Family, after mixing in the crypto world for so long, I spent tens of thousands of USDT as tuition, only to realize the true essence of trading cryptocurrencies: survive to have a chance to win!
Today, I will share my blood and tears experience with everyone.
The core strategy of trading is the "three-part treasury." If the principal is 30,000 USDT, divide it into three parts, each part being 10,000 USDT.
Each time you open a position, only use one part. In terms of leverage, Bitcoin ≤ 10x, Altcoins ≤ 5x; this is the safety red line.
When losing, if you lose 1,000 USDT, make up for it from the reserve to ensure that the principal for the next position remains unchanged; when profitable, if you earn 1,000 USDT, withdraw it immediately to secure the profit.
When total profit reaches double the principal, i.e., 60,000 USDT, each part of the principal can be withdrawn to 20,000 USDT, then operate according to the rules.
Why is this strategy effective? Low leverage with divided positions can prevent extreme market conditions, losing at most 1/3 of the principal, leaving enough room for recovery;
It can also prevent impulsive all-in bets, with a maximum loss of 1 part at a time, enforcing calmness and avoiding going to zero overnight; fixed position operations help stabilize the mindset, preventing emotional influences.
To strive for high returns, remember the "three chances" rule. The market is unpredictable; even when taking risks, you should distribute your bets in three parts.
For example, with a principal of 200,000, you can accept a loss of 40,000, and invest in three parts: 10,000, 10,000, and 20,000. As long as you are right once in those three times, there is hope for a turnaround; staying in the market gives you a chance.
Moreover, trends and take-profit/stop-loss strategies are the keys to making money. Although trend trading is difficult, going against human nature can be more profitable; aggressive pullbacks in an uptrend are great opportunities to buy.
Take-profit and stop-loss are lifelines; single stop-loss ≤ 5% of total capital, single profit > 5% of total capital, overall win rate > 50%. Achieving these will ensure final profitability.
Trading cryptocurrencies is about repeatedly doing simple things, persistently using one method for a long time until you master it. Trading can be just like other industries—practice makes perfect, allowing you to make every decision instinctively.
This year marks my seventeenth year of trading cryptocurrencies. I entered the market with 10,000, and now I support my family through trading! I can say that I have tried 80% of the methods and techniques in the market. If you want to treat trading as a second career to support your family, sometimes listening and observing more can help you discover things outside your understanding, which could save you at least five years of detours!
Follow me @加密大师兄888 . There are many lost souls on the crypto path; only those destined can be guided, and I am accepting disciples...