Margin Questions General

[Anonymous No.8535413]

Alright, i'm not jumping into margin, but I have some general questions about it. Could someone please explain to me the basics of leverage and the ratio of that to profit/liq prices?
My probably wrong understanding:
>Bet $100 long on 10x margin
>"Borrow" $900
>????

[Anonymous No.8535468]

>>8535413
if you cant even understand that you probably shouldnt trade

[Anonymous No.8535475]

>>8535413
>price falls by 10%
>you lose 100 dollars
>bitmex sells for you to cover the 900 you borrowed
>AAAAA

[Anonymous No.8535516]

>>8535468
this

Too lazy to watch a 10 minute video?

[Anonymous No.8535597]

your best bet is to just try it out with small amounts. it's really hard to explain.

[Anonymous No.8535634]

go on bitmex mate, you clearly know what you are doing
we need as much dumb money as possible to keep this ponzi going

[Anonymous No.8535740]

hitting the testnet to just fuck around. fuck it.

[Anonymous No.8535805]

>>8535413
Don’t listen to these other posters they are the actual retards. You are correct, If you bet 100$ long at 10x margin you are borrowing 900$ bringing the total value of the position to 1,000$. If your position goes down 10% you will be liquidated and lose everything so your creditor does not lose his funds (10% of 1000$ = 100$). You have to look at the terms of the contract to borrow money though, liquidation is likely lower than 10% in this scenario and there will be borrow fees you need to pay on positions. These stipulations vary amongst creditors.

[Anonymous No.8535891]

>>8535413
You amplify your gains and losses by your leverage. So if you buy $100 worth of BTC at $100/BTC and the price goes to 0, you lose all your money. If you go 10x though and the price goes to $90, then you lose $10*10 = $100 which is all your money. If the price goes up it's the reverse.

[Anonymous No.8536352]

>>8535805
>>8535891
thanks for the serious responses. what indicators do you all use?