With 10 years of experience in the trading market, I should have a say. I was born in 1990, 34 years old, with a net worth of over 50 million, of which about 42 million was earned through crypto. I did incur losses initially, but I have made it all back!
Anyone using the 'all-in mentality' to play rolling positions is doomed to fail before dawn. The truly profitable rolling position strategy is to use **counterintuitive position control method + compress risk to the extreme.
The death red line of the first position (90% of people fall here): For 1000 USDT, the first position is strictly prohibited from exceeding 50 USDT (5%), but 95% of people can't resist opening with 100 USDT directly.
The first order must complete two actions:
Set a 0.8% price range stop-loss (specific algorithm table can be downloaded).
Pre-set three levels of buy orders in the trading pair (price intervals need to match volatility)
Calculation)
Volatility tearing strategy +
When the 4-hour volatility breaks the historical average of 200% (a common phenomenon for SOL ecosystem coins in 2024), initiate 'three-stage fission increase': the first
Position 50 USDT (5%)
If you have any questions about floating profits, feel free to ask. Follow 168 directly. Add 150 USDT when at 0% (total position 20%). Add 450 USDT when breaking the previous high (total position 65%).
The third position must be combined with the on-chain chip concentration indicator; the identification method needs to be explained separately.
Three, deadly stop-loss discipline.
All rolling positions and liquidation stem from 'not leaving when you should'. My life-saving rule:
When total profits reach 300%, forcibly withdraw the principal + 50% profit.
Activate remaining positions with 'mobile strangulation line +': for every 10% increase, move the stop-loss line up by 7% (specific parameter table has been updated). Set automatic take-profit between 1-3 a.m.
Skills lie in mastering the intrinsic meanings of one or two technical indicators to interpret the underlying rules of the crypto world.
It organically integrates with operational strategies and is a tool for speculation in the crypto world.
Can you make money in the crypto world?
Can ordinary people make money in the crypto world? The answer is yes, but the prerequisite is that you must possess the ability to make money.
When a person is experiencing life's difficulties or suffering, they should never complain about fate or give up on themselves.
Some even hope to gamble in the crypto world, treating the possibility of becoming rich quickly as a last resort.
Especially for those without much capital hoping that contracts, leverage, and the ability to go long or short anytime can change their current predicament and financial fate.
This path is not feasible. Regardless of how you entered the crypto world, whether you were deceived or misled, the outcome will be no exception; you will not be the one in a million.
The story always belongs to others; it cannot be replicated.
In traditional industries, if your current job isn't satisfactory, casually switching fields to trade in crypto, hoping to make it big overnight, is simply a delusion.
I can say this based on my years of experience in the crypto world and the real data I've encountered from many people.
From financial freedom to being heavily in debt, I have experienced more than you have in real life and the people you have encountered.
What I say does not mean I have lost faith and hope in the blockchain field and the crypto industry, because I will continue to delve deep into this field for the rest of my life.
What I mean is, even in the most promising industries or during a period of abundant dividends, as long as you simply make a wave and control your greed in time, and retreat swiftly, that is yours.
If you want to earn more or seek stable long-term profits in this industry, continuing to replicate luck to earn big money will not last long in any industry. The crypto world, where global participation is involved, will only be more brutal.
To achieve results in this industry and continuously obtain good results, it requires our persistent effort and hard work, constantly improving our cognition and professional skills, which is the foundation for survival and thriving.
The financial market is a place that devours people without spitting out bones. With so many top institutions participating globally, not a single one is foolish, nor is anyone a philanthropist.
The essence of capital is profit-seeking, it's brutal.
If we lack the capital and ability to navigate this circle, then it’s best to stay safely within our comfort zone.
Don't let yourself be lost in greed by those who talk about trading bicycles for motorcycles every day.
In any industry, insiders make money from outsiders. If you don't possess the strength of an insider, keeping your distance is the best way to protect yourself.
As long as you don't want to, no one can deceive you.
Especially in the crypto world, the risks and pitfalls are beyond your imagination.
It doesn't matter if you don't believe it; friends who have me on WeChat know how I bottomed out and topped out during the last bull market three years ago. The upcoming bull market will continue to validate this.
The future trend of blockchain is undoubtedly a trend, and I hope we are all participants and beneficiaries of the trend dividends, rather than mere spectators.
