How are you all? I hope you are all doing well, so today I will talk to you about an important topic, We constantly hear about liquidations in the market, today we will know what liquidation is and how it happens! Before that, we did not know the liquidation news of the last 24 hours, More than 500 million dollars have been liquidated in the last 24 hours, Liquidation can pump and dump the market in an instant, However, in most cases, liquidation is done when the market is in a very good position, We all have a fair experience about Future Trade, Future trade can be called a kind of gambling, you have to guess whether different crypto currencies will go UP or dump, Then entry is taken from 1X leverage to 50X Leverage,

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And it can be said to be very dangerous,
Because when the market is in a very good position, traders think that it will go up now, they open a huge amount of Long Position, as a result, if everyone's Long Position really hits, then the Exchanges are victims of huge losses,
And for this reason, the Exchanges do Liquidation to save themselves from that loss,
How to Liquidate, for example, $500 million Long Position open Did, and some traders opened $100M Short Position, now since the Long Position is Huge in the market, they intentionally create Whales Selling Pressure on the market, as a result, the market starts going down instantly, since the market hits ShorShort Position, Short Traders make profit and Long Traders suffer huge losses, and this is called Liquidation,

Now the main reason behind doing this is, if this liquidation is not done, then all the exchanges will go bankrupt,
So I think it is better to stay away from Future Trade,

Image collect Pixabay

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You will profit here for ten days and lose one day, all your funds will be gone,
We can constantly hear that many people commit suicide after suffering huge losses from Future Trade,
Many people think that by trading futures, they will become millionaires overnight,
This is actually a wrong idea, rather you can become a pauper overnight,
So I am ending here today, everyone be well, Allah-Hafez