Old investors always say never play contracts! If you are a newbie, you've probably heard this a lot, right?
But have you ever thought about how many of those who truly succeed in the crypto world have accumulated their wealth slowly through spot trading?
Do you know why most contract players eventually get liquidated?
Because they treat contracts as gambling tools. The real winners play a game called "rolling positions."
For example: With a capital of 10,000, capturing a 20% fluctuation with 5x leverage can double your investment. The key is not this one time, but to roll the profit into the next trade. After 3 successful rolls, 10,000 becomes 80,000; after 5 successful rolls, 10,000 becomes 320,000...
2. Misconceptions
Misconception 1: Treating contracts as an ATM—frequent trading every day.
Truth: You only need to capture 2-3 major market movements in a year.
Misconception 2: Not understanding stop-loss—one mistake can lead to total loss.
Truth: A reasonable stop-loss allows you to survive longer.
3. The wealth code I learned from my three liquidation lessons
First liquidation: In the 2021 bull market, greed without stop-loss turned 100,000 into 0.
Second liquidation: In the 2022 bear market, increasing positions against the trend led to 50,000 going to zero.
Third liquidation: In 2023, excessive leverage caused 30,000 to vanish.
But it was these three lessons that helped me understand the "333 Winning Principle"...
Be greedy when others are fearful, be fearful when others are greedy. When the market presents extreme conditions, it is your opportunity.
Remember:
A significant drop will always be followed by a rebound.
After a long period of sideways movement, there will be a major market movement.
Stay calm when the market is irrational.
Real experts in rolling positions master a core mindset: let profits run and cut losses. How to operate specifically? Here’s a simple formula:
After the first position is profitable, withdraw the capital and continue to gamble with the profits.
Each additional position should not exceed 20% of total capital.
Keep the maximum drawdown within 30%...
The crypto world is never short of opportunities; what it lacks is the capital to survive until the opportunity arises.
If you are still confused,
ask yourself: do you want to continue being a victim or learn the real way to survive?
Trading in the crypto world is sometimes not a battle of strategies but a battle of time and patience. In the crypto space, it boils down to a struggle between retail investors and whales. If you don’t have insider information or first-hand data, you can only be cut! If you want to strategize together and reap the profits from the whales, you can follow me!
Welcome like-minded crypto enthusiasts to discuss together!
