Part 5/9:
While initial reports cited $2 billion in liquidated positions, analysts suggested the true figure was likely closer to $8-$10 billion. This misleading initial estimate illustrates the challenges faced by platforms in accurately conveying market sentiments in real-time. Data from exchanges indicated a distressing trend: a considerable amount of retail traders had over-leveraged their positions, misjudging their risk exposure in an erratic market environment.
As experienced traders can attest, managing one's trading and investing journals is crucial when witnessing volatility. Those who approached the market with calculated strategies and solid risk management practices fared better during the tumult, contrary to those who acted hastily out of fear.