Before starting, first understand the basics of contracts
$100 with 3x leverage long, requires a drop of more than 30% to get liquidated
In general, when an entry signal has appeared, such as (dragonfly doji W, bottom divergence W)
There are very few coins that continue to drop by more than 30%, but that doesn't mean they won't drop by 20%, 10%, or 5%
However, all of this is within the expected volatility
Therefore, for popular altcoins, rolling base positions, just $100 with 3x long
For these popular altcoins
After being listed on the exchange, following a brief consolidation
Many can be pulled up 1-2-3 times
Never underestimate the charm of $100 with 3x leverage
For example, the little hippo MOODENG we started a few days ago
In just two days, it surged 3 times
That is to say, even if you long $100 with 3x leverage, if you haven't taken any rolling actions
Can earn more than $1000
If the process maintains 3x rolling operations
That can achieve results of $3000-5000-10000
Conversely, if there is an epic crash, falling more than 30%
If liquidated, your maximum risk is only $100
And during this process, you can operate flexibly
For example, gradually transfer out profits when in floating profit, until transferring out all principal
This way, you are left with pure profit gambling and rolling
You will feel no psychological pressure
So, the entire rolling process is as follows
1. Recently popular altcoins
2. Identify entry signals
3. $100 with 3x leverage long
If the price rises, continue to add positions with floating profits
If the price drops, it usually falls by 5%, 10%, or 20%; there's no need to worry unless it drops by more than 30% to get liquidated
As mentioned at the beginning, generally, entry is based on signals, and very rarely does it continue to drop by 30%
But that doesn't mean it won't drop by 5%-10%-20%
This is the logic of a $100 3x rolling base position
However, recently with the increase in subscribers
I also noticed that some students started messing around
Treat these altcoins like Bitcoin
It's always 10x, 20x risking everything
If it drops a bit, it starts to enter a (fragile) situation
What to do? What to do? What to do?
In fact, this is quite foolish
The base position for rolling is not those usual large positions
The strategy of play is completely different
You cannot use Bitcoin's mindset on these popular new coins
Because they are inherently volatile
But you want it to rise, yet are unwilling to accept its volatility
This is like wanting to find a girlfriend in a nightclub, yet not wanting her to go to the nightclub
Where in the world is there such a good thing?
So, you must remember!
This is a rolling base position that doesn't require large funds or high leverage
Just $100 with 3x leverage long
If the price rises, then use floating profits to add positions and roll
If it crashes, you lose $100 (needs to drop 30%)
Of course, there is another option, which is to further reduce capital
For example, we are $100 with 3x
You can be $30-50 with 3x
And for those risking 10-20x, stop trading as soon as possible!
This is not Bitcoin, these are junk altcoins! Suitable for small bets and rolling
Not suitable for you to invest with large capital