I am 32 years old this year, started trading crypto at 22, and by 2023-2024 my funds reached eight figures. Now, when I go out, I must stay in high-end hotels costing around 2000 yuan, and my luggage and hat may carry crypto symbols. This is much more comfortable than the older generation doing real business or the post-80s doing e-commerce.

I have hardly experienced business disputes; I have fewer worries.

The most important point in trading is having a good mindset; technique is secondary.

My experience sharing:

Learning is fundamental: Understanding blockchain technology, digital currency principles, and market trends is a prerequisite for investment.

Rational investment: Do not blindly follow trends; invest according to your own risk tolerance.

Diversified investment: Do not bet all your funds on one project; diversification can reduce risk.

Long-term holding: The digital currency market is highly volatile; long-term holding of quality assets is more likely to yield substantial returns.

Stay calm: Do not be swayed by market emotions; a calm mind is necessary for making correct decisions.

The stories of making a fortune in crypto are certainly enviable, but the risks and sacrifices behind them should not be overlooked.

The core of not being liquidated in crypto contracts is: practical strategies for position management.

Start with 5000 USDT, rolling up to 120,000 USDT is not a fantasy.

But it requires precise strategies and strict position management.

Below are market-validated practical methods suitable for short-term/swing traders.

But the "mysterious bonus" in the final step is key.

Step one: Fund allocation (how to bet with 5000 USDT?).

Core principle: no all-in, no life bets, use compounding thinking to roll.

3000 USDT (60%) → Low-risk steady trading (BTC/ETH swing).

1000 USDT (20%) → High-risk altcoins (catching hot topics, like AI, MEME, RWA).

500 USDT (10%) → Contract hedge (only for extreme market conditions).

500 USDT (10%) → Cash reserve (waiting for a market crash to buy the dip).

Beginner's mistake: Going all in on a coin or using leverage to bet on direction.

Step two: Trading strategy (how to grow funds?).

1. Main battlefield: BTC/ETH swing trading (3000 USDT).

Strategy for swing trading at key support/resistance levels (e.g., buy when BTC drops to moving average support, sell when it rises to previous high resistance).

Goal: Earn 10-20% per wave, do this 2-3 times a month, compounding returns.

2. Critical point: High-risk altcoins (1000 USDT).

Strategy: Only play low market cap coins with hot topics (e.g., new coin listings, sector rotation).

3. Hedge protection (500 USDT contract).

Usage: When the market experiences extreme conditions (e.g., before a crash), use 5-10x short positions to hedge and reduce spot losses.

Step three: Position management (how to avoid liquidation?).

Single trade ≤ 10% of capital (for example, for a 5000 USDT account, single order ≤ 500 USDT).

Stop-loss hard limit ≤ 5% (cut if losing 500 USDT, do not hold the position).

Take profits in batches (take half out at 20% profit, keep the other half for higher gains).

Weekly review, cut weak coins, keep strong coins.

Key thinking: "Cut losses, let profits run," rather than "take a little profit and hold on to losses."

Steps for rolling positions:

1. Choose a target: Select a cryptocurrency that you believe will rise in the future.

2. Initial purchase: Use all your funds to buy this cryptocurrency.

3. Set stop-loss: Set a stop-loss below the buying price to limit your losses.

4. Monitor the market: Continuously monitor market trends. 5. When prices rise: If prices reach the preset target, use part of the profits to increase positions and buy more.

6. Repeat steps 4 and 5: Continue to monitor the market and add to positions when prices rise.

The art of rolling positions cannot be mastered on a whim. It requires the right timing, location, and synergy to increase the odds of success.

Here are four golden opportunities for rolling positions:

(1) Breakthrough after long-term consolidation: When the market has been in a sideways state for a long time and volatility drops to a new low, once the market chooses a breakout direction, consider using rolling positions.

(2) Buying the dip during a bull market: In the wave of a bull market, the market experiences a strong rise followed by a sudden drop. At this time, consider using a rolling strategy to capture the dip-buying opportunity.

(3) Breakthrough at the weekly level: When the market breaks through key resistance or support levels on the weekly chart, it is like breaking through a solid defense line. At this time, rolling positions can seize this breakout opportunity.

(4) Market sentiment and news events: When market sentiment is as changeable as the weather, or when significant news events and policy changes may shake the market, rolling positions can become a useful tool.

Key point.

1. Only roll long positions: Avoid going against the trend; the bull market cycle in crypto is longer, and the upward trend is easier to capture.

2. Isolated position mode: Use the exchange's "isolated margin" mode to isolate the risk of a single position and avoid total liquidation.

3. Leverage limit: Even if the trend is clear, leverage should not exceed 5 times to avoid extreme volatility leading to liquidation.

4. Emotional management: Do not chase high prices when you miss an opportunity to add positions; wait for a pullback or the next trend signal.

If there is no clear buying or selling point, do not force a buy or sell. This may seem trivial, but it is actually very crucial. Without a buying or selling point, forcing trades is essentially emotional trading. If you achieve this, your trading level can significantly improve. Of course, another issue is that you must establish your own "buying and selling points". Everyone's buying and selling points are unique, influenced by personality, capital scale, and risk preference.

Establish buying and selling point rules, then do "buy at buy points, sell at sell points," and you won’t be influenced by market emotions. The market has been extreme these past two years, changing too quickly; if you cannot restrain emotional trading, it is easy to be led by the market. You feel good when it rises, and when it falls, you feel like it’s the end. Always staying in this emotional state makes it hard to stabilize profits.

The psychological process of retail investors generally goes through these stages:

1. When the market is surging, I feel regretful because my position is not sufficient, and I say I will wait for a drop to go all in.

2. When the market has just experienced a major drop, still full of confidence, talking easily, thinking the drop is too small, waiting for an opportunity to add positions.

3. As the market enters a phase of gradual decline, complaints begin to emerge, and sentiment is low, hoping for a rebound that never comes.

4. As the market continues to fluctuate, people begin to remain silent, and no one expresses opinions anymore.

5. No one is talking about buying the dip anymore; people always feel the market will continue to drop, and no one mentions the blockchain revolution.

6. Occasionally, someone expresses an opinion to warn others, but everyone still seems to be immersed in the current situation, with little reaction.

7. When the market begins to reverse, still waiting for a pullback, mistakenly thinking it is a temporary rebound and continuing to observe.

8. When the market shows obvious abnormalities, chasing the rise to enter, only to find it is a temporary peak.

9. Repeating the same operation leads to elimination by the bear market. Buying the dip in a bull market results in getting trapped, leading to losses and exiting the market, ending investment.

Playing in the crypto space is essentially a battle between retail investors and whales. If you lack insider information and firsthand data, you can only get cut! Welcome like-minded crypto enthusiasts to discuss together~