Crypto Miners
2 posts
May 08, 2025
10:51 PM
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If you’ve spent any time in the crypto world, you’ve probably heard stories of people getting “liquidated.” But what exactly does that mean—and how can you avoid it? Let’s break it down in simple terms.
crypto liquidations happen when a trader’s position is automatically closed by an exchange because they don’t have enough funds to keep it open. This usually occurs in leveraged trading, where people borrow money to trade bigger amounts. If the market moves against their bet, their collateral can be wiped out to cover losses. It’s a tough situation and one that can happen fast in crypto’s volatile environment.
Last Edited by Crypto Miners on May 08, 2025 10:29 PM
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