Things every futures beginner gets wrong about liquidation and sizing
5 futures myths people keep repeating that are just wrong
Low multiplier means no liquidation 5x with your whole balance still gets you rekt on a 20% move. Liq price is set by margin ratio, not the multiplier number. Checking the margin breakdown on bydfi's futures page made this click for me, its about how much collateral you put in not the 100x thing.
I'll just hold until it bounces perps dont expire but funding bleeds you dry. A losing long paying positive funding for weeks is a slow death.
Stops are for paper hands No stop means the exchange liquidates you at the worst price on the book. thats not risk management thats a donation.
Isolated margin is always safer until you put 90% of your balance into that one isolated position.
Lower multiplier lets me size up size IS the multiplier. $1k at 2x is $2k exposure. $1k at 10x is $10k exposure. you cant decouple them.