Leverage has just reminded everyone that it cuts both ways, with another wave of forced liquidations ripping through the market in the last few days. Quick stats to frame it - In one recent 24‑hour window, total liquidations topped about $1.08B, with more than 182,000 accounts blown out, the vast majority on the long side. - On a quieter but still painful day this week, global 24‑hour liquidations still sat around $120M+, with almost 60,000 accounts hit. - In just a single hour recently, around $80M was flushed, with roughly $65M of that in long positions as price moved against over‑levered traders. What this means for us - These numbers show that most people are not “trading” – they are effectively gambling with high leverage and getting systematically harvested during volatility spikes. - The crowd tends to pile in late, max out size on perps, and then one sharp move forces a cascade of liquidations that accelerates the dump. - Even if you are directionally right on Bitcoin or majors, too much leverage turns a normal pullback into a total account wipe. How I want this classroom to think about leverage - Treat leverage as a tool for advanced, tightly risk‑managed trades, not as a shortcut to get rich faster. Size so that a liquidation is basically off the table, not your base‑case outcome. - Focus first on unlevered spot, yield, and structured income plays; then, if you use leverage at all, keep it low, define your max loss in advance, and assume violent wicks will happen. - Remember: surviving these shakeouts is a real edge. If you are not part of the $100M–$1B that gets liquidated on big days, your future self will thank you. 🫡