True experts in cryptocurrency trading follow a simple principle: repeat simple things. This short-term trading model has a win rate of up to 98.8%, and learning this can easily take you from 100,000 to 10 million! Just stick to this one model!
1. Position division is not metaphysics; it is a lifesaver!
How to divide specifically?
For example, if you have 30,000U, split it into 3 parts, each part being 10,000U. Only use one part for each trade, locking the rest in your wallet as if it doesn’t exist.
Remember two numbers: Bitcoin's leverage should not exceed 10 times, and altcoins should not exceed 5 times!
Even if you see a surge coming, do not be greedy! The higher the leverage, the easier it is for exchanges to send you back to zero with a single needle.
For example: If you open a 10 times position on Bitcoin with 10,000U, a 10% drop will evaporate your account. But if you only open a 5 times position, you will only blow up at a 20% drop, thus doubling your margin for error.
Position division also has a hidden function: it prevents overtrading!
Once someone loses money, they are prone to 'revenge trading', resulting in deeper losses.
After dividing positions, even if you blow one part on a whim one day, the remaining two parts can help you stay calm. Losing 10,000 and losing 30,000 — can the mindset be the same?
2. High leverage = chronic suicide; don’t be stubborn!
There are always those who refuse to accept: 'Old Wang next door made a BMW in one night with 100 times leverage; why can't I?'
Brother, Old Wang won't tell you that he has blown up 10 times, nor will he say that he exchanged his house for that BMW.
The truth about high leverage is only two points:
1. The spike specializes in treating defiance: Exchanges love you high-leverage traders; one spike at midnight can take all your capital.
2. Mentality collapses directly: With 100 times leverage, a 1% price fluctuation will leave you restless; can you still operate rationally?
Remember:
- Bitcoin over 10 times = gambling with your life
- Altcoins over 5 times = giving away money
The lower the leverage, the more daring you can be in holding positions, enabling you to ride the trend!
The three great ways to die in counter-trend positions:
1. Stubborn holding: 'I don't believe it won't drop!' — Result: loss of all capital.
2. Averaging down: 'If it drops again, I'll add to my position to lower my average!' — Result: depleted resources.
3. Mystical type: 'The K-line has a golden cross, it must reverse!' — The operator teaches you a lesson with a big bearish line.
The correct posture: Rather miss out than give away your capital!
Is the market going crazy? Just watch! Missing out doesn’t lose you money, but losing money against the trend can be fatal.
Only 10% of people in this market can make money because it is destined to be a zero-sum game;
The money you can earn will only occur during 20% of bull market time; the rest will eliminate those without investment logic and patience;
Always maintain a mindset that can withstand a 30%-50% drawdown to smile until the end; otherwise, the process will be a torment for you;
40% of retail investors might just end at the beginning, and the pits in this circle are more numerous than you think;
At least 50% of people in this market will choose to trade contracts, most will end up with nothing and lose everything. Remember, contracts are just gambling;
In a bull market trend, 60% of those trading spot can earn something. The true winners can hold steadily throughout the entire bull market cycle;
It is estimated that 70% of people are continuously recharging without ever cashing out; the cryptocurrency market is far more brutal than you imagine;
80% of people cannot return to the past due to the wealth effect of this circle, just like being addicted to drugs;
90% of people ultimately become passersby in this market, but everyone believes they are the chosen ones;
If you want to choose trading as your livelihood, be sure to read why those who come out of trading grow stronger, and why traders are lonely.
If you are determined to make a living from trading, make sure to take a few minutes to read this article thoroughly — this is not an ordinary career choice, but a practice that drinks with loneliness and reshapes the soul. What you will step into is a spiritual polar region that is difficult for ordinary people to understand.
1. Loneliness: The ultimate background of a trading career
The loneliness of traders is not mere solitude but a state of refinement after the tempering of thought. Old hands who have been in the market understand this path: they walk between heaven and hell, swallowing the pain of failure alone, and their joy in profit is merely 'raising a cup to invite the bright moon, forming a trio with their shadow' — all achievements are built upon their own blood and sweat, difficult for others to empathize with.
The loneliness of full-time traders stems from three barriers:
The cognitive gap of family: The idea of making a living through trading is not yet widespread, and family members often find it hard to understand and support. If you succeed, they take it for granted, ignoring the storms you have weathered; if you fail, the accusations of 'not having a proper job' pierce like a knife. The pressure of trading is a unique psychological torture for you.
Isolation of human nature's game: Trading is the most naked trial ground of human nature. A few years of trading can be enough to experience decades of ups and downs that ordinary people go through. You will reshape yourself in the market, with perspectives, thinking, and logic differing from those of ordinary people — this kind of insight will distance you from those around you, like a warrior emerging from the blood-soaked trenches; those who have not experienced the battlefield will never understand the tremor of your soul.
The island of trading systems: Experienced traders all have their own unique 'martial arts secret techniques', remaining loyal only to their systems, naturally alienated from others' methods. Coupled with the vast differences in trading philosophies, even when peers communicate, they often fall into the awkward situation of 'talking past each other' — those who can truly resonate are as rare as phoenix feathers and unicorn horns.
