Since 2023, he has invested over 500,000 RMB. During this time, there have been significant gains and losses, but overall he has lost everything. The reason may be similar to most retail investors; he was mostly irrational when things were going well and more rational when they were not. During this period, he put in his savings of 120,000, and then an additional 80,000 from his family, totaling all in. He ended up with bank loans, credit card debt, and online loans, accumulating over 330,000 in interest and penalties.

While making money, his mindset was that money came too easily, as if a coin could double in value in just a few hours to a couple of days. With just ten times leverage (which is considered low leverage in the cryptocurrency world), he could earn ten times his principal, at one point making 280,000.

After his mindset changed, he was no longer satisfied with earning a few hundred dollars a day, so he started to increase the leverage. Due to his high success rate of over 90%, he gradually became arrogant, extremely confident in his judgment, and ultimately faced three consecutive large drawdowns, causing him to stop-loss large positions three times, leaving him with less than 30,000 RMB.

Then came the awakening after reflection, with positions fluctuating between 30,000 and 100,000. During this time, his mindset gradually changed to one of impatience, wondering why he hadn’t returned to 280,000 yet and why it was taking so long. His operations became increasingly distorted, and he was ultimately convinced of a particularly certain event, though he couldn’t remember if it was a Non-Farm Payroll report, employment data, interest rate cuts, or the U.S. CPI data; he just felt that it would go this way, ultimately leading him down a path of no return.

Initially, he borrowed tens of thousands from his credit card, thinking he could earn back in one wave and run away, but Lady Luck did not stand by his side. He faced a complete wipeout from a position of 60,000 or 70,000 due to blind arrogance and not cutting losses. After owing 150,000, he had a moment of clarity, thinking he should stop, that Bitcoin was a scam, and that he should just work to pay back the debt. However, just a few months later, due to slow earnings (with a salary of only 5,000 to 6,000), he couldn’t hold on any longer and jumped back in.

Ultimately, he ventured down a path of no return, losing over 500,000 in total. In this circle, most people lose money; to make money, you need a good strategy, execution, and strict position management, all of which are indispensable! Jiang Taigong fishing, sitting steadily on the fishing platform, preferring to take directly rather than seeking through curves; those willing can take the bait.