In the cryptocurrency circle, if you want to turn 10,000 into 1200w, there is only one way in the crypto world. If you keep losing and want to adjust quickly, that is rolling positions.
Once you have 100W in capital, you will find that your whole life seems different. Even if you don't use leverage, a 20% increase in spot trading means you have 20W, and 20W is already the income ceiling for most people in a year.
Moreover, when you can grow from tens of thousands to 100W, you will grasp some ideas and logic for making big money. At this point, your mindset will also calm down a lot, and from then on, it's just copy and paste.
Don't just talk about tens of millions and billions. Start from your own actual situation; boasting only makes the cow comfortable. Trading requires the ability to recognize the size of opportunities. You can't always have a small position, nor can you always have a heavy position. Usually, just play with small guns, and when a big opportunity comes, then pull out the damn Italian cannon.
For instance, rolling positions is an opportunity that can only be acted upon when the big opportunity arises. You cannot keep rolling; missing out is not a problem because you only need to roll successfully once in your lifetime.
With three to four successful rolls, you can go from zero to tens of millions. Tens of millions are enough for an ordinary person to upgrade to the ranks of the wealthy.
How to easily catch contract buying and selling points
Technical indicators, although originating from traditional markets, can also be used in fully competitive investment markets, such as the cryptocurrency industry.
Let me analyze the logic behind the most commonly used MACD indicator in the cryptocurrency circle: many cryptocurrency friends first think of a golden cross for buying and a dead cross for selling, which is the simplest way to use MACD.
1. Golden Cross:
Golden Cross 1: When both the yellow line and the white line are below the zero line, and the white line crosses above the yellow line, it indicates that the market is about to strengthen, and the price has stopped falling and is rising. You can buy in or hold your coins; this is the form of the MACD indicator's 'Golden Cross.'
Golden Cross 2: When both the white line and the yellow line are below the zero line, and the white line crosses above the zero axis, it indicates that the market has entered a bullish market, and you can increase your position.
Golden Cross 3: When both the white line and the yellow line are above the zero line, and the white line crosses above the yellow line, it indicates that the market is in a strong zone, and the cryptocurrency price will rise again. You can increase your position or hold onto your coins for appreciation. This is the form of the MACD indicator's 'Golden Cross.'
2. Dead Cross:
Dead Cross 1: When both the white line and the yellow line are above the zero line, and the white line crosses down through the yellow line, it indicates that the market may enter a weak market, and the cryptocurrency price may enter an adjustment period, which is a sell signal and suggests a short-term slight adjustment or a significant drop.
Dead Cross 2: When both the white line and the yellow line are above the zero line, and the white line and yellow line cross below the zero axis, it indicates that the market has entered a bearish market, and you should hold your position and observe.
Dead Cross 3: When both the white line and the yellow line are below the zero line, and the white line crosses down through the yellow line, it indicates that the market is weak, and the price decline has not stopped. You should clear your positions in time to avoid risks.
Next, let’s analyze the application of divergence.
Let's first discuss bearish divergence.
When the trend on the candlestick chart shows peaks that are progressively higher, and the price is continually rising, while the MACD indicator's graphical representation composed of red bars shows peaks that are progressively lower, this indicates that when the price's high is higher than the previous high,
When the peak of the MACD indicator is lower than the previous peak, this is called a bearish divergence phenomenon. The bearish divergence phenomenon generally indicates a signal that the cryptocurrency price at a high level is about to reverse, suggesting that the price will likely drop in the short term, which is a signal to short.
Next is the application of bullish divergence.
Bullish divergence generally occurs in the low price area of cryptocurrencies. When the trend on the candlestick chart shows that the price is still falling, while the MACD indicator's graphical representation composed of green bars shows that each low is progressively higher, this indicates that the price's low is lower than the previous low, while the indicator's low is higher than the previous low. This is called the bullish divergence phenomenon.
The phenomenon of bullish divergence generally indicates a signal that the cryptocurrency price may reverse upward at a low level, suggesting that the price may rebound upward in the short term, which is a signal for short-term long positions.
Any main chart indicators and auxiliary indicators are based on naked K (candlestick) analysis; of course, directly analyzing naked K requires a high level of personal experience and trading skills. To improve the winning rate, it is still necessary to use main chart indicators for assistance. Additionally, concepts like Chen Theory, Wave Theory, and Gann Theory are currently the most popular and practically significant. Mastering these can definitely help you conquer the market. Take Chen Theory as an example; it is a complete investment philosophy theory, and the theories within are quite complex. Very few people have fully understood it so far, and it requires a significant amount of time and effort to study, with few achieving great profits after learning.
In the cryptocurrency circle, pursuing your first million in wealth is crucial, especially for investors with limited initial capital. If you have a small amount of capital, such as $50 to $100, a strategy that is aggressive yet requires high caution is to roll positions.
First, clarify your goals: Choose popular cryptocurrencies with significant intraday volatility and high potential, such as turbo, not, people, and others that have been active recently. These cryptocurrencies may bring high returns in a short period.
Secondly, control risks: Given the high risks brought by high leverage, it is recommended for beginners to start with a lower leverage ratio, such as 10x instead of 20x. This way, even if the market fluctuates, you can maintain a higher margin of error and avoid heavy losses from a single correction. By utilizing precise market analysis and technical indicators for assistance, seize the right entry timing and perform long positions with leverage at low levels.
Furthermore, rolling profits: When your positions are profitable, you can moderately roll positions, using part of the profits to open new positions to expand your gains. But remember, when rolling positions, you must strictly set stop-loss points to prevent profit erosion or even turning into losses.
Finally, remain calm and disciplined: The cryptocurrency market is full of uncertainties, and managing emotions is especially important. Regardless of gains or losses, you should adhere to your established strategy and avoid impulsive trading. At the same time, continuously learn about market dynamics, technical analysis, and risk management knowledge to constantly improve your investment skills.
In short, pursuing million wealth in the cryptocurrency circle with small funds is not impossible, but it requires the right strategy, strict risk control, and continuous learning and trial and error. Remember, successful investments often stem from careful consideration rather than blind following.
Points to note when rolling positions:
1. Sufficient patience; the profits from rolling positions can be immense. As long as you can successfully roll a few times, you can earn at least a million level or more. Therefore, you should not roll easily and must look for high certainty opportunities.
2. High certainty opportunities refer to situations where the price drops sharply, then consolidates sideways, and then breaks upward. In this case, the probability of following the trend is high, so you should find the point of trend reversal and get on board from the beginning.
3. Only roll long positions, do not take shorts.
I am Xiao Xun. After experiencing multiple rounds of bull and bear markets in the cryptocurrency space, I entered the industry three years ago, became proficient in five years, and dominated for ten years. I possess rich trading experience across many fields in the cryptocurrency circle. Follow Xiao Xun, and here, clear the fog of information and gain insight into the real cryptocurrency market. Seize more wealth growth opportunities and discover truly potential cryptocurrencies; do not miss out on great opportunities anymore! A hundred lilies given to others leave a lingering fragrance in the hand. Thank you for your likes, follows, and collections! Wishing everyone financial freedom by 2025!$BTC
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