The impact of moving averages on prices in the crypto world:
The candlestick is a boat, the moving average is a river. A glance at the moving average reveals the hidden secrets, saving three years of detours.
Moving averages are the moving average costs. Different time period moving averages represent different holding costs. If a moving average represents the holding cost of most people during a specific time period, then its practical significance is very pronounced. When the price breaks below this moving average, it means most people are in a loss state; when the price rises above this moving average, it means most people are in a profit state.
Since moving averages reflect the continuously changing conditions of market holding costs, this change can either suppress or uplift the price, which can roughly be classified into the following categories:
1. Boosting: When the candlestick is operating in a clear bullish trend, the price falling back to the moving average can receive support, thereby continuing to rise.
Because the candlestick operating above the moving average indicates that the vast majority of traders are in a profit state. During noticeable upward phases, they generally hold onto their assets in anticipation of further increases, rarely encountering concentrated selling pressures. Even when affected by some short-term selling, when the price falls back to near the moving average, most holders will not easily sell at their cost line.
Those technical traders who previously struggled to find opportunities to add positions will buy near the support level of the moving average. At this point, the price is likely to stabilize and turn upwards again. As the upward trend extends and strengthens, more people will pay attention to this coin and join the holding group.
With the continuous addition of buying pressure, while the overall price remains rising, most moving averages at various levels will turn upward or maintain a corresponding upward angle. This arrangement of moving averages provides both support and assistance to price, enabling it to continue rising steadily.
2. Assisting the decline: When the candlestick enters a clear downward trend, each rebound of the price will be suppressed near a certain cycle's moving average, after which it will turn around and continue to decline.
Because the candlestick trading below the moving average indicates that at this moment, the vast majority of holders are in a state of loss. The traders at this point are filled with fear and helplessness, no longer fantasizing about getting rich quickly, but merely seeking to break even. When they see the price rebound to their cost, they will unhesitatingly liquidate their positions.
In a clear downward trend, each rebound of the price will occur after being suppressed by the upper moving average, resulting in a plunge. This regular pattern of rising and falling at least indicates that the bears are far from being at the end of their rope, and the probability of continued decline in the market is very high. 'As long as the bulls don't die, the bears won't stop' describes this situation.
When this situation occurs multiple times and becomes a pattern, more holders will choose the same operation. In practice, we often see price spikes towards a specific moving average, which is the result of collective selling pressure. This makes the related moving averages not only exert resistance but also have a role in assisting declines.
Identifying trends or tendencies: Regardless of whether the price is rising, falling, or flat, the moving average system can relatively timely and accurately reflect the current tendency or trend, providing corresponding support or resistance to test the real intentions behind price movements. Everyone can also gain important trading references from the hints given by moving averages.
Different positions of moving averages represent the average cost of the market during that time period. The fluctuations of average cost affect the price center, and the direction of the moving averages indicates the movement direction of the price center. When the center rises, price retests the moving average for support; when the center falls, the moving average exerts resistance.
*Price center, this is a relatively important technical concept. Clarifying this here will be very helpful for understanding the subsequent content.
The price center refers to the relative center position of price fluctuations (or the average price position between the two highest and lowest points at the beginning of a trend), drawing a straight line gives the price center. The price center is not static but changes with the direction of price movement.
After the price center is formed, during the course of operation, when the price deviates too far from the center line, a movement towards the center line generally occurs. If it touches the center line and does not continue to rise (or fall) but instead declines (or rises) again, it suggests that the current direction of the operating center may change.
4. Relative stability: Moving averages are more stable than other technical indicators in assessing market trends and changes. In a well-configured moving average system, moving averages of different time periods each play different indicative roles, aiding in the assessment of various market changes.
I recommend the moving average system configuration as MA5, MA10, MA30, MA60, MA120, MA250.
(1) MA5 is the most sensitive to changes in coin prices, mainly used for assessing short-term strength changes in price, and plays a significant role in trend change assessments.
Small.
(2) The MA30 combines sensitivity and stability; on one hand, it can compensate for the tendency of MA5 to overreact, while on the other hand, it can be used to assess the trend and strength of price movements.
(3) Other moving averages also have their meanings. I will explain their applications one by one in the subsequent content.
A single tree cannot form a boat; a lone sail cannot sail far! In the crypto world, if you don't have a good circle and firsthand news, then I recommend you follow me to learn how to profit without investment. Welcome to join the team!!!