How I make money:
You only need three tenfold returns to earn 10 million.
First, here’s a basic theorem: in one’s lifetime, you only need to continuously bet on three tenfold coins to achieve financial freedom.
Step one, prepare 10,000 yuan.
10,000-100,000
100,000-1,000,000
1,000,000-10,000,000
Break down 10 million into three tenfold returns and find corresponding opportunities in each of the first, second, and third tenfold returns, repeating the profitable operations 100 times in each tenfold to basically secure 10 million.
Of course, this method also applies to earning 1 million or even 100 million; the foundational methodology is the same.
So your next task is to find three tenfold coins.
I am 38 years old this year. I started my cryptocurrency journey at the age of 25, and by 2024-2025, my assets successfully soared to eight digits.
How to avoid losing money in the cryptocurrency world? Start with understanding the four major rules of Bitcoin!
First, the Bitcoin bull and bear cycles rotate every four years. The bull market lasts for a year and a half, while the bear market lasts three years. The bull markets occurred in 2012-2013, 2016-2017, and 2020-2021. The next bull market is widely recognized to be in 2024-2025.
Second, the Bitcoin halving market will not see a bull market start until six months later; this is the real halving market, which may start in late June.
Third, the lowest point of the bear market. After the bull market, Bitcoin may drop by 70%-90%. Typically, we accumulate coins after the price has dropped by 70%. If there are two bottom tests, we will bold buy. The bear market bottom in 2023 is around 15,400, and the bottom test in May 2024 may be around 53,000.
Fourth, how much will it rise in 2025? Many predict that Bitcoin may break through $200,000 per coin by 2025, with the time frame being the second or third quarter of 2025. If you ask how many dollars to sell coins, I personally suggest starting to sell gradually at $120,000, selling more as it rises. This is a responsible and conservative recommendation. Never aim to sell at the peak!
Aside from having strong techniques, it is because I have always followed the following iron rules, which I share with those who are destined to receive it—worth collecting!
One, control your emotions
Traders must remain calm and control their emotions. When faced with sudden market changes, they must respond calmly; otherwise, indecision may lead to missed opportunities or losses. It is best to prepare for various possibilities before entering the market so that when market fluctuations occur, one does not feel surprised and helpless.
Second, start with small trades
For traders new to the market, it is essential to start with small-scale trades and choose relatively stable price fluctuations to gradually master trading rules and accumulate experience before increasing trading scale and choosing more volatile assets.
Three, avoid seeking quick success
In trading, one should not harbor desires for quick success. Traders should not enter the market based on their subjective wishes; successful traders generally separate their emotions from trading activities to avoid suffering significant risks when the market trend contradicts personal intentions.
Four, be ready to accept failure at any time
Margin investing is a high-risk, high-reward investment method. Trading failures will be unavoidable in the trading process, and it is an important way for traders to gradually learn lessons and accumulate experience. When faced with investment failures, traders must carefully summarize to gradually enhance their investment capabilities, avoid risks, and strive for profits.
Five, learn to observe and take a short break
Trading every day not only increases the probability of investment mistakes but may also lead to increased trading costs due to being too close to the market and trading too frequently. Taking a break to observe allows traders to analyze and judge the market trend direction more calmly. When traders lack sufficient confidence in market trend judgments, they should also sit on the sidelines, understanding patience and self-control, waiting for the right time to re-enter the market. As the saying goes: the more you buy, the more mistakes you make. Better to miss an opportunity than to make a mistake. Opportunities are always present, and seizing them requires sharp eyes rather than quietly waiting for a vague moment.
Six, set strict and reasonable stop losses. Before trading, traders must set strict stop losses to control potential losses within a bearable range. Setting the stop loss range too wide will lead to heavier losses, while setting it too narrow will cause positions to be easily shaken out due to small losses, thus missing profit opportunities.
Seven, stay true to yourself
Do not easily let others' opinions or viewpoints sway the direction of your trading. Once an investor has established a preliminary concept of the market, do not change easily. Changing the trading plan lightly will shake the trader's judgment of the overall trend and may lead to missed opportunities. Others' opinions are for reference; the final decision rests with you. Do not blindly trust experts or the crowd; firmly believe that the market is always right.
Eight, seize market entry opportunities
When the price breaks through the limits of a certain period, buying and selling transactions should be executed. When the price effectively breaks through the highs and lows of the previous trading day, week, or month, it generally indicates that a new trend will form, and traders should act decisively to buy and sell. Especially in ultra-short-term operations, the entry point is crucial.
Nine, how to add positions
When traders have floating profits on their positions, if adding to positions, it should be done gradually, and the amount should not exceed the original position. Reasonably control risks to prevent them from escalating.
Ten, respond in a timely manner
When the market price trend is opposite to the trader's position direction, the trader should decisively exit the trade to ensure losses remain as low and manageable as possible. Generally, losing positions should not be held for more than two to three trading days, otherwise, losses will continue to grow, and the trader will suffer significant losses and miss the chance to continue trading and turn losses into profits. Cut losses timely! This also gives yourself a chance to make money.
