Trading Iron Law: Leverage Traps and Tax Red Lines, The Fundamental Logic Behind the 2026 BTC/SOL Peak

LiquiditySurfer · 2025-12-30T02:06:17+00:00

The article emphasizes three bottom lines in trading: cautious use of leverage, quarterly tax settlements, and adherence to trading principles. Looking ahead, BTC and SOL are expected to reach new highs in 2026 due to improved fundamentals, increased institutional participation, and technological iterations. After forced liquidations in October, the market is in a recovery phase, and prices are expected to eventually rebound, indicating a potential upward trend.

LiquiditySurfer

2025-12-30 02:06:17

Abstract generation in progress

【BitPush】There are three bottom lines you must never cross when trading. First, leverage is a trap — the forced liquidation in October was a bloody lesson; many people lost everything in a single bet. Second, taxes must be settled quarterly; don’t wait until the end of the year to do the accounting. If problems arise then, you’re basically out, and losses will be even more severe. Lastly, these three rules are sacred and non-negotiable.

Looking ahead, both BTC and SOL are expected to hit new highs in 2026. Why do I say that? The fundamentals are indeed improving. Institutional participation on Wall Street is increasing, regulatory environment is gradually becoming clearer, and the technical iteration of underlying protocols has not stopped — the entire ecosystem is moving forward. This is not wishful thinking; these are tangible, observable progress.

Currently, the market is in a special recovery phase. The big liquidation event on 10/11 was very destructive, disrupting the market structure in the short term. But such shocks have a digestion cycle — once this wave of impact is fully absorbed, prices will rebound like a compressed spring. At that point, the market will reassess the true state of fundamentals, and prices will adjust accordingly. In other words, the suppressed upward momentum is brewing.

BTC0,22%

SOL-0,79%

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GasFeeCrier

· 8h ago

Leverage, I've been through that pit, still healing from it... Tax season nightmare, everyone regrets touching it 2026 is about to take off? Let's survive this year first Institutional entry doesn't mean we can make money, stay alert That slaughter in October, I see some haven't recovered yet Is SOL reliable? No way I believe it Paying taxes quarterly, that's correct, don't panic at the end of the year like I did Good fundamentals? Why is it still falling? All-in bets are history now, learning to cut losses is harder than being bearish Wall Street is here, small investors have no way out, really

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ApeShotFirst

· 8h ago

Leverage really is a ruthless game; during October's wave, I saw a bunch of people get liquidated, it was truly tragic... Wait, 2026 hitting a new high? I feel like I hear that every year, haha. Taxation definitely needs attention; doing the year-end accounting all at once will really be a game over. Institutional entry is a good sign, but I still don't quite believe in this wave... Damn, I’m starting to worry again about whether to add to my position, I can't quit this addiction. That's right, but I just can't listen, still want to gamble. How long can I digest this? No one can say for sure. The bottom line is correct, but when it comes to execution, I forget everything. 2026 is too far away; I only care about how to survive next month.

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ColdWalletGuardian

· 9h ago

Leverage is really the devil; the bloodbath in October hasn't even fully recovered yet. Tax issues are on point; don't wait until the end of the year to be visited by the tax authorities. 2026 new highs? Institutional entry indeed doesn't seem so far-fetched anymore. The liquidation process is almost digested; the bottom should be in. Don't miss out on BTC and SOL. That October event directly made me quit leverage. Institutions coming in are a whole different story; the outlook is indeed changing. Regulatory smoothness feels like the only way for the entire ecosystem to truly take off. This recovery phase... still need to wait a bit longer.

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HodlKumamon

· 9h ago

I’ve seen firsthand how risky leverage can be; October really showed me, it was intense, sob sob. As for taxes, I usually don’t pay much attention, but calculating at the end of the year can really scare people to tears. Bearish sentiment resonates deeply. Hearing about reaching a new high in 2026 sounds good, but we still need to stay grounded and get through this recovery period.

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