3000U Hundred Times Practical Guide: The Art of Cyclical Trading
I. Breaking the Myth of Compound Interest
In the cryptocurrency market, attempting to achieve wealth growth through a monthly 10% compound interest is nearly a fantasy. The reality is:
Compound interest requires perfect execution; a single liquidation can wipe out all previous gains.
Market volatility makes steady returns difficult to sustain.
Real profits come from seizing cyclical opportunities.
II. Core Rules of Cyclical Trading
1. Big Cycle Thinking
The higher the Bitcoin price, the greater the daily volatility.
At 3000U, the daily average fluctuation is dozens of points.
At 58000U, the daily average fluctuation reaches 2500 points.
Your stop-loss must match the current level of volatility.
2. Three Layers of Nested Cycles
Big Cycle (entire bull market)
Medium Cycle (phase-specific trends)
Small Cycle (intraday fluctuations)
Build positions at the low points of the small cycle, following the trend of the medium cycle.
III. Practical Trading Strategies
Ethereum Case Demonstration:
1. Identify the bottom of the small cycle (around 2947)
2. Add to the position every 50 points drop within the range.
3. Set the target at 3210 (approximately 9% increase)
4. Use no more than 5 times leverage.
5. Control single trade risk to within 2% of total capital.
Key Advantages:
Ignore short-term volatility pressure.
Avoid emotional trading.
Profit from market fluctuations.
IV. Key Points of Risk Management
1. Position Control
Single trade should not exceed 10% of total capital.
The interval for adding to positions should be reasonable (at least 50 points).
Total leverage should be controlled within 5 times.
2. Take Profit and Stop Loss
Set the stop loss 3% below the cycle low point.
Set the profit target at 1% before the resistance level.
Be decisive and exit upon reaching the target.
V. Current Opportunity Alerts
Focus on:
LPT: Decentralized video protocol, imminent technological breakthrough.
RPL: Ethereum staking infrastructure, benefiting from ETH2.0.
TRB: Oracle sector, essential infrastructure for a bull market.
Quality circles change fate. Follow Wen Ge, a good guide!
You are halfway successful in the crypto world!
Remember: In the crypto world, cognitive disparity is the biggest leverage.
