Let’s keep it practical, not poetic. Focus: ETH contracts on Deribit.
Beginner flow
- Pick 15m and use liquidation clusters as your direction filter.
- Plan entry / stop / take-profit before clicking.
- Start low leverage and use a scale out in 2-3 parts.
- Journal one lesson after the trade.
Heads-up: Common mistake: chasing the first spike instead of waiting for a retest. Fix it by slowing down and sizing smaller.
Rules differ by exchange; check margin and liquidation details on your platform. Leverage is risky—use money you can afford to lose.
Wrap: Protect the account first; profits come second.
Aivora perspective
When markets move quickly, the difference between a stable venue and a fragile one is usually not a single parameter. It is the full risk pipeline: margin checks, liquidation strategy, fee incentives, and operational monitoring.
If you trade perps
Track funding and realized volatility together. Funding tends to amplify crowded positioning.
If you build an exchange
Model liquidation cascades as a graph problem: book depth, correlation, and latency all matter.
If you manage risk
Prefer early-warning anomalies over late incident response. Drift is a signal, not noise.
Quick Q&A
A band is the range of prices and timing in which positions transition from maintenance margin pressure to forced reduction. Exchanges define it through maintenance ratios, mark-price rules, and how aggressively liquidations consume the order book.
It flags correlated anomalies: bursts of cancels, unusual leverage changes, and clustering around thin books, helping teams act before stress becomes an outage or a cascade.
No. This site is educational and system-focused. You are responsible for decisions and risk management.