In the crypto market, signals are more lifesaving than indicators: from 100,000 to 20 million in 6 years, rapid rises and gradual falls, continuous volume at the bottom... these 6 simple methods have beaten 90% of traders.
In the turbulent spring of 2015, I entered the crypto market with 100,000 yuan. At that time, I looked at the candlestick charts and thought, "Making money isn't hard."
As a result, in two months, I stepped into two pitfalls: chasing the rise of "hot altcoins" and losing 40,000 yuan, then trying to catch the bottom of "crashing coins" and being stuck another 30,000 yuan. When my account was down to just above 30,000 yuan, I sat in front of the computer staring at the screen in a daze—turns out, making money in the crypto market isn’t about "feelings" but about understanding the market's "language."
Later, I did not give up and endured for 6 years, using a simple method of "watch volume, observe emotions, wait for opportunities" to multiply my capital over a hundred times.
With no insider information, no involvement with low-quality projects, and no study of complex indicators, today I share these signals obtained with real money; even learning one can save you tens of thousands in losses.
In this unknown game in the crypto market, mindset is not just an embellishment; it is the foundation of your existence. If you want to stand firm amidst volatility, these "counterintuitive" realizations are worth embedding in your heart:
- Lower the weight of single trades: Don’t let the rise and fall of one trade become the switch for your emotions. Trading is like a long-distance run; occasional stumbles do not affect the final direction. Over-analyzing the gains and losses of a single trade may lead to the cognitive trap of thinking "the present is everything."
- Sign a "no regret agreement" with the market: The moment you press the trade button, you should erase "what if" from your dictionary. The candlestick charts in crypto never lie; closing a position is not the end but a rational acknowledgment of the current outcome—adult decisions inherently carry an "irreversible" attribute.
- Let the plan serve as an emotional "firewall": Panic often arises from being unprepared when the market suddenly changes. Draw up a trading "marching plan" in advance, clearly defining entry logic and exit points. No matter how big the fluctuations, you can hold onto operational anchors, avoiding being led by emotions.
- Set a "red line" for profits and risks: Taking profits and cutting losses is not a numerical game but a lock on greed and fear. Before placing an order, ask yourself, "What is the maximum loss I can accept? At what point should I take profits?" Set the rules and execute them decisively; the psychology of luck is the invisible killer of your account.
- Add a "buffer pad" to your positions: Heavily leveraged trading is like walking a tightrope; it seems profitable, but every step is overextending your margin for error. Trading with light positions is not conservative; it gives you room to experiment—there are always opportunities in the crypto market, but if your capital is gone, it's truly gone.
- Don’t bet against the trend: The market will never reverse just because someone can "hold on"; resisting the trend is essentially gambling with capital. Timely stop losses are not a sign of surrender but preserving the qualification to continue playing. The result of stubbornly holding on is often missing new opportunities while also collapsing your judgment.
- Keep trading cryptocurrencies as a "side activity": For most people, the crypto market should be a "seasoning" to their main life, not the "main course." Using spare money to enter will prevent sleep disturbances due to volatility; not interfering with your main job allows you to maintain the fundamental wealth base—those who truly make big money often do not treat crypto trading as everything.
Ultimately, the crypto market tests not only technical skills but also the mastery of human nature. Use spare money to create a stage for patience, watch less and wait more, distinguish between investment and speculation, so that when the tide recedes, you can still stand. Remember: Behind high returns, there are always high risks. Maintaining the right mindset helps you preserve your capital and keep the possibility of turning the situation around.
Trading insights: The power of persistence and waiting
In the trading arena of cryptocurrencies, persistence and patience contain powerful potential to change outcomes.
When first entering the market, it's inevitable to have an impatient mindset. Seeing slight market movements makes one eager to jump in, and any small profit leads to a hasty exit. In the end, one not only misses big market moves but also often lays the groundwork for mistakes due to frequent trading. It took me time to understand that trading is never something that can be mastered overnight.
Persistence means not giving up easily on the long road of trading. The frustration during consecutive losses and moments of self-doubt are essential tests. But as long as you grit your teeth and keep going, turning every mistake into material for review, you will find that those experiences that once brought frustration have quietly laid the groundwork for growth.
Patience is even more critical. Waiting for clearly defined signals requires patience; don’t act rashly due to anxiety. Market trends are never controlled by individuals, and sometimes you have to wait a long time to see the expected market movements. During this waiting period, maintain your original intentions without being swayed by short-term fluctuations, so you can truly catch those worthwhile opportunities.
