Some people might say: go all in, gamble big on non-farm payrolls. But what if you win? You double your investment, making it harder to lose everything.
The smarter ones will say: frequent trading will eat up all the transaction fees. Right, that's one viable strategy.
But this is just the surface. The key is: you'll find that losing money also requires methods and discipline.
You can't hesitate; once you profit, cut it immediately to avoid 'making too much', and execute all the logic you think is correct in reverse.
If you're floating in losses, you might 'hope to lose a bit more' and let it go down to zero.
This is the negative discipline system+. Losing money 'rationally' follows the same pattern logic as making money 'emotionally'.
After understanding the rules of this game, you will begin to reflect -
You used to 'clearly have discipline, yet keep losing'; are you actually using a 'losing discipline to make money'?
Remember: Discipline > Skill, Execution > Inspiration, Stability > Excitement.
Real money-making trades are often boring.
The underlying logic that allows ordinary people to make money.
You don't need to be a genius; you just need to establish a trading system that can be replicated and adhered to.
1) Money management: only use a small portion of the total capital for each opening, lightly test the trend confirmation before increasing the position. Don't go all in at the start; the total position should not exceed 30%. Leave room for maneuver.
2) Choose a trading cycle that suits you: Short-term: for those with strong market sense and quick reactions. Swing trading: suitable for those who can endure fluctuations and ride trends. Long-term: those who understand macro and fundamentals have better odds.
3) The trading system should be simple, executable, and replicable. Trend strategy*: trade with the trend, don't increase positions against the trend. Fluctuation strategy+: buy low, sell high; stop-loss should be quick. Arbitrage strategy: cross-platform price difference, small fluctuations arbitrage, high win rate but slow.
4) Stop-loss and take-profit must be mechanically executed. Set the stop-loss line before entering, cut the position when it hits, and take profits in batches. Don't be greedy or timid; just capture the mid-term market.
5) Emotion management: reduce the frequency of watching the market, avoid impulsive trading, accept losses, do not average down on losses, do not expand on wins, write a trading journal, continuously review and optimize the system. The key to truly surviving: mindset and compound interest.
The hardest opponent in the cryptocurrency circle is not the market, but your own greed and fear.
What you should aim for is not 'ten times in a year', but stable annual returns + strict stop-loss + not being eliminated by the market.
Don't underestimate the importance of 'surviving'. Compound interest is the only way for retail investors to compete with institutions: annualized 30% means 20 times in 10 years; annualized 50% means 57 times; double in one year, then go bankrupt the next year means zero.
And if you accidentally incur a loss -
Final advice: Don't aim to be a 'legend', aim to be a 'survivor'.
In the cryptocurrency circle, legendary stories belong only to a very few. The vast majority of winners are those ordinary people who can survive in a prolonged market.
Make fewer mistakes, execute more, review frequently, and maintain rationality and patience.
This is an article written with feeling. Recently, many fans discussed with me that they haven't made money in this circle, but rather have been continuously losing. What I want to say is that the market is counterintuitive; you need to change your mindset, just like at the beginning of this article.
