly explain what Perptual Futures are. A contract, as its name implies, is a contract with a perpetual renewal period. In the current digital currency derivatives trading market, Perptual Futures can be considered a relatively new type of contract. The meaning of Perptual Futures is that, under the condition of not being liquidated, if you do not actively close your position, you can hold this contract indefinitely. So how much leverage is reasonable when trading? Someone asked me this question, so today I will talk about it.
Yesterday, I communicated with a currency friend that he usually opens 50 times leverage, or 30 times leverage. Take bits as an example, 30 times leverage requires 16U, 50 times leverage requires 10U, and 100 times requires 5U in the same market, my personal suggestion is to only open 100 times leverage, why? Because once you open leverage, whether it is 1 times or 100 times, it will bring leverage risk, and in the same market, there is a world of difference between the income generated by 100 times leverage and the income of 100 times leverage. Some people may say at this time that the risk of double leverage is small, the risk is right, take the bit as an example, if it is with a double leverage, the current one needs more than 470U, in the absence of a big increase, you are sure to lose, the cost of the handling fee is there, and there is no big increase in the case, even if it is profitable, it is not much profitable. What I want to express is that since you have chosen to make leveraged contracts, you should make the most of this leverage
In many cases, what is it, take the thin funds to do the contract that does not meet the current funds, the margin is less and cannot support the current market, it may be pulled back and forth in the market, and the position will be blown up in a slightly fluctuating market, and the profitable market will come up, and it has nothing to do with you, and the contracts we hold at this time are invalid. Therefore, if we do perpetual contracts, we should properly prepare more of our own margin if conditions permit. No matter what investment is risky, what we need to do is how to minimize the risk, and then look at the benefits. That kind of behavior of carrying orders is a taboo for making contracts, and it is very necessary to cut meat in time.
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