Let me talk about the experiences and lessons of my best brother around me; like everyone else, he also came from a rural area and changed his destiny through the cryptocurrency world. He turned 100,000 into what he considers financial freedom, about 37 million.
After graduating from college, I worked at a state-owned enterprise, earning over 5,000 per month. Later, I accidentally got involved in cryptocurrency contracts and started trading myself, but ended up losing heavily! I was also in debt for 100,000, feeling very desperate…
Later, I kept adding community teachers and seniors, joined group after group, and started learning, consolidating, and improving my understanding. Combining what I learned with practical operations, after experiencing two bull markets, my assets reached eight figures in 2024. Today, I will share some personal experiences:
Most traders in the cryptocurrency world are short-term traders, and it is difficult to stick to ideal exit points during trading. Additionally, they are not very skilled in position control and cannot rely on fluctuations to average out their positions. Given this situation, for most traders, a good entry price outweighs everything.
Once there is a profit, take some off the table to secure gains, and set the cost price for the remaining part to stop loss. This is something I have always emphasized in my own community.
The essence of contract trading strategies.
(1) Identify the main trend, trade in the direction of the main trend, otherwise do not enter the market.
(2) If you are trading in the direction of the trend, the entry point:
1. New breakout points of the trend;
2. Horizontal consolidation tends toward a breakout point in a certain direction;
3. Retracement points in an uptrend or rebound points in a downtrend.
(3) Positions that follow the trend will bring you substantial profits; never exit early;
(4) If the entry aligns with the larger trend, and the paper profit has proven you are correct, you can conduct pyramid-style technical add-ons; (refer to 2)
(5) Keep the position unchanged until the trend reverses and you can close it.
(6) If the market trend is opposite to your entry, stop loss and run quickly.
In addition to adhering to the above strategies, remember three qualities: discipline, discipline, and discipline!
The way of trading is to accumulate small amounts into large; compound interest is king. If you deviate from your cost, you must resolutely avoid turning back into a loss. If there are profits, definitely take some off the table to prevent working in vain. In summary, it can be boiled down to one sentence: if you make a profit, take a bold step, and for the remaining part, take the original price loss.
Today, I will share nine ways to make money in the cryptocurrency world:
(Regardless of whether you are a beginner or an expert, it is recommended to take screenshots and save them.)
1. Coin Hoarding Method: Suitable for both bull and bear markets.
The coin hoarding method is the simplest yet the hardest strategy. It's simple in that you buy one or several coins and hold them for half a year or even more without action. Generally, the minimum return can reach ten times. However, beginners often rush to switch coins or exit upon seeing high returns or experiencing price halving, and very few can hold for a month, let alone a year. Therefore, this is also an extremely difficult method to persist with.
2. Bull Market Dip Chasing Method: Suitable only for bull markets.
Use a portion of idle money, preferably not exceeding one-fifth of the total capital. This strategy is suitable for coins with a market cap between 20 and 100, as it won’t get stuck for too long. For example, if you buy the first altcoin, wait for it to rise by 50% or more, then switch to the next plummeting coin, and repeat the cycle. If the first altcoin gets stuck, just continue to wait; it will definitely unstick in a bull market. The prerequisite is that the coin must not be too bad; this kind of play is actually difficult to control, so beginners need to be cautious.
3. Hourglass Replacement Method: Suitable for bull markets.
In a bull market, almost all coins will rise, with funds gradually flowing into each coin like a giant hourglass, advancing from small to large in order. The typical pattern of price increases usually starts from leading coins, such as BTC, ETH, DASH, ETC, etc., which rise first, followed by mainstream coins like LTC, XMR, BNB, NEO, DOGE, SHIB, etc. Next, coins that haven't risen before will generally increase, such as RDN, XRP, ZEC, etc., and finally, various small coins will rise in turn. If Bitcoin has already increased, it is recommended to choose coins at the next level that have not yet started to build positions.
4. Pyramid Bottom Fishing Method: Suitable for predicted major crashes.
Bottom Fishing Method: Buy one-tenth of your position at 80% of the coin price, one-fifth at 70%, one-third at 60%, and one-half at 50%.
5. Moving Average Method: Understand some basics of candlestick charts.
Set the indicator parameters to MA5, MA10, MA20, MA30, and MA60, choosing a daily line for levels. If the current price is above MA5 and MA10, hold without action. If MA5 breaks below MA10, sell the position. If MA5 breaks above MA10, buy and establish a position.
6. Aggressive Coin Hoarding Method: Only do coins you are familiar with, suitable for long-term quality coins.
With some liquid funds, if a coin is currently priced at $8, place an order to buy at $7. Once the purchase is successful, place an order to sell at $8.8. The profit is used to hoard coins. The liquid funds will continue to wait for the next opportunity, adjusting dynamically according to the current price. Assuming there are three such opportunities in a month, you can hoard a considerable amount of coins. The formula is: entry price equals 90% of the current price, and sell price equals 110% of the current price.
7. Aiso's Violent Compound Interest Method: The core is to frequently participate in various small currency markets. Specifically, when you find that the value of a new coin has skyrocketed three to five times in a short period, you can withdraw the initially invested funds and reinvest them into another promising small currency market. Meanwhile, the additional profits you previously earned can remain where they are, continuing to enjoy the joys of appreciation. Through this method, investors can achieve rapid turnover and accumulation of funds, thereby obtaining richer returns in the digital currency field.
8. Cyclical Band Method: The cyclical band method is an investment strategy particularly suitable for non-mainstream cryptocurrencies like ETC. When the coin price is continuously falling, investors can gradually increase their positions; if the price continues to fall, they can add more. Once the market rebounds and the price rises to realize profits, they can gradually sell the coins they hold. Through this method, investors can continuously profit from price fluctuations, forming a cyclical process. This method requires investors to have strong market judgment ability and risk control awareness, while patiently waiting for the best buying and selling opportunities.
9. Small Coin Aggressive Play: If you have 10,000 RMB, divide it into ten parts and purchase ten different types of low-priced coins, each priced preferably within 3 RMB. After buying, do not pay attention to them and avoid frequent operations.
Market fluctuations and the diversity of coins will promote different methods of play, changing with market changes. It is inevitable that an individual may overlook something when working solo; joining our family can allow for the sharing of opinions and trading ideas.
Strong recovery, assets doubled! Follow Brother Dao closely, layout in advance, easily reap substantial profits.