With persistence and patience, facing risks becomes more composed. You won’t panic due to a temporary downturn; instead, you calmly analyze the situation and respond according to the established strategy.
Ultimately, in crypto trading, persistence and patience are essential subjects that cannot be overlooked. Maintaining this mindset allows you to walk more steadily and further in a market full of uncertainties.
Last night, I shared a student’s notes in the group, and within half an hour, it went viral.
I organized this into the following text, serving as the "first lesson" for new fans:
After watching candlestick charts for three years, I finally understood one thing: Candlestick charts themselves do not speak; they merely project the "voice of the market maker" onto the screen. Want to predict the future based on a few candles?
No chance; however, if you can understand the market maker's secret phrases, at least you won't be led by the nose.
I summarized three commonly used secret phrases to share with you.
Secret phrase one: False breakouts, true lifts
The script usually goes like this: The price suddenly breaks through important support, and the comment section is filled with wails. Retail investors see the breakdown and rush to cut losses. Meanwhile, market makers quietly buy back the chips and pull the price back above support before closing.
Method of identification:
1. Watch the closing. If the 1-hour candlestick breaks support but closes back above, it is likely a washout.
2. Observe trading volume. If there is a sudden increase in volume during a drop, but a decrease in volume during a rebound, it indicates clear signs of wash trading.
Secret phrase two: Alarm of volume-price divergence
When prices reach new highs but volume shrinks—this is a typical sign of "false prosperity." Conversely, when prices remain stable but volume suddenly increases, it is mostly market makers secretly accumulating.
Last year, I suffered losses in a popular coin: the daily chart showed a new high, but volume decreased day by day. As a result, three days later, a sharp drop erased all profits.
Secret phrase three: The crisis of high-level consolidation
Sideways movement is not a rest; it’s a division of spoils. Bottom-side sideways movement indicates accumulation by market makers; top-side sideways indicates distribution.
Method of differentiation:
1. Bottom-side consolidation, volume gently increasing, and bearish candles quickly being engulfed by bullish candles.
2. When the top-side consolidation sees volume gradually shrinking, and bearish candles slowly engulf bullish candles, a storm is coming if this is accompanied by a significant increase in open interest.
Are candlestick charts useful?
Useful, but don’t just look at price rises and falls; read the intentions behind them.
When you can understand these three secret phrases, the market is like a movie with subtitles—its plot is clear.
Practical tips: How to quickly grow small capital and double it?
I have some practical tips here to discuss how small capital can rapidly grow.
Let me clarify, the small capital I refer to is below 100,000 yuan, for example, 30,000 to 50,000 yuan. If you use such capital correctly, making four to five times your investment in four months is not a dream. A student I mentored, Xiao Jia, started with 70,000 yuan and grew it to 250,000 yuan in four months. He now earns about 40,000 yuan a month from his own account.
However, your capital cannot be too small. A few hundred or thousand yuan—what’s the point of multiplying it tenfold? It’s better to work well. If you really want to do it, at least prepare 30,000 yuan; otherwise, it’s meaningless.
To make big money with small capital, you must go through three stages. I have experienced it myself and seen others do it; none of them can be omitted.
The first stage is losing money.
You must incur losses, and they must be deeply felt. People cannot earn money beyond their understanding; you must pay tuition fees. At this point, when you look at the market, it feels like there are opportunities everywhere, and you want to do everything, but the result is repeated face-slapping and continuous losses. Xiao Jia initially created five trading systems, added positions when one made a little profit, and switched to the next system when it blew up—the result was being beaten back and forth.
Later, I understood: Trading is not about seizing every opportunity but rather finding the opportunities you are best at. If you don’t understand it, don’t trade! Every system has its profitable and losing periods; can you avoid all losing periods and capture all profits? Impossible. Xiao Jia paid a tuition fee of four months and 20,000 yuan for this realization.
The second stage is not losing, but not making money either.
At this point, you already have your own set of methods, but the problem arises: you can't help it. Clearly, the system hasn’t given a signal, but when you see a big bullish candle shooting up, or hear others flaunting profits, you get anxious, and your hands itch to jump in, leading you outside the system again. As a result, you either sell too early, miss out, or incur another loss—losing money is one thing, but your mindset breaks down too.
