Making 100,000 from 10,000 in the crypto space is too easy. I can make more than this profit with just a few trades!
If your account is below 1 million and you want to make profits in the short term, there is indeed an everlasting trading strategy in the crypto space, which is also a tried-and-true 'fool's technique' that retail investors can quickly grasp. Purely practical!
You don't have to worry about whether you can learn; I can seize this opportunity, and so can you. I'm not a god; I'm just an ordinary person. The difference is that others overlook this method. If you can learn this method and pay attention to it during later trading, it can help you earn an extra 3 to 10 points in profit every day.
Making money in the crypto space is not about luck:
The essence of making money in the crypto space boils down to four gaps:
First, information gap - what I know, you don't know yet;
Second, cognitive gap - what I understand, you haven’t grasped yet;
Third, execution gap - we both understand, but I dare to act while you hesitate;
Fourth, competition gap - we are both participating, but I do it faster and better.
In the crypto space, winners are often not the smartest.
But those who can see the direction clearly, stabilize their mindset, and act decisively in chaos.
True opportunities belong to those who can continually learn, adapt to the market, and dare to take action.
So, recognize the gap and improve yourself
Those who ultimately surpass the market are always those who compound their knowledge and execution.
A day in the crypto space equals ten years in the human world, showcasing its ever-changing dynamics.
I have been in the crypto space for ten years. When I first entered, I suffered heavy losses. After ups and downs, I now support my family.
Summarizing 10 points of experience for everyone's reference, achieving it makes losses difficult.
Manipulator-protected coins:
When the market crashes, if your coins don't drop, it's likely that a manipulator is protecting them. These coins either have solid fundamentals or potential good news; hold on tightly; the future profit space is large.
Beginner's moving average guide:
Beginners should pay more attention to macro information when buying and selling. For short-term views, look at the 5-day moving average, hold above the line, and leave when it breaks; for mid-term, monitor the 20-day moving average and operate similarly. Stick to simple moving average strategies and act decisively.
Short-term adaptive strategies:
For short-term buying, if a coin does not move for three days, change it immediately. If it drops after buying and incurs a 5% loss, cut your losses decisively, utilize funds efficiently, and avoid losses.
Opportunistic rebound timing:
If a coin has been halved from a high position and has fallen for nine days, it may have nowhere left to drop; a rebound is imminent. Buy decisively to catch the rebound.
Leading coin investment logic:
When entering the crypto space, pursue leading coins, which have strong upward momentum and resistance to falling. Don't hesitate due to high prices or significant drops; buy when the upward trend is established and sell during reversals.
Balancing bottom fishing and trends:
Don't be obsessed with bottom fishing; falling coins may have no bottom. Investment should follow trends, accurately grasp the timing of entry, and the probability of profit in an upward trend is high.
Constructing trading strategies:
In the crypto space, don't get complacent after one profit; continuous profits are challenging. After each profit, review whether the strategy was effective or relied on luck, and build a strategy that suits you.
Using a cash position strategy:
When uncertain about the market, maintain a cash position, prioritizing fund safety. Entering the crypto space is for stable asset appreciation, not for gambling-style investments; trading is about success rates and risk-reward ratios.
Key points for investing in new coins:
New coins in the early stages may see prices pushed up due to market optimism, but they may lack fundamental support. A change in market sentiment could lead to a sudden price drop, so investment must be cautiously assessed.
Consensus and wealth in the crypto space:
Digital currency develops based on consensus mechanisms, with participants earning wealth through belief and effort, showcasing the power of consensus and wealth creation potential in the crypto space.
If someone feels lost due to market fluctuations and doesn't know how to deal with being stuck, or feels misled during operations, remember to learn more.
With 2,000 at hand, converting to about 300 USDT, one must find ways to increase value. The most direct and effective method is to leverage contract trading to amplify profits:
Step one, we should steadily and gradually enlarge the capital. Each time take 100 USDT.
Go for hot coins, remember to set your profit-taking and stop-loss levels. Double your profits, for example, turning 100 into 200, then 200 into 400, and so on. But remember, operate at most three times in a row, as luck plays a small part here; you might win several times in a row, or you could lose in one shot. So, take it easy.
Step two, when our capital rolls to around 1,100 USDT, we can start using more advanced strategies. At this time, we need to play some tricks, applying three strategies together:
One, ultra-short trades, use 100 USDT to make quick trades at the 15-minute level; run away once you earn, fast but high risk, so you need to pick stable coins like Bitcoin or Ethereum.
Second, single strategy, using a small position, such as 15 USDT, to do 4-hour level contracts, taking it slow. Regularly invest in Bitcoin every week; accumulating will also amount to a considerable fortune.
Third, trend trades are our main focus. After finding the market trend, enter directly; making big money relies on this. However, it requires us to have the same market judgment ability and to plan our risk-reward ratio in advance.
Playing contracts in the crypto space is not blind gambling; it requires a systematic approach, reasonable position management, and strict profit-taking and stop-loss strategies. Using 2,000 to aim for nearly a million seems difficult, but as long as you master these skills and execute well on each trade, the dream of becoming a millionaire can be fully realized!
After ten years of trading coins, from giving up losses to now supporting my family, I have summarized the six golden rules of trading coins! These were earned with real money in the crypto space. Whether you are a rookie or an old hand, once you deeply understand the essence, your life in the crypto space will turn around.
By adhering to these basic principles, investors can gain a deeper understanding of market volatility, thus accurately grasping the best timing for buying and selling while steadily advancing in a complex and changing market environment.
Please remember that investing is not just a game of numbers and data; it also requires a profound understanding of human nature and market psychology. Only by maintaining a calm mindset, being fully prepared, and making prudent decisions can one stand out amidst the violent fluctuations of the cryptocurrency market and achieve their investment goals.
