Becoming wealthy is a 'relative matter.'
Turning 100,000 into 1 million, some people feel financially free;
But in Shanghai, you might not even be able to afford a toilet.
Turning 1 million into 10 million, in Shanghai you can buy a three-bedroom, two-living-room apartment, only then are you considered a 'normal citizen.'
So, becoming wealthy is never an absolute number, but your capital × Leverage × Time.
With small capital, even if it multiplies tenfold, it is difficult to achieve class leap;
Only scale can bring benefits.
The essence of trading cryptocurrencies is never about 'how much you earn,' but 'surviving long' + 'holding well' + 'letting it grow.'
✅ 1. Risk control system: Dynamic position management method
Only if you protect your capital can you talk about making money.
📌 Pyramid addition rule (expand in the direction of the trend)
Position addition ratio after profit: 1 : 0.6 : 0.3 (lighter as you go)
📌 Razor reduction mechanism (counter-trend stop loss)
Reduction method during losses: halve each time to prevent holding on until the end
📌 Leverage control red line
Maximum leverage usage ratio: not exceeding 20% of account net value
📌 Stop loss iron law
Single loss ≤ 2% of total capital
Single day loss ≥ 5%, immediately stop trading
Weekly loss ≥ 10%, mandatory review and pause operations
✅ 2. Trading discipline framework: Signal + Timing + Rhythm
Good trading is not about quantity, but about quality.
🎯 Triple verification system: Fundamental + Technical + Emotional
📈 Key level breakout confirmation: Only act when support/resistance is effectively crossed
📊 Volatility trigger conditions: ATR ≥ 2 times the average to count as entry opportunity
⏱ Time control principle:
Clear positions and observe one hour before major data releases
Three consecutive losses, immediately stop trading
Reduce positions by half during non-main trading hours (e.g., US market closed)
✅ 3. Emotional management mechanism: Profit lock & Loss repair
People do not lose to the market, but to emotions.
💰 Profit status handling:
New high net value → reduce leverage by 10%
Profit exceeds 20% →Withdraw 10% to secure profits
Dynamic profit-taking mechanism → automatic liquidation at 30% drawdown
🧠 Loss response process:
Activate 'circuit breaker mechanism' → pause trading for 24 hours
Emotional review → mark decision-making errors and emotional triggers
Recovery plan → simulate trading for two weeks to stabilize emotions before returning
✅ 4. Strategy evolution system: Combined strikes, dynamic reallocation
Single strategy will eventually fail, multiple strategies are the moat.
🔀 Configuration matrix: Trend type + Arbitrage type + Hedge type, ratio 5:3:2
📈 Regular evaluation: Quarterly review of strategy win rate, profit-loss ratio, and effectiveness
⚠ Response to extreme market conditions:
VIX index > 30, reduce positions to below 20%
Black swan warning, activate reverse hedging
Liquidity exhaustion, mandatory reduction of positions to below 10%
✅ 5. Continuous growth mechanism: Record, feedback, upgrade
Reviewing is the foundation of evolution.
📝 Trading log specifications:
Record logic, emotions, win/loss, and execution score (1-5) for each trade
Weekly statistics: Win rate / Profit-loss ratio / Maximum drawdown
📚 Cognitive iteration plan:
Read 2 central bank reports (Federal Reserve, European Central Bank, etc.) every month
Participate in a psychological training camp once a quarter
Conduct strategy once a year with 10 years backtesting
✅ Conclusion: Core formula for survival in the cryptocurrency circle
Long-term survival rate = (Risk control × Discipline execution) / (Emotional volatility + Leverage abuse)
Can trading cryptocurrencies make you rich?
Yes, but the premise is that you survive first, protect your capital, and practice extreme self-discipline.
I spent two days organizing this complete survival guide,
I hope you can read it thoroughly and avoid detours.
The cryptocurrency world isn't that mysterious; it only rewards the right people.
If this content helped you, please like or bookmark it,
Don't let real valuable information be buried in junk talk.
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