Leto Bao: The Storage Sector Enters a Chain Liquidation, Deleveraging is Healthier in the Long Term

Odaily Planet Daily News: Leto Bao, who gained popularity for "making 30 million yuan from ByteDance stock trading," published an article analyzing the reasons behind the recent sharp decline in the storage sector. He stated that the coordinated withdrawal of institutions combined with leveraged funds facing forced liquidations triggered a chain of liquidations, leading to a downward spiral in the market. He believes that a moderate clearing of leveraged funds is more beneficial for the long-term healthy development of the market.

Additionally, Leto Bao stated that investing requires establishing one's own research framework and convictions. He suggested that ordinary investors should choose their investment methods based on their own risk tolerance: those under significant life pressure should prioritize reducing leverage; those lacking savings should focus on improving their earning ability; and those with some capital but lacking investment experience could prioritize allocating to index funds rather than individual stocks.