The most critical aspect of this stage is: you must fully believe in your system. How to believe? Go back and conduct backtesting, do a lot of reviews until you confirm that you are truly satisfied with the win rate of this system. Only then will you know: as long as you persist in execution, a system with a positive expected value can make money. Trading is actually very simple: it's like picking up money that fell in the corner; walk over, bend down, pick it up, put it in your pocket, and walk away. Don’t complicate it.
The third stage finally begins to make money.
At this moment, you are making stable profits, but new issues arise: mindset fluctuations. But let me be honest, all those who complain about their mindset are fundamentally being dramatic. If you want to make big money, you must let go of the small desires to care for your emotions. This is an equivalent exchange—if you want to carry large capital, you must control small emotions. Luo Zhenyu forces himself to wake up early to record audio, Li Na plays tennis until she vomits—who doesn’t find it hard? But they achieve results.
At this stage, mindset and position size are intertwined. I recommend "defining position size based on loss"—before your next trade, determine how much you are prepared to lose on this trade, then work backwards to figure out how many shares to buy. I explained this in detail in my eighth video, so I won't elaborate here. The reason your mindset collapses is often due to an overloaded position size. You may not care about the next trade; however, when it comes to the next hundred trades, your hands start shaking. A small loss makes you want to run, and a small profit feels impossible to hold. Therefore, managing position size is managing your mindset.
To summarize:
These three stages cannot be avoided; the ultimate goal is singular: to create a trading system and persistently execute it.
But I also remind you: Building your own system from scratch takes a lot of time. It’s like the principle of leverage; if you want to save distance, you have to exert effort; if you want to save effort, you have to take a longer route. There are no shortcuts.
But as long as you endure, things will go smoothly afterwards.
My personal views and understanding of the 15-minute short-term trading strategy
I shared a set of 15-minute trading methods for small capital traders, emphasizing the avoidance of common pitfalls, utilizing the flexibility of small capital, and achieving stable profits through a three-step process of determining direction with larger cycles, capturing entry points with dual time frames, and strictly implementing stop loss and take profit strategies.
Common misconceptions and core advantages of small capital trading
- Small capital trading should avoid three major pitfalls:
- Blindly following institutions on **daily long cycles** leads to an inability to withstand pullbacks and significant account losses.
- Overtrading with **high-frequency short-term trades**, where fees exceed profits, ultimately leads to a loss.
- Over-leveraged positions can lead to psychological imbalance, often resulting in cutting losses at the lowest points.
- The core advantage of small capital is flexibility; a rapid entry and exit strategy should be adopted instead of stubbornly opposing large fluctuations.
- The 15-minute cycle is the main battlefield for small capital; don’t be greedy for large fluctuations, just earn small, understandable profits, accumulating little by little.
# Detailed explanation of the 15-minute trading method
- Step one: Determine direction with a long time frame
- Look at **daily and 1-hour charts** to determine direction, and only trade in clear market trends.
- On a rising daily chart and trend moving average, only go long; on a falling chart, only short; rest when it's flat. This strategy can increase profit probabilities to **51%**.
- Look for pressure points and support levels on the 1-hour chart. When prices oscillate between moving averages, short near the upper band and long near the lower band without guessing tops and bottoms.
- Mnemonic: **Look at the daily trend, hourly range. If the direction is unclear, don’t enter.**
- Step two: Capture entry points with dual time frame resonance
- When **3-minute strong resistance resonates with 15-minute resistance**, and encounters pressure from a longer time frame moving average (such as the 1-hour moving average resistance coinciding with the daily Fibonacci level), it is an excellent entry opportunity.
- Practical skills: After discovering a signal, **experiment with small positions**, set stop losses outside the nearest moving averages or resistance levels to control losses.
- Step three: Ironclad risk control rules (stop loss and take profit strategies)
- Be decisive with stop losses: If key moving averages or resistance levels are breached, exit decisively, keeping single losses within an acceptable range (for example, with a 50,000 yuan capital, limit a single loss to **1% to 2%**).
- Take profit steadily: Reduce positions to lock in profits when reaching major support and resistance levels; if a reversal signal appears in a smaller time frame (such as bullish engulfing or bearish engulfing), then close out remaining positions without being greedy for the last profits.
# Core principles and mindset of small capital trading
- Small capital trading does not require the pursuit of **getting rich overnight**; earning **30 to 50 points** daily, accumulating little by little, is victory.
- Emphasize that **discipline is more important than technology**; replace emotions with discipline and rules with feelings, achieving "stability is speed".