People often ask me about this issue: "I only have a few hundred bucks, want to trade contracts but afraid of losing everything at once, what should I do?"

Actually, the fear of a liquidation is understandable, but the real problem often lies elsewhere—many beginners with 1000U are trading as if they have 100,000U. That’s the fastest way to blow up.

I’ve seen many small fund traders survive, and none of them are reckless. The key to survival is four words from the very first entry: don’t go all-in.

My advice is to split your capital into 5 parts, only trade 200U each time, and keep leverage within 5-10x. This way, even if the market jitters, a single loss remains manageable. But those who open with 50x or 100x leverage right away? Honestly, that’s not trading, that’s gambling with your life. When the market suddenly spikes or drops, you get liquidated instantly, leaving no chance to recover.

The remaining four parts should be kept safely. After a loss, don’t think about adding more positions or chasing the market impulsively. I’ve learned this the hard way—losing makes you unwilling to accept it, so you keep adding, and eventually, you get trapped. Later, I realized: sometimes, knowing when to stop is smarter than stubbornly fighting on.

Market opportunities are plentiful; missing one trade isn’t a big deal. Take a couple of days off, analyze the reasons for failure, and come back once your mindset is stable. Continue splitting the remaining funds into smaller parts and start over. You can’t expect to turn things around with just one trade.

Here’s a detail many overlook: take profits and withdraw. For example, if your account has a floating profit of 500U, withdraw 300U and leave only 200U to trade. The benefit of this is that you’re holding real profits in your pocket, which keeps your trading mindset healthy. Many people see only a few hundred dollars in floating profit and hesitate to move it. Then, a single candle causes everything to wipe out, and they have to start from zero again. That cycle is heartbreaking.

Another important math point: with 10x leverage, a 10% price move against you means liquidation. Bitcoin moves 10% up or down daily—this is very common. Even experienced traders with a 60% win rate are considered quite skilled. So, whether you survive depends less on your judgment and more on whether your position size is small enough and whether you dare to cut losses when needed.

My own stop-loss rule is simple and brutal: if I lose 2% of my total capital in a day, I become cautious; if I lose 6%, I close the trading software. Protect the principal first, then let the profits run. Don’t wait for small gains to become big ones, only to end up with nothing.

In summary, these points: don’t be greedy with small capital, control your leverage, cut losses promptly, and withdraw profits. Money grows gradually, not by going all-in at once.