Eleven, let profits accumulate
Taking small profits and then giving them back can lead to traders ultimately failing in their investments due to small profits and large losses. When the market trend aligns with the investor's position direction, traders should not easily close their positions. Understand the importance of long-term investment.
Twelve, be prepared for huge profits when closing positions
When traders make huge profits in a short time, they should first mentally prepare for closing their positions and then study the reasons for the market's wild fluctuations, or they will miss the opportunity to profit. Market fluctuations carry the highest risk, often earning a profit first only to face a significant reversal. In such cases, losses can exceed profits by several times.
Thirteen, learn to short sell
For most traders new to the market, it is more common to buy on dips and less common to short sell on highs. In a buyer's market in the commodity market, price declines are often easier than price increases, so traders should better seize short selling opportunities at high prices. Prices tend to rise slowly and fall quickly and sharply.
Fourteen, do not overly concern yourself with entry prices.
When traders confirm the direction of the trend and decide to trade, they should not lose the opportunity to gain significant profits by setting the buy price too low and the sell price too high. They should ensure that their positions are executed as much as possible. If they have relatively high confidence in the price trend, do not overly pursue the best entry price; it is acceptable to allow a space of 3-5 points to ensure that there is a profit to be made. Alternatively, they can first enter the market with a light position and add to it when the market becomes clearer and the price is better.
Fifteen, the position size should not be too large
In trading operations, generally, the position size should not exceed 1/3 of the opening size. If necessary, reduce the position size to control trading risks, thereby avoiding significant capital losses due to excessive opening size or positions that oppose price movement.
Sixteen, do not change plans casually
Once the operational strategy is determined, traders must not change their strategy arbitrarily due to significant fluctuations in gold prices, as this could lead to correct judgments but missed opportunities for substantial profits, while also incurring unnecessary losses or only achieving small profits, along with the costs of frequent trading.
Seventeen, do not go with the flow
Historical experience shows that when trends are extremely obvious, it could also be the time for a reversal. The viewpoints of the majority are often wrong, and making money in the market is only for a minority. When the vast majority are bullish, the market may have already reached its peak; when the vast majority are bearish, it may have already reached its bottom. Therefore, investors must constantly analyze and judge market trends independently; sometimes going against the trend can lead to profits.
Eighteen, do not buy and sell at the same price level
When traders enter the market, a safer method is to build positions in multiple increments to observe the market's direction. When the position direction aligns with the price movement, additional funds can be used to increase the position. If the position direction opposes the price movement, it is advisable to avoid heavy losses caused by over-investment.
Nineteen, do not place orders in the same direction after a stop loss
This effectively means expanding the stop loss while incurring more fees, which poses significant risks.
Twenty, do not expect the best price
Being lucky enough to hit the tops and bottoms occasionally is just luck, while playing the game of touching tops or bottoms against the trend can be extremely dangerous. When traders confirm that the market is about to change direction, they should be ready to enter the market at any time; 'close enough' is good enough since your goal is to make money, not to catch the exact entry point.
It can be said that I have used 80% of the market's technical methods, but only the following indicators are the most practical, having caught multiple tenfold and hundredfold coins! Ignoring this visual will cost you at least 20%!
If you want to treat cryptocurrency trading as a second career to support your family, you must seriously study this article to avoid making mistakes that could cost you 10 years!
Today I want to talk about the inside bar. The inside bar is one of my favorite trading patterns and is very suitable for daily chart trading.
This is because the inside bar pattern signifies that the market is in a state of indecision. Based on the fluctuations in price before and after, the inside bar can provide clues about the market's potential direction. The inside bar is a very useful 'tool' in price trend trading, mastering it will definitely aid your long-term trading success.
What is an inside bar?
The inside bar pattern consists of a preceding mother bar and a subsequent inside bar. Sometimes, the pattern can include one mother bar and multiple inside bars.
A standard inside bar pattern looks like this:
Its characteristics are: the inside bar is almost entirely concealed within the preceding mother bar, with its highest and lowest prices not exceeding those of the mother bar. Of course, in real market conditions, such standard patterns do not always appear; some variations will occur.
Four variations of the standard inside bar
1. Double/multiple inside bars
A double inside bar consists of a mother bar followed closely by two inside bars. This is common, and sometimes you may even see three, four, or even more inside bars following closely. This pattern indicates that the market's current indecisiveness will continue.
2. Surrounding the inside bar
Surrounding the inside bar refers to a mother bar followed by two or more inside bars that continue to surround it, with subsequent inside bars always within the range of the previous ones. Many times, this indicates that the market may be brewing a significant change.
3. False pattern - inside bar false breakout
This refers to a situation where, after an inside bar pattern, the price experiences a false breakout, moving in one direction before quickly reversing, trapping some traders.
4. Inside bar & pin bar combined pattern
We have previously discussed that the pin bar is one of the most suitable price patterns for trading. If the pin bar is also an inside bar pattern, then it is what we call a combined pattern, which can more clearly indicate upcoming market changes, usually being a significant price trend signal.
