Three years ago, I witnessed a friend blindly leveraging in contract trading, accumulating huge debts and falling into a low point in life. But no one expected that three years later, he not only paid off all his debts but also achieved a stable eight-figure annual income.
This experience completely awakened me: the crypto market is never a casino for luck, but a battlefield of cognition and execution. Those who think about getting rich overnight are often the first to be eliminated by the market; true comebacks rely on a trading system that withstands the tests of bull and bear markets. Discipline and patience will always yield better long-term returns than high leverage.
Rolling positions is not about 'gambling with leverage'; timing is the key to profitability.
Many traders have turned rolling positions into 'suicidal leverage', thinking that piling on high leverage can earn more, which usually ends in liquidation. But in my view, the core of rolling positions is 'borrowing trends to amplify profits', rather than blindly leveraging — when leverage is profitable, the actual leverage ratio will naturally decrease, which is the best time for adding positions to roll profits.
After years of verification, I only recognize three types of rolling signals, which have extremely high accuracy:
Long-term sideways + volatility dropping to a six-month low, the market is about to choose a direction (signal for a potential breakout);
Sudden deep corrections in strong markets, with unchanged fundamentals (quality buying opportunity);
Key levels breaking on a weekly basis / important support levels breaking down, trend clearly reverses (signal for following the trend).
My practical logic is very simple: either add positions when floating profits (confirming that costs have decreased before acting), or pair the bottom position with swing operations, the core is always 'lower costs, lock in profits', never chase high prices to take over.
Those seemingly 'dumb' yet profitable practical methods.
The longer you trade, the more you understand that complicated indicators are not as good as simple iron rules. Here are a few 'life-saving techniques' I use every day, which beginners can directly apply:
When the market is generally down, if the coin you hold declines significantly less than the market, it indicates that there is capital supporting the price, hold firmly and do not panic;
Beginner exclusive 'moving average discipline': for short-term, focus on the 5-day moving average, for medium-term, look at the 20-day moving average, hold when above the line, decisively exit when it breaks below, never hesitate;
The iron rule of volume and price matching: in a major upward wave, if the volume decreases while prices rise, one can decisively enter; if volume increases while prices rise / volume decreases while prices adjust but the trend is unbroken, continue holding; once there is an increase in volume and the trend line is broken, immediately reduce positions;
Oversold rebound signal: when a coin retreats more than 50% from its high, and has been in a continuous decline for more than 8 trading days, it is often the critical point for a rebound, prioritize choosing leading coins (better to do leading coins than miscellaneous ones).
The truth about contract trading: it is not about amplifying desires, but about controlling risks.
Too many beginners treat contracts as 'tools for quick wealth', which is a complete misunderstanding. In my view, the core value of contracts is 'risk management', not amplifying profits — contract trading without risk control is real gambling.
My contract trading system prioritizes risk control; these three iron rules have never been broken:
Position management: pyramid adding method, the first position should not exceed 1%, add 0.5% after a 2% profit, total position should never exceed 3%; for reducing positions, it's the opposite, reduce 1% position for a 1% loss, clear positions for a 2% loss, never hold on to losing positions;
Stop-loss discipline: set a stop-loss when opening a position, 2%-3% is the absolute red line, once profit reaches 5%, immediately move the stop-loss position to the cost price, prioritize protecting the principal before discussing profits;
Emotional management: after three consecutive losses, mandatory rest for 24 hours, prohibiting revenge trading; insist on writing a trading diary, recording the reasons for each trade, mindset changes, and using data to correct impulsive decisions.
Building your own trading system is the way to long-term survival.
Successful trading has never relied on following trends blindly, but rather on establishing a 'replicable and verifiable' trading system. A complete trading system must include these 6 core elements:
Clear focus: find your advantageous track (for example, whether you are good at swing trading or trend trading, focus on a certain sector), and continue to dig deep;
Matching personality with trading style: if you're impatient, don't force long-term trades; if you lack patience, don't touch short-term trades; what suits you is the best;
Standard operating logic: every transaction must have a clear basis (volume, price, moving averages, fundamentals, etc.), and orders should never be placed based on feelings;
Scientific risk control: the risk exposure of each trade should not exceed 2%-4% of total capital, always leave yourself an exit.
Habitual profit model: practice correct operations until they become instinctive, cultivate the anti-human habit of 'being greedy when others are fearful, being fearful when others are greedy';
Strong self-control: no matter how good the plan is, without execution, it is just talk, stick to your trading plan, and refuse impulsive actions.
Full position vs incremental position: selection logic for different stages.
Many people face liquidation because they do not understand the essential difference between full position and incremental position:
Incremental positions: a stable and well-measured choice, the invested position is calculated independently, losing only the funds of that position will not affect other principal, a must for beginners;
Full position: high risk and high volatility; once the market turns unfavorable, the account may significantly shrink, and the margin for error is extremely low. Only experienced traders with a mature trading system and strict risk control can cautiously attempt it.
The wealth password in long-term trends can also be grasped by ordinary people.
Grasping long-term trends is more profitable than frequent trading. Here are a few trend signals I have verified that ordinary people can implement:
Cycle opportunities: layout mainstream blue-chip coins 180 days before halving, hold until 30 days after halving, this is a historically verified time window;
Opportunities for catch-up: in the same popular sector, the second-tier coins that lag behind in gains often hide catch-up surprises, with better cost-effectiveness;
Technical triple verification: weekly MACD golden cross + daily breakout from the box + hourly volume surge engulfing a bearish candle, when signals resonate, the win rate is extremely high;
Smart money direction: pay attention to significant address accumulation, on-chain trading volume anomalies, follow the direction of capital flow, and avoid 'zombie coins' with no capital attention;
Bear market dollar-cost averaging strategy: in a bear market, invest 10% of the principal every month into quality blue-chip coins, persist for 12 months. Historical data shows this strategy can significantly reduce holding costs, and when the bull market arrives, the returns can be substantial.
Lastly, I want to say: the essence of the crypto market is cognitive monetization.
In the crypto market, there are no shortcuts. Information asymmetry and professional cognition determine whether you are 'the harvested chives' or 'the few who profit steadily'. The boundary of knowledge is your boundary of wealth.
Trading mindset is more important than technical analysis: do not panic during a major drop, do not be greedy during a major rise, taking profits is the ultimate victory. For ordinary investors, steadily building their own trading system, adhering to discipline, and maintaining patience is the way to long-term survival.
The market experiences of the past 8 years have taught me that the crypto market does not lack opportunities, but rather the determination to resist temptation and the ability to continuously learn. I hope my experiences can help you avoid detours in the waves of rises and falls and find the right path for profit.
