To survive long-term amid volatility, remember the following core rules and replace luck with discipline in gambling:
1. Leverage and Position: Put shackles on risk.
Core Logic: Surviving is more important than making quick profits.
Leverage Control: Beginners should start with 3-5 times; experienced traders should cautiously use leverage above 10 times, as each increment of leverage is an amplifier of emotions.
Position Management: No single position should exceed 20% of total funds, leaving 80% for black swan events; reject the gambler's mentality of 'going all in'.
2. Stop-Loss Iron Rule: Admitting mistakes and exiting is an essential skill.
Survival Bottom Line: Stop-loss is insurance for your account.
Set a stop-loss as soon as you open a position, controlling the extent to 3-5%, using small losses to exchange for the possibility of larger trends.
Exit decisively if the stop-loss line is breached; stubborn resistance will only turn a 'minor injury' into 'liquidation amputation'. The market always offers opportunities to re-enter.
3. Forced Liquidation Red Line: Beware of the system's scythe.
Key Observation: The liquidation price is the last line of defense.
Continuously monitor the position's liquidation price; when it approaches 5%-10%, consider adding or reducing positions in advance.
Reject mindless averaging down; counter-trend averaging is like handing a match to a powder keg; prioritize reducing positions to lower risk.
4. Emotion Management: Refuse to be a slave to dopamine.
Psychological Tactics: Profit is a rational byproduct.
Pause operations after losses to avoid the 'revenge trading mentality' that can trigger chain liquidations.
Go with the flow; do not chase highs or panic sell in a volatile market, and do not stubbornly hold against a one-sided trend. The market will not change direction because you refuse to admit defeat.
5. Hedging Strategy: Use spot to hedge contract risks.
Advanced Technique: Balance long and short positions to reduce volatility impact.
When holding spot for the long term, you can open a small amount of reverse contracts to hedge short-term risks (for example, when holding BTC, use 10% of your position to short against a pullback).
Hedging is not speculation; leverage should be controlled within 5 times to avoid turning hedging into gambling.
6. Currency Selection: Stay away from dances on the edge of a knife.
Safety Principle: Mainstream coins are a risk buffer.
Focus on major coins like BTC and ETH; small coins often fluctuate more than 50%, and liquidation can happen in just a few minutes.
In extreme market situations (like spikes or waterfalls), actively reduce leverage to below 3 times to avoid liquidity crises that can trigger a chain liquidation.
7. Gradually Building Positions: The wisdom of exchanging time for space.
Operational Philosophy: Diversify entry points to smooth the cost curve.
Reject one-time full positions; build in 3-5 batches with clear trend verification conditions between each batch.
In a downtrend, gradually adding positions must strictly set a base position to avoid falling into a bottomless pit of 'buying the dip'.
Ultimate Warning:
The nemesis of contract trading is always 'heavy positions, stubborn resistance, and emotional trading'. Remember: the market lacks stars but not longevity. Replace impulse with discipline, and combat randomness with probability to navigate through the cryptocurrency waves of bull and bear markets.$BTC $ETH #加密市场回调 #美国加征关税