Hello everyone, I am a digital currency trader. I entered the industry in 2016 and have accumulated over 200 points in profit in the past year, with a maximum drawdown not exceeding 20 points. More importantly, my trading frequency is very low, averaging less than 5 times a month, and I don't use any leverage. Today, I want to share my core strategy: how to steadily earn returns exceeding BTC by using low-frequency trading in the cryptocurrency market.
Starting point for profits: BTC's 4-hour trend signal
My trading logic is very simple; the core is to capture the major trend, rather than chase short-term fluctuations frequently. I mainly focus on the 4-hour candlestick chart because this cycle balances the stability of the trend with the precision of entry timing. BTC, as the barometer of the entire cryptocurrency market, is the basis of my profits.
For example, when the market enters a clear upward cycle, I look for key support levels on the 4-hour chart, combined with MACD or RSI divergence signals, patiently waiting for buying opportunities. Once the trend is confirmed, I will hold for a few days or even weeks, earning 50-100 points in swing profits. Last year's rebound from BTC's low point was a big win for me using this method.
My principle is: don't guess the tops and bottoms, just catch the mid-trend. This avoids frequent operational mistakes and keeps drawdowns controllable.
As the market heats up, altcoin rotations yield double returns.
After making my first bucket of gold with BTC, I won't hold onto it forever. When market enthusiasm rises and capital starts flowing into altcoins, I will switch tracks to capture rotation opportunities. Altcoins have strong volatility, and short-term gains are often several times that of BTC, but the risks are high. Therefore, I still maintain low-frequency trading, only selecting those with clear trends on the 4-hour chart.
For example, in a certain quarter last year, after BTC rose by 30%, funds flowed into several popular ecosystem altcoins. I observed that a certain coin broke through a key resistance level on the 4-hour chart with increasing trading volume, and I decisively entered the market. A few days later, it rose by 50.
%, I liquidated my position. Opportunities like this come around only 3-4 times a year, but each time can yield 50-100 points in profit. After a few rotations, total profits easily exceed BTC by more than double.
Why can low-frequency trading succeed?
Many people think that high-frequency operations are necessary to make big money in the cryptocurrency market, but I am just the opposite. I believe that the win rate and profit-loss ratio of low-frequency trading are key to long-term profitability. My trading frequency is so low that it's less than 5 times a month, but each trade is a well-considered result.
Precise timing: Only act when the 4-hour trend is clear to avoid ineffective fluctuations.
No leverage: Not using leverage allows my mindset to be steadier, keeping drawdowns within 20 points.
Patience in compounding: Not seeking to get rich overnight, but accumulating profits over time and trends.
This method has allowed me to earn 200 points in the past year while also bringing along over ten friends to trade, and we all shared in the profits.
Advice for traders
If you also want to try low-frequency trading, I have a few insights:
Learn to wait, don’t let market FOMO (fear of missing out) lead you.
Pay attention to BTC's 4-hour trend; it is the signal light for altcoin rotation.
Don't be greedy; once you reach your target, exit and leave some profit for the market.
The cryptocurrency market is not lacking in opportunities, but it lacks patience and discipline. My 200 points in profit is not luck, but a result of strategy and execution. Want to know more details? Feel free to follow me; I will share some specific trading reviews and market observations in the future.
