In the cryptocurrency market, retail investors often face a common dilemma:
How to achieve rapid growth with small capital and eventually reach large capital? This is a process full of opportunities and risks.
Combining a real trading experience of a persevering investor (from 20,000 USDT to 10 million USDT), we can distill a set of contract trading methodologies suitable for retail investors.
This article will provide a clear and actionable path covering basic preparation, fund management, trading strategies, capturing market hotspots, risk control, and mindset management.
One, Build a Strong Foundation: Start with small capital, hone your basic skills.
The starting point for success lies in solid fundamentals. Both users and 'Killer Four' emphasize that growing small capital into large is not accomplished overnight but requires starting from the basics. This includes:
Familiarize with market rules: understand the leverage mechanism, liquidation rules, trading fees, etc., of contract trading to avoid mistakes due to unfamiliarity with the rules.
Understand trading varieties: study the characteristics of mainstream currencies (like Bitcoin, Ethereum) and hot currencies (like BCH, PEPE), and choose familiar targets.
Establish a trading system: make a clear trading plan including entry points, stop-loss points, take-profit points, and fund management rules.
Accumulating experience: through small real transactions, familiarize with market fluctuations and personal psychological reactions.
User suggestion: 'Basic skills must be solid, including familiarity with market rules, understanding of trading varieties, having a complete trading system, rich trading experience, and good market conditions to combine for significant growth.' This means retail investors must first hone their 'internal skills' before pursuing high returns.
Practical advice: if you are a beginner, take out 100-200 USDT and conduct several simulated trades under low leverage (3x-5x) to feel the market rhythm and find a trading style that suits you.
Two, Fund Management: start with small capital challenges and gradually roll over.
Small capital is not an excuse for recklessness. 'Small capital is not an excuse for recklessness, nor a reason. Even the smallest capital, if it’s all your wealth, requires cautious trading with low leverage, cannot go all-in, and must practice from small capital.' Here are specific strategies:
Diversified operations to reduce risk.
If you have 50,000 USDT, allocate 2000 USDT as challenge funds with the goal of growing from 2000 to 50,000.
If you only have 5000 USDT, use 200 USDT to challenge reaching 5000.
This method keeps risks within acceptable limits, avoiding the risk of liquidation by investing all funds at once.
Rolling growth, withdraw principal.
After a successful challenge (for example, from 2000 to 50,000), withdraw the principal (2000 USDT) and part of the profit (for example, 20,000), leaving the remaining funds (30,000) to continue challenging.
Users mentioned: 'Once you achieve a success, the second and third challenges will become incredibly easy.' This rolling method gradually increases fund scale while protecting the principal.
Avoid all-in at full margin.
User warning: 'If you only have 50,000, to go all-in with 50,000 can easily lead to a loss of control, one last mistake can lead to liquidation and zero.'
All-in high leverage operations can lead to total loss of funds, making it even harder to grow from small capital afterward.
Practical case: Perseverance started with 20,000 USDT, used 5x leverage to long BCH for the first trade, doubled funds to 40,000, and then through rolling operations reached 1 million in 22 days, ultimately reaching 10 million in four months. This stepwise growth is key to starting from small challenges and gradually increasing the principal.
Three, Trading Strategy: primarily low leverage, seize hotspots in line with trends.
Low leverage and market hotspots are key. How to achieve capital growth through reasonable leverage and capturing hotspots.
Low leverage operation, control risks.
Perseverance mentioned: 'Besides the 5x on BCH, Bitcoin was also used at 5x, all other operations were 3, 2, or 1x leverage.'
‘Be cautious in low-leverage trading.’
High leverage (over 10x) can amplify profits, but the risk of liquidation is extremely high. Retail investors should primarily use 1-3x leverage, only using 5x leverage in high-certainty opportunities (like BCH hotspots).
Keep up with market hotspots and operate accordingly.
Perseverance shared last year's successful experience: 'Market hotspots are meme and AI, and before these two hotspots, inscriptions had a second spring; everyone has shifted from speculating on inscriptions to speculating on the teams behind them, BSV and BCH have entered my watchlist.'
Specific operations include:
BCH long: long with 5x leverage, capital doubles from 20,000 to 40,000.
AI Sector: Focus on WLD, avoid other high-risk currencies.
Meme Sector: Mainly focus on PEPE, swing trading (long at support, break through at resistance), seize the upward trend.
BNB new listing: after the new CEO takes office, BNB rises slightly before each Launchpool, using low leverage (1-3x) to profit multiple times.
Whack-a-mole with Bitcoin/Ethereum: Short at high positions and long at low positions, operate within 5x leverage.
CRV liquidation event: short first then long, 2x leverage, double the large capital.
Flexible trading, unconventional methods.
Users emphasize: 'I can both break through and range; the key is my thoughts and reflections on the market condition at that time.'
Retail investors should adjust strategies based on market conditions:
Trend market: break through key points (long at resistance, short at support).
Fluctuating Market: High sell and low buy within a range.
Practical advice: pay attention to hot discussions on social media (like Twitter, Weibo), choose clearly trending currencies (like PEPE, BCH), and operate in line with trends using 1-3x leverage, waiting for market confirmation before entering.
Four, Seize Major Opportunities: wait for high risk-reward ratios, strike hard.
