In the crypto world, as long as you are not too greedy, making money is really not that hard!
Take 2024 as an example. I am a full-time cryptocurrency trader. Throughout this entire year, except for December, I have managed to grow my initial 20,000 USD to 2 million USD over 11 months—this is a 100-fold return! In this place full of opportunities and challenges, if you want to truly achieve financial freedom and compounding growth, mastering the right methods, excellent skills, and building your own profit system is crucial! Once you learn and master these, the crypto world will seem like your exclusive 'ATM,' and making money will be as easy and natural as breathing.
Looking back at my journey of wealth accumulation in cryptocurrency trading for over 10 years, I have many feelings. The first million took the longest and was the most torturous process. To develop an effective trading system, I constantly rebuilt and polished it, which took a year and a half. However, after gaining experience and a mature system, the speed of making money increased rapidly. The second 1 million was achieved in just three months; the third 1 million took only 40 days; and the fourth 1 million was obtained in just 5 days. In total, 75% of the funds were earned in just six months.
Next, I want to give some heartfelt advice to those friends who are thinking about recouping their losses or making money through contracts. Everyone knows that in the crypto world, so many people are in loss and still remain here, simply hoping to break even. But I must tell everyone the truth: this is a harsh reality. Most people want to break even, or even hope to make money through contracts, which is almost a delusion. In the entire crypto market, those who truly make money through contracts are indeed rare—like a phoenix feather. So, stop fantasizing about being that lucky one. To be honest, if you think you can break even through contracts, you are very likely not cut out for it. No matter how much you have lost before, even if you have lost everything, attempting to break even through contracts is almost impossible. Therefore, I advise those who still hold this mindset to quickly quit contracts. To put it plainly, contracts are similar to gambling; it's better to stay away.
So what should spot traders do if they lose money? This needs to be analyzed based on specific situations. If the loss is not significant and your capital is still relatively sufficient, meaning that the difference between your capital and the loss is not too large, or if you only need to multiply it by five times to break even, then there is hope for recovery, and it is relatively easy to achieve. However, a critical point here is the grasp of the buying and selling points. Many people get stuck at high prices; in this case, recovering losses becomes difficult. In fact, most retail investors can make money when a bull market begins or during the main rising phase of a bull market. But why do they ultimately lose? It’s because they don’t understand when to sell. When it’s time to sell, they don’t, and when the main players start to distribute their holdings, they cannot resist the temptation, repeatedly entering the market, resulting in being heavily harvested at high prices. Therefore, for us retail investors, knowing when to sell our holdings is indeed very important. But that’s not the most important thing; the most important thing is to persist in being in cash after selling! This is something that an estimated 95% of retail investors cannot do, and this is precisely the fundamental reason why most people lose money in the crypto world. If you can sell at a relatively high point and then not be swayed by the opinions of those analysts in the market, and you won’t be overwhelmed by various positive news coming from high prices, sticking to being in cash and truly achieving 'taking profits'—that money can be considered truly earned.
If you want to make successful investments in the crypto circle, do these five things well, and you will surely find the path and achieve results. This is the law of success.
The first thing: research how to make money.
Money can solve 90% of life's problems; the remaining 10% can be alleviated with more money. Therefore, we must clarify our purpose in the crypto world: is it to make money or to seek the thrill of speculation and gambling? If it is to make money and change our fate, to cross social classes, then we must know how to earn money steadily, rather than relying on feelings or luck.
The second thing: study human nature.
As long as you can see through human nature, you can stand undefeated above the trading system. The financial market is like a battlefield; it is a battle between people, a game between bulls and bears. If you cannot see through human nature, you cannot speculate on the intentions of the main players, as they will always act against the tide. Only by aligning with the main players can you stand undefeated.
The third thing: cultivate patience.
Investing and life are like a long-distance run. Being eager for quick success often leads to mistakes. Before the right opportunity appears, wait patiently and do not be swayed by short-term fluctuations to seize truly valuable opportunities. In real life, we can see that those who are indecisive and frequently change jobs, looking at one mountain while hoping for another, ultimately achieve nothing. The financial market is the same. If you cannot identify bull and bear trends, cannot see through the essence, and do not have a deep understanding of the assets you are investing in—always buying what is rising and switching to what is rising—you will ultimately gain nothing and be left with scars.
The fourth thing: continuous learning.
