Recently, the market has staged a thrilling leverage drama.

A large-scale trader directly opened a 25x long position on Ethereum with full margin, piling up to 5,000 ETH longs, with an account value approaching ten million. It sounds impressive, but then the market suddenly pulled back sharply, with unrealized losses instantly surpassing 21 million, and the liquidation line kept approaching. Just as it was about to trigger a margin call, everyone was waiting to see the outcome—yet he chose to continue.

He poured another 200,000 in margin to hold, simultaneously adjusting the liquidation price, stubbornly pulling the nearly liquidated position back from the edge of liquidation. After this back-and-forth, the account went from deep losses to slight profits, then he closed the longs and recorded a loss of 730,000. Meanwhile, he kept building positions in another coin, with an average price stuck at $29.69.

Is this still trading? It’s more like acting out a certain market philosophy.

On the surface, it looks like a gambler’s mentality, but upon closer thought, it reveals something different—daring to keep adding and adjusting during extreme volatility without choosing to cut losses, indicating he doesn’t care about the price swings tomorrow or the day after. He’s looking at a longer cycle, at the potential next market phase. Those actions of adding, averaging down, and stubbornly holding are actually extreme versions of dollar-cost averaging, just wielding leverage as a double-edged sword.

But there’s an important premise—he has sufficient capital and the mental resilience to bear it. For most traders, leverage is like a knife; improper use can easily cause harm. Not everyone has enough principal to repeatedly add to positions to stop losses, nor can everyone stay calm in front of unrealized losses of tens of millions.

So if you’re considering leverage trading, the key is to understand the underlying logic—your judgment of market direction, your understanding of long-term cycles—rather than blindly copying leverage multiples. Extreme leverage like 25x should be avoided unless you have the corresponding risk tolerance.

From the coins he continues to build positions in, it also seems he’s sending a signal to the market: he’s still lurking during this correction, indicating he has expectations for the next rally. Whether he can turn this around depends on how the market performs itself.