Quote from: lixer on Today at 05:22:10 PM

Quote from: Dr.Osh on Today at 02:50:26 AM

Quote from: Wind_FURY on June 27, 2023, 03:09:52 PM

No one considered that the most you can profit from a short position is 1x of the amount you used for short selling.

To illustrate, if the trader has $1,000 in his account and wanted to use 10x leverage - $10,000 - to short something priced at $100, then the highest amount the trader could take profit is $10,000 IF the coin crashed to zero. The only reason why there's a potential to profit 10x of the original capital is because of leverage, NOT because there's an exponential return.

The OP said that it might be easier to make 10x shorting. well, I think he really hasn't gotten into trading yet. Even when we get 2x profits when short, it is a very good thing. it's not as easy as the OP said. in fact, it takes persistence for it, it's not even easy to get 2x when going short. In addition, many people who target short, get stuck and end up holding on long term because the price of the coin they are buying has dropped drastically. Imagine making $10k, with $1k in a short amount of time. well, I think if it was that easy, nowadays people tend to prefer trading over investing.

One can simply not hold if they are trading in futures, they will either get profit or get liquidated if the market moves in the opposite direction based on what leverage they have selected for their trade, so it's obviously not easy to get 10x in futures trading, even the ones who are experts of the market tend to lose money when it comes to short futures trading because it is very difficult to perfectly time the market in these kind of situations.

Futures trading is basically not for users who have no knowledge or experience at all, newbies need to stay away from futures trading because they will easily lose all their capital in no time if they just get influenced and start trading futures so that they get a lot of profit in a short period of time.

Going past 10x in leverage or futures trading is already risky or i shall say that it would really be that already a gamble because having that 25x or 125x or more then it would really be totally risky and its true that even on

slightest movement then we do know that higher the risks on getting liquidated. It is really that surprising that there were even some noobs who do really be able to dive in with futures trading without having that sufficient experience and knowledge on spot trading on which you could really be able to laugh on what the heck they've been doing on this very risky field? Even myself had been able to trade for too long but i havent touched up on trading with futures on which i do know and able to see on how it would easily fucked you up on short time.

Yes, when it comes to potential income or profit then you could actually able to reach it out if the market would really go along on what you have predicted and not the opposite.
It is really just that there are people who are really that risks takers on whose they do really love on touching up this area despite of the risks.
So its personal choice whether you would really be pushing it through or not.