The world is constantly changing, and knowledge and information are updated daily. Whether it's new dynamics in the investment field or various knowledge that helps improve cognition, we must maintain our enthusiasm and habit of learning to keep progressing. We see successful people, like Lei Jun and Jack Ma, attending various meetings every day, learning new policies, and understanding future trends. This is why they became famous. Many people say, 'If I had money like them, I would work hard every day too.' But we must be clear that others also lacked family background and worked hard step by step to get there; others worked hard first and then got results. This is a law. If you are truly as wealthy as them, there are no 'ifs' because you have not worked hard for how to become rich. Even if you win the lottery, you will lose all the money because you lack the capacity to handle it. If money is given to you, you won't even know how to use it and will just waste it all. In our lives, the legal profession is enviable because lawyers earn high incomes. You will see capable lawyers earning millions or tens of millions a year. However, they did not become so impressive just by being lawyers; others are also studying every day nationwide, reading books daily. For instance, in the new blockchain industry, others understand blockchain better than many in this industry to seize the market. Therefore, if you want to achieve the results you desire, you must give corresponding efforts. Dreaming in broad daylight will always remain just a dream; it is impossible for dreams to come true.
The fifth thing: prioritize health.
Health is the foundation of everything. Without a good body, having money doesn't mean you have enough time to enjoy it. A reasonable diet, healthy exercise, maintaining a good routine, and gaining longevity will allow you to earn more in the financial market, enjoy life better, and enable your children and descendants to live better. In today's society, we cannot afford to be sick; we are already short on money. If we don't take care of our health, a serious illness will bring us back to square one. To put it bluntly, we don't even have money for treatment when we fall ill. Some people say, 'I'll take care of my health when I make money.' But this is a very wrong idea. It is precisely because we lack money that we need to take care of our health. Falling ill is a very luxurious thing. The body and making money are not directly related; it’s an attitude issue. If you treat your body well, your body will treat you well. If you have a good mindset to cherish your body, wealth will come closer to you. Making money has causes and effects; you reap the rewards only by making step-by-step efforts. The body also has causes and effects; you must maintain a healthy lifestyle in all aspects for your body not to have problems. Those big issues accumulate over time. Therefore, follow the rules in everything, find the path, and you will succeed in whatever you do. Your attitude toward your body can indicate whether you can succeed in other matters, because those who execute the laws of heaven will follow the laws in everything they do.
The above points are the essence of how to succeed; this is the core. When you follow these essential laws, you will surely succeed. Do not spend every day looking at various communities and articles or following others' suggestions for buying and selling points, as this will ultimately lead to nothing. Instead, invest your time and energy in yourself. Investment is a personal matter, a lifelong matter; being responsible for yourself and caring for your wealth is the only way to reap wealth.
In addition, you should also analyze from a technical perspective. Speaking of technology, many may find indicators difficult to understand, but that's not the case.
For short-term trading in cryptocurrencies, you must remember the three iron rules!
First, when you make money, you must protect your profits. For example, if you buy a coin and it rises by more than 10%, you need to be cautious. If it later drops back to your purchase price, sell it immediately without hesitation. If you make a 20% profit, you must set a rule that this profit cannot be less than 10% before selling, unless you are sure this is a temporary peak. The same goes for if you make a 30% profit; you should at least secure 15% profit before selling. This way, even if you lack the technical ability to identify peaks, you can still keep your profits rolling.
Second, if you lose money, you must cut losses decisively. If you buy a coin and lose 15% (you can set this number yourself, but 15% is a suitable reference), you must quickly cut your losses and leave. This is to stop the loss in time and prevent yourself from sinking deeper. If it rises later, it doesn’t matter; it means you chose the wrong entry point this time, and it was a mistaken trade. Mistakes come with a price, which is the loss. Remember to set a stop-loss every time you open a position; this is a must-have condition for trading.
Third, if you sell and the price drops, you should buy back at the original price. If you sell a coin and it drops, but you are still optimistic about it, then buy back the same amount. This way, the quantity you hold remains unchanged, but you have more capital on hand. If it doesn’t drop much after selling and you don’t buy back, and it later rises back to your selling price, you must unconditionally buy it back. Although this might waste some transaction fees, it can avoid many risks of missing out. This principle can be combined with the stop-loss principle: buy back when it rises back to the original price, and if it drops again, cut losses. If you find that the price of this coin is always unstable after multiple operations like this, you need to choose a new entry point. In summary, short-term trading must adhere to principles; fast entry and exit do not mean reckless actions, chasing hot trends does not mean haphazardly bumping around, taking profits does not mean being timid, and remaining in cash does not mean exiting the market. Do not get too caught up in the lowest and highest prices for buying and selling points; as long as it’s close enough, that’s fine!
Having navigated the market for many years, I am well aware of the opportunities and traps within. If your investments are not going well and you feel regret over your losses, leave a '999' in the comments! I will share my insights!
