Grandma warned me: No margin!…

How Margin Calls Can Transform Market Downturns Into Market Crashes
The selloff in crypto, stocks and bond markets so far this year has been exacerbated by billions of dollars in margin calls

Good assets are liquidated to pay the margin call when the market falls. This drags the good down along with the bad.



I agree 100% with Grandma. AVOID MARGIN! The risk of being forced to sell and thus miss out on a subsequent rebound is a deal breaker for me. Holding unleveraged positions only makes it possible to hold on and thus have time on my side.

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What would she think about margin in crypto?…

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