These six iron rules are all very important. If they provide direction, help, or inspiration in your investment journey, remember to follow, like, and save.
From huge losses to great wealth in trading coins!
One, about returns
Suppose you have 1 million. When your earnings reach 100%, your assets will be 2 million. If you then lose 50%, it means your assets will return to 1 million. Clearly, losing 50% is much easier than earning 100%.
Second, about price fluctuations
If you have 1 million, after a 10% increase on the first day, your assets reach 1.1 million, then if you lose 10% the next day, your assets will remain at 990,000. Conversely, if you lose 10% on the first day and gain 10% on the second day, your assets will still be 990,000.
Third, about volatility
If you have 1 million, earn 40% in the first year, lose 20% in the second year, earn 40% in the third year, lose 20% in the fourth year, earn 40% in the fifth year, and lose 20% in the sixth year, your remaining assets will be 1.405 million, and the six-year annualized return rate will only be 5.83%, even lower than the five-year treasury bond coupon rate.
Four, about earning 1% daily
If you have 1 million, and you earn 1% daily, then after 250 days, your assets can reach 12.032 million, and after 500 days, your assets will reach 145 million.
Five, about 200% each year
If you have 1 million, and achieve a 200% return for five consecutive years, then after five years, your assets will reach 243 million. However, such high returns are difficult to sustain.
Six, about ten years and ten times
If you have 1 million and hope to reach 10 million in ten years, 100 million in twenty years, and 1 billion in thirty years, then you need to achieve an annualized return rate of 25.89.
Seven, about averaging down
Suppose you buy a coin for 1,000 yuan at 10 yuan. Now it has dropped to 5 yuan, and you buy another 1,000 yuan. At this point, your holding cost can be reduced to 6.67 yuan, rather than the 7.5 yuan you might expect.
Eight, about holding costs
If you have 1 million and invest in a coin making a 10% profit, when you decide to sell, you can leave 100,000 worth of chips; your holding cost will return to zero. You can then hold long-term without pressure. If you are extremely optimistic about this coin and leave 200,000 worth of chips, you will find your profit will increase from 10% to 100%. However, do not be complacent because if that coin drops 50% later, you may still incur losses.
Nine, about asset allocation
There are risk-free asset A (annual return 5%) and risk asset B (return -20% to 40%). If you have 1 million, you can invest 800,000 in risk-free asset A and 200,000 in risk asset B. Thus, the worst return for the year is zero, and the best return could be 12%. This is the prototype of the CPPI technique applied to capital preservation funds.
Will the crypto space be the only way out for ordinary people?
I've been in the crypto space for ten years, and I want to tell everyone that to change your fate, you must try the crypto space. If you can't make money in this circle, ordinary people may really have no more opportunities in their lifetime.
Traits of excellent traders
First, excellent traders must be patient to endure prosperity!
Market cycle theory
"Five poor, six absolute" is the norm every year. According to cycle theory, there aren't many optimal times to trade coins throughout the year. "Five poor, six absolute, seven still may not turn around." I usually stay in cash and observe in May, June, July, and August each year.
So, when is a good time to enter the market?
1. Enter the market at the end of September, clear positions by the end of November.
2. Enter before the Spring Festival and clear positions in April.
3. Execute these two iron rules; of course, the short-term operations of individual small-cap stocks are not included.
4. Next, learn how to find hundredfold coins to achieve wealth in a bull market.
Stick to these ten principles in trading coins, and you will definitely reap rewards.
Market trading principles:
1. Don't easily be fooled out of low-priced chips: stay firm in belief to prevent manipulators from colluding.
2. Chasing up and killing down, using all funds in and out is always a major taboo: under favorable macro trends, accumulating positions in batches during declines is less risky, cheaper, and more profitable than chasing rises.
3. Reasonably allocate profits: maximize fund release instead of simply increasing positions.
4. Quick rises cash out, quick falls hold coins: Always maintain a good mindset. Do not speculate, do not be restless, do not be greedy, do not fear; don't do things without preparation.
5. Ambush or private placement of low-priced coins rely on experience and judgment: Secondary market speculation requires technology and information; do not put the cart before the horse; otherwise, it could easily end in chaos.
6. Position building and unloading should be layered: gradually expanding price levels to effectively control the ratio of risk to profit.
7. Familiarize yourself with the correlation effect: each coin does not exist in isolation. Many tools can help check coin information and consultation, understanding these correlation effects is very important.
8. Positioning should be reasonable: the allocation between hot coins and value coins should be balanced, neither too conservative to miss opportunities nor too aggressive facing high risks. Value coins should focus on stability, while hot coins can be volatile, potentially skyrocketing or plummeting.
9. Having coins on hand, cash in account, and cash in pocket: This is the safest and most reassuring configuration. Do not go all in; going all in will lead to death. The grasp of risk control and reasonable allocation of funds is key to your mindset and success or failure. Idle cash investment is the foundation.
10. Master basic operations: learn to derive from one example and grasp the basic ideas of trading. Observation is the prerequisite; remember each high and low point as reference data. Learn to record, summarize material, develop a reading habit, and cultivate the ability to sift through and filter information.
Summary
By following these principles, combined with the cyclicality of the market and reasonable fund management, I believe you will gain something in the crypto space. Remember, opportunities and risks coexist in the crypto space. Only by mastering the correct methods and mindset can one stand firm in this turbulent market. I hope these experiences are helpful to you.
Reversing against the trend yields astonishing returns! Follow Brother Cheng's rhythm to easily achieve wealth elevation.
Continue to follow: SPK,C
