Having navigated the cryptocurrency market for many years, I found that most ordinary investors need a simple, executable, high-win-rate trading system. The method I'm sharing today helped me achieve a growth from 10,000 to 200,000 in 5 months. This is not a 'Holy Grail,' but a market-validated trend-following strategy.
1. Core Trading Logic
✅ Trend is King: Only trade in daily trend markets
✅ Mechanical Execution: Use objective indicators instead of subjective judgment
✅ Strict Risk Control: Cut losses immediately when breaking key levels
2. Four-Step Trading Rules (with practical illustrations)
Step 1: Coin Selection Criteria
🔍 MACD daily golden cross screening
Prioritize golden crosses above the zero axis (bullish strong area)
Case Study: SOL formed a golden cross above the zero axis in May 2024, subsequently rising by 120%
Step 2: Trend Confirmation
📈 20-day moving average rule
Consider buying only when the price stabilizes above the 20-day moving average (MA20)
Exit immediately when breaking MA20
Data: In the past year, when BTC was above MA20, the average holding return reached 47%
Step 3: Gradual Profit-Taking Strategy
💰 Scientific profit-taking
Reduce positions by 1/3 when the increase reaches 40%
Reduce positions by another 1/3 when the increase reaches 80%
Clear remaining positions when breaking MA20
Example: ETH perfectly applied this strategy in the April-May 2024 market
Step 4: Strict Stop-Loss Discipline
⚠️ No exceptions to execution rules
If the price breaks below MA20 the next day after buying, sell everything immediately
Wait for it to regain MA20 before re-entering
Statistics: This strategy can avoid over 80% of one-sided downward trends
3. Strategy Advantage Analysis
🎯 High Win Rate Principle:
Filter out weak coins with MACD golden crosses above the zero axis
MA20 is an important operational line for institutions
Gradual profit-taking locks in profits while retaining room for growth
📊 Backtest Data:
Top 20 market cap coins applying this strategy in 2023
Average win rate 78.6%
Average profit-loss ratio 2.8:1
4. Risks That Must Be Heeded
Wear and tear in a turbulent market: may frequently trigger stop losses during sideways movement
Black Swan Event: MA20 may fail under extreme market conditions
Discipline Execution: 90% of failures stem from inability to strictly execute
💡 Professional Advice:
Combine (BTC+ETH+mainstream coins) to reduce single-coin risk
Control each trade's risk within 2% of total capital
Monthly review to optimize parameters
5. Psychological Training Key Points
"The market rewards disciplined individuals and punishes those who rely on luck. The biggest challenge of this strategy is not the technique, but whether you can execute the stop loss decisively when MA20 is breached."
Remember: Repeat simple things, and you become an expert; do repeated things with care, and you become a winner.
(Note: This article does not constitute investment advice, trading involves risks, please make careful decisions)