High-risk, high-reward opportunities require patience. 'How to grow small capital into large, take money you can afford to lose, patiently wait for opportunities with a risk-reward ratio of at least 1:10, and strike hard.
High risk-reward opportunities: users mentioned: 'To earn big, one must accept the speculative costs that arise if the trend does not meet expectations after betting on a breakout.'
Practical case:
Traders like 'Cool Xi' and 'Reincarnation' achieved explosive capital growth in a few days through ultra-high leverage (over 100x).
Speculation strategy: 'In the crypto space, how can small capital turn around? 10x leverage or more + market breakout + all in, catch big fish. Besides that, there's no other way.' But he also cautioned that such high-risk operations need to accept possible stop-loss costs.
Practical advice: divide funds into two parts, 80% for low-leverage stable operations and 20% for high risk-reward opportunities (above 1:10). When hotspots explode (like inscriptions or memes), use this part of the fund to try 5-10x leverage, but strictly set stop-loss.
Five, Risk Control: Stop loss and take profit, protect profits.
Risk management is key to survival. Emphasize the following points:
Set stop-loss, accept speculative costs.
User: 'The stop-loss caused by the trend not meeting expectations after betting on a breakout is the cost of speculation.'
Retail investors must set stop-loss points before each trade (such as exiting at a 10%-20% loss) to avoid emotional resistance leading to liquidation.
Lock in profits.
Perseverance decisively took profits after BCH doubled, then rolled over operations, avoiding profit loss.
It is recommended to withdraw principal and part of the profits after a successful challenge to protect existing gains.
Avoid high leverage leading to zero.
Big players admit: 'I know one thing, if I use high leverage, I will still return to the old path of zero.'
High leverage can bring huge profits but can also wipe out funds instantly; retail investors should prioritize stability.
Practical advice: set stop-loss (e.g., 10%) and take profit (e.g., 50%) for each trade, for example, if trading with 200 USDT, exit when losing 20 USDT or gaining 100 USDT to ensure controllable risk.
Six, Mindset and Discipline: from small wins to big wins.
Mindset determines success or failure. Mindset management is key to success:
Build confidence from small capital.
‘After achieving the challenge, it can greatly increase confidence.’
Users have built confidence for subsequent operations by doubling from the first trade of 20,000 to 40,000.
Avoid losing control of the mindset.
Big players say: 'All-in at full margin can easily lead to a loss of control, one last mistake can lead to liquidation and zero.'
Retail investors need to remain calm and avoid being swayed by short-term losses or gains.
Continuous learning and adjustment.
If a small capital challenge fails, it indicates a problem with the trading system or mindset; continue practicing with small amounts until finding the rhythm.
Practical advice: view trading as a marathon rather than a sprint; record insights from each small victory (like 200 to 500 USDT) and gradually enhance psychological endurance.
Seven, Practical Case of Perseverance: Path from 20,000 to 10 million.
The experience of growing from 20,000 USDT to 10 million USDT provides valuable references:
First Phase: From 20,000 to 40,000 (BCH doubles).
Seize BCH hotspots, long with 5x leverage, double the capital.
Key: closely follow market trends (speculation related to inscriptions), act decisively.
Second Phase: From 40,000 to 1 million (22 days).
Multi-sector layout (AI, Meme, BNB new listing), 1-3x leverage.
Key: Diversify hotspots, operate in line with trends, and grow steadily.
Third Phase: From 1 million to 10 million (4 months).
Capture major events (like CRV liquidation), Bitcoin/Ethereum range trading, within 2x leverage.
Key: low leverage stable operations, protect profits, wait for major trends.
Eight, Summary and Action Suggestions.
Retail investors can grow from small capital through contract trading; the core lies in the following principles:
Build a strong foundation: familiarize with the rules, establish a trading system.
Fund management: start with small challenges and roll over.
Trading strategy: primarily low leverage, seize hotspots in line with trends.
High risk-reward ratio: patiently wait for opportunities above 1:10, strike hard.
Risk control: strict stop-loss and take profit, protect principal.
Mindset discipline: accumulate confidence from small wins, avoid losing control.
Action steps:
Initial preparation: allocate 200 USDT from 5000 USDT as challenge funds.
Small challenge: use 1-3x leverage, goal to grow from 200 to 500 USDT.
Rolling operations: after success, withdraw principal (200), challenge using profits (300) to reach 1000 USDT.
Seize hotspots: pay attention to trends like Meme and AI, choose currencies like PEPE or BCH for trend trading.
Risk management: set 10% stop-loss and 50% take-profit for each trade.
Gradually increase: repeat the above steps, wait for major trends (like 1:10 opportunities) to try 5x leverage with part of the funds.
Many people lose their minds after losing money in trading, not because of incorrect direction, but because they never learned to control their positions, going all-in, stubbornly holding on, and acting emotionally... ultimately leading to account zero.
I just want to say: turning over funds has never been a gamble, it is rolled out by rhythm!
I bring the rhythm, not luck; teach methods, not guessing price changes.
Want to recover funds, want to get out of the pit.
Stop messing around and focus.@钱包守护者 Refine operational systems, from order placement techniques to trend analysis, details hide opportunities. Use technology as a foundation.