those that have the highest amount of money try to reduce their risks as much as possible to protect their capital, so it is interesting that the ones that have many times less capital choose the opposite strategy and they are reckless with their capital when it is so low
Exactly the case, the people that have enough money to trade and are patient (because not all with enough money are patient, that is why some lose thousands of dollars on just few days), they will not even leverage at all, this helps them in many cases, the market can go against there direction to the extent they would have been losing much but later the market will correct itself to the extent such traders will make profit at the end, but if they had leverage the position opened, then the market would have liquidated. Some people will also prefer to wait for market to decrease a little, then enter market without leverage, this also helps because no matter how bitcoin drops, it will still increase back and surpass the price of the position opened.
It is understandable why they do something like that but at the same time they should know that something like this is never going to work, there is a reason those that have a lot of money decide to not use leverage, and if they do, they use a very low leverage with a very strict stop loss, but instead what we see is people using 100x of leverage and then they complain about losing their money, but what else did they expected to happen? When you take such huge risks the risk of bankruptcy is 100%, and even if someone can obtain some profits doing that sooner or later the risk will catch up to them.