How to trade the inside bar pattern?
When trading inside bars, we have two main approaches: one is to treat it as a continuation signal, and the other is as a reversal signal. I prefer to treat them as continuation signals in trending markets, as this approach is easier to trade. However, inside bars at key support and resistance levels are also very strong reversal signals.
Inside bar as a continuation signal
Since it is in a trending market, the market is already in a favorable state for you. Inside bars often lead to breakouts or continued trends in the current direction, providing many good opportunities for additional investment, helping you make substantial profits.
Tip: Avoid trading inside bars at key price levels because inside bars can easily produce false breakouts at key levels in trending markets.
Inside bar as a reversal signal
Sometimes an inside bar is a reversal signal, indicating that the price hesitates at a certain level and then begins to retrace in another direction.
The following image is an example of a reversal signal. Pay attention to the inside bar formed at key price levels, indicating that the market is hesitating on whether to continue rising. When the price drops below the lowest point of the mother bar in the inside bar pattern, a strong downward trend begins to form.
Inside bar trading advice
When trading inside bars, I have some additional suggestions based on my years of trading experience, which I believe can definitely benefit everyone trading inside bar patterns:
1. Surrounding inside bar patterns typically indicate a major price breakout because the market accumulates energy while it is coiling, leading to strong breakouts.
2. When the inside bar pattern is small, it is suitable to tighten the stop loss range and have a larger risk-reward ratio.
3. Be cautious of situations with large mother bars and inside bars; they can be difficult to trade because they may produce many false signals, making risk management challenging.
4. My two favorite patterns are the false inside bar pattern and the inside bar & pin bar combined pattern.
5. We must learn how to filter inside bars, as they can form in any timeframe. We need appropriate practice and accumulated experience to discern them.
I entered the market at 8000; now I trade to support my family! Summarizing my trading experiences and insights, these few points will help you grow quickly. Though short, every word is worth gold; those destined to understand it can save years of detours!
1. Familiarize yourself with the cryptocurrency world, prioritize learning.
The first step into the cryptocurrency world is not to rush to find quick riches but to calm down and learn systematically. From the basic principles of blockchain to the operational mechanisms of exchanges, from the logic of digital currency issuance to market trend analysis methods, every step is crucial. Remember, accumulating knowledge is the foundation of wealth; without a solid foundation, any speculative behavior is like a castle in the air.
2. Practice brings true knowledge, make independent judgments
In the information explosion of the cryptocurrency world, everyone expresses their views, but the truth is often hidden among the complex information. Participate more in practice, accumulate experience through small investments, learn to think independently, and do not blindly follow trends. Remember, there is no absolute authority in the cryptocurrency world; only you can continuously learn through trial and error.
3. Select circles, stay away from noise
Choosing a high-quality community is crucial for newcomers to grow in the cryptocurrency world. A quality circle can provide valuable information and help you establish the right investment mindset. Avoid communities that only chat and boast about profits; they will only waste your time and energy.
4. Invest independently, build a framework
Investing is your own business; others' opinions can only serve as references. Establish your own investment framework, including risk tolerance, investment strategies, market analysis methods, etc. This will be your compass in navigating the cryptocurrency world. Do not easily trust others' 'insider information' or 'guaranteed profits'; only your own judgment is the most reliable.
5. Choose an investment method that suits you
Contracts, short-term trading, holding coins, yield farming, NFTs... There are various investment methods in the cryptocurrency world, but not every method suits you. Choose the investment method that best fits your situation. For beginners, holding coins may be a relatively safe choice as it focuses more on long-term holding and value growth.
6. The myth of hundredfold coins, view rationally
The stories of hundredfold and thousandfold coins are always enticing, but remember that such opportunities are scarce and often come with enormous risks. Do not blindly pursue high returns while neglecting potential risks. In the cryptocurrency world, stability is more important than aggressiveness.
7. Patience is golden, persistence is key
Volatility in the cryptocurrency market is normal, and patience is the foundation for making money. Don't become anxious due to temporary fluctuations, and never give up easily. Learn to find opportunities in the volatility and remain calm in adversity. Remember, success often belongs to those who can persevere until the end.
8. Follow the rules, be brave to take responsibility
In the cryptocurrency world, losses and being scammed are inevitable. But it is essential to learn to accept reality and take responsibility. Do not complain about the market being unfair or blame others for taking advantage of you; instead, learn from failures and continuously improve your investment ability.
9. Learn while doing, practice brings true knowledge
Theoretical learning is important, but practical experience is equally indispensable. Apply the knowledge you have learned to actual operations to test and refine your investment framework through practice. At the same time, you can attract like-minded partners by sharing content (such as writing articles and sharing insights) for mutual learning.
10. Cultivate diligently, and you will eventually become a big shot.
Finally, I want to tell you: as long as you put your heart into it, one day you will become a big shot in the cryptocurrency world. Do not envy others' success, and do not be discouraged by your temporary failures. Remember, everyone's growth path is unique; as long as you keep striving, you will surely reap your own success.