2. The dark side of trading: The abyss of reshaping and breaking.
Making a living from trading, you will face a truth more brutal than loneliness:
The norm of a mental purgatory: Severe depression during low periods follows you like a shadow, with old beliefs crushed by the market, leading to waves of doubt, abandonment, and misunderstanding. You will jump back and forth between despair and madness: crying, isolation, bitter laughter, and auditory hallucinations... All negative emotions gnaw at your body and mind, but there is no one to confide in; you can only bite down on your teeth and swallow your pain, struggling alone in the darkness.
The painful rebirth of self: The market will strip you down to your skeleton and force you to grow new flesh and blood. Every time you blow up your account, every round of market beating, is a subversion of your understanding — you must tear apart your old self with your own hands and rebuild your trading logic and personality system from the ruins. This process is more painful than shedding skin.
3. Coexisting with loneliness: The way for traders to break through
If you are still determined to embark on this path, remember:
Accept loneliness instead of fighting against it: Treat loneliness as a networking opportunity; it will force you to think deeply and build a stronger mental world. The market is the best teacher; loneliness is the harshest coach.
Establish a 'mental defense system': In low periods, use trading logs to review and redeem yourself; in times of crisis, use exercise and reading to tear apart negative emotions. Remember, the suffering that can kill you will eventually make you stronger.
Always keep a 'human anchor point': In the battlefield of trading, leave a window for your family and a ray of light for your life — do not let the market completely consume your connection with the real world; that is your last line of defense to escape the abyss.
Turning 5,000 into 1 million through trading? Listen to these real experiences!
See how I turned a small capital into over 30 million in ten years! The core secret lies in: amplifying profits through contract trading! But don't rush into the market impulsively; we must proceed step by step. You can first convert 3,000 of the 5,000 into 400U (approximately 400 dollars) and follow the planned actions.
Let's take it step by step:
Step 1: Snowballing with a small amount (from 300U to 1100U)
Every time take out 100U, specifically choosing recently popular cryptocurrencies. Here are two key points:
Take profits immediately: Once you double your profit, for example, turning 100U into 200U, stop immediately; do not become attached.
Decisive stop-loss: If losses reach 50U, decisively cut your losses and exit the market to avoid further loss.
If luck is on your side and you win three times in a row, your capital can grow to 800U (100 - 200 - 400 - 800). However, you must take your profits and stop! Play a maximum of three rounds and stop as soon as you earn around 1100U. At this stage, luck plays a significant role, so do not be greedy, lest you return your profits.
Step 2: Multi-strategy combination attack (starting from 1100U)
At this time, divide the funds into three parts, each employing different trading strategies:
1. Quick in and out type (100U)
Focus on the price fluctuations within 15 minutes, selecting relatively stable cryptocurrencies like Bitcoin and Ethereum. For example, if you observe Bitcoin suddenly rising in the afternoon, quickly follow up with a long position, and once you earn a profit of 3% - 5%, decisively sell out, just like a street vendor, aiming for small profits through high sales.
2. Zen-style dollar-cost averaging type (15U per week)
Every week, set aside 15U to purchase Bitcoin contracts. Assuming the current price of Bitcoin is 50,000 dollars, if you believe it will eventually rise to 100,000 dollars, then persist with dollar-cost averaging. Treat this as a piggy bank; even if the price drops, there is no need to panic. This is suitable for those who do not have the time to monitor the market constantly, allowing for long-term holding and appreciation.
3. The main event trend position (betting all remaining funds)
When you spot a major market trend, act decisively! For example, if you notice signs of the Federal Reserve lowering interest rates, predicting that Bitcoin may surge, then directly open a long position. However, before you act, you must plan in advance: clearly define how much profit you will take to exit (for example, doubling your investment), and how much loss you will accept (set a maximum loss of 20%). This strategy requires a certain sensitivity to news and an understanding of technical analysis; beginners should not act blindly.
Important reminder:
Control position size: Each time you invest, the amount should not exceed 1/10 of your total capital. Never operate on a full position to avoid losing everything due to a single mistake.
Set stop losses: Every time you place an order, you must set a stop loss to control potential losses.
Limit the number of trades: Perform a maximum of 3 trades per day. If you feel the urge to trade frequently, play some games to shift your focus and avoid emotional trading.
Timely withdrawals: After reaching your profit target, immediately withdraw your profits. Do not think about 'earning one more wave'; securing your profits is the hard truth.
No matter how diligent a fisherman is, he will not go out to fish in stormy weather, but will protect his boat with care. This season will eventually pass, and a sunny day will come! Follow me, and I'll give you both fish and fishing skills; the doors of the cryptocurrency world are always open. Only by going with the flow can you have a life of flowing with opportunities. Remember this!
I've traded what you've done, and I've also traded what you haven't done; every trade is genuine, all summations of practical experience, not derived from military strategy or tactics, and the best skills are not learned; they are not left behind through the ages! Follow (Crypto Muqing) for mutual learning and combat!
