I was originally an internet product manager, got in touch with Web3 in 2017 due to work, and officially stepped into contract trading in 2018.
At first, I took out 3,000 to 5,000 RMB from my monthly salary of over 10,000 to test the waters, resulting in more losses than gains — like most people in front of the screen, my learning path was not systematic: I watched real traders operate, immersed myself in communities asking for logic, and relied on 'imitation + practical experience + paying tuition fees' to accumulate experience. I never tackled technical indicator textbooks; I built my understanding through market trials. Looking back now, those early lessons learned from real money losses were more substantial than any course.
Second, you only understand when facing liquidation and debt: trading is not a game of indicators; it's a tug-of-war with human nature.
Before 2024, my assets were stuck at the threshold of hundreds of thousands, until I seized the three waves of market opportunities with AI coins, meme coins, and inscriptions 'second spring,' which allowed me to clear my debts.
What left the deepest impression on me was the collapse of mentality during the debt period: the more I lost, the more I wanted to hold my position, and the trading logic was all messed up — the vast majority of large losses stem from an unwillingness to cut losses. When the account numbers and debt pressure are tied together, the operations have already deformed. It wasn't until I lost down to just a little bit of capital left that I suddenly woke up: if I didn't take profits and cut losses, I would really go to zero. From that point on, I honestly set stop losses for every trade, and gradually walked out of the vicious cycle.
Now I pay more attention to event-driven trading: first, I judge whether the current market is in a range or a trend, and then I think about how to execute intra-day fluctuations. For example, in event-driven markets, I first consider how long this event can last; if the sustainability is poor, I decisively open a short position at critical points.
I used to study various indicators like dual moving averages, Fibonacci, and wave theory; now I only look at naked candles, moving averages, and trading volume — indicators can help you find entry points, but making big money relies on understanding. Take Bollinger Bands as an example; they may work well in volatile markets, but they fail in trending markets. Don't blindly trust data backtesting; the market is always more complex than indicators.
Third, from 50x leverage to 5x leverage: I achieved compound growth by 'reducing leverage.'
Should small capital phase take a gamble?
I think there’s no need to get tangled up; the key is to develop trading habits that suit you. I used to be obsessed with high leverage, having traded 20x and 50x many times, but what really gets the funds rolling is logic, strategy, and execution. Now I suggest that actual leverage should not exceed 5x: the lower the leverage, the more daring you can be, allowing for decisive loss cutting when losing and holding profits when gaining, which is the positive cycle.
Now I use less and less leverage, but the compounding funds are actually increasing faster — the gap is never about the leverage ratio but about your understanding of the market.
Fourth, never short Bitcoin: why do I dare to add positions during pullbacks?
My attitude towards Bitcoin is very clear: I will never short it.
From MicroStrategy's crazy accumulation of coins to the continuous net inflow of American institutions, this currency is unlikely to experience a super crash. Just like this time, it fell from 110,000 to over 70,000 USD, just touching the past 25% retracement threshold; in my eyes, this is a buying opportunity.
In the long run, Bitcoin is likely to rise slowly in a fluctuating manner; it's hard to hold short-term positions, and if you want to trade long-term, you have to 'pump yourself up': the government is buying, institutions are buying, and a decline is an opportunity to accumulate chips. Especially during Trump's presidency, the policy environment has long been favorable, and the probability of a deep bear market is low; at least in the short term, that's how I see it.
Fifth, advice for small retail investors: Don't bet on volatility in the secondary market; first, accumulate understanding.
If you have little capital when you first enter the market, don't stare at the K-line fluctuations thinking about making money.
I suggest trying to participate in the primary market or project construction first, such as researching native blockchain projects, accumulating capital and understanding before considering futures trading.
Never trade with debt! Once you figure out the cyclical patterns of BTC and ETH, you will naturally reduce leverage — I used to use 10x and 20x, and now I only dare to use 5x, because I know how much I can afford to lose, and I understand whether the money I make is within my understanding.
Making money in the futures market has nothing to do with what courses you take; most of the traders I know are 'self-taught': some are bold enough to catch the main uptrend, while others have a good market sense to accurately escape peaks. The key is to remember the lessons learned from losses. If all you do is complain about 'not fitting in with the market' when you lose, then it's better to leave early.
If you can learn from your lessons, the money lost can be considered as tuition fees. The market does not only have trading as an avenue; low-risk plays like yield farming and arbitrage can also make money. Don't let high leverage amplify your human weaknesses — being overly aggressive and unable to control your actions are fatal wounds in futures trading.
Sixth, what personality is needed to make big money? Dare to judge, but even more, dare to act.
Great traders have one thing in common: they do not hesitate when the market moves.
Just like this round of Ethereum rising for four consecutive days, I captured the core wave within ten days, and my position multiplied by two or three times — it was not by betting on 50x leverage, but by trusting my own judgment and daring to make decisive bets when I understood the market. 'Fast is fast, slow is slow,' when the opportunity comes, if you're hesitant, the chance is gone.
The personality suitable for trading is very simple: daring to judge, daring to act, and integrating knowledge and action. Of course, the premise is to use 'money you can afford to lose' to experiment — if you succeed, you become a person sharing experiences; if not, just consider it as accumulating experience, which is not a big deal.
(This article is based on personal trading experiences and does not constitute investment advice. The market has risks; operations must be cautious.)
