The cryptocurrency market from 2020 to 2025 showed high volatility: from peaks in 2021 to declines in 2022 and recovery by 2025. This article analyzes success statistics and offers tips on how to trade on the spot market while avoiding risky leverage.

📊 Success statistics of crypto traders

  • Successful traders are few: 7–10% consistently profit, among experienced ones (5+ years) — up to 43%. Newcomers earn >$40k/year only in 7% of cases.

  • High losses: 80% of newcomers lose money due to lack of strategy, #FOMO , or fraud (for example, the FTX crash in 2022).

  • Assets: #solana fell by 94% in 2022 but recovered by 2025, showing the importance of a long-term perspective.

  • Institutions: Only 9% of large players trade crypto, but they are successful due to analytics.

📉 Why do traders lose money?

  • Emotional trading (#FOMO, panic).

  • Lack of knowledge: 80% of newcomers rely solely on technical analysis, forgetting about market manipulation.

  • Fraud: fake Telegram channels, counterfeit exchanges.

  • High volatility: price changes of 20–50% in a day cause panic and provoke rash actions.

  • Leverage: margin trading not only increases the risk of losses but inevitably leads to them.

🚫 Why you shouldn't trade with leverage?

Leverage (borrowed funds) increases potential profit, but also risks:

  • High losses: When an asset falls by 10% with 10x leverage, you lose all your capital.

  • Liquidation: Exchanges close positions upon reaching a critical level, even if the market recovers.

  • Emotional stress: Volatility increases pressure, leading to impulsive decisions.

Alternative — spot market:

  • You trade only with your own funds, with no risk of liquidation. You can hold coins indefinitely.

  • Suitable for long-term strategies (#HODL) and minimizing stress.

  • Easier to manage risks by focusing on fundamental analysis.

✅ Tips for earning on the spot market

  1. 🛠️ Create a strategy: Determine entry/exit points, limit losses (1–2% of capital). Test on demo accounts. If you're unsure of your abilities, buy only basic coins that are likely to grow in the long term. In this case, don't pay attention to price drops, focus only on profit.

  2. 📚 Learn to analyze: Master technical analysis (RSI, support levels) and fundamental analysis (news, capitalization). Don't overindulge in technical analysis.

  3. ⚖️ Manage risks:

    • Invest only what you can forget for a long time. And when trading with leverage, only invest what you can afford to lose.

    • Set stop-losses when trading with leverage.

    • Diversify: combine #bitcoin , #Ethereum , altcoins (#solana , #Cardano ).

  4. ⏳ Be patient: Avoid panic during downturns and euphoria during upswings. Example: buying #bitcoin in 2018 yielded profits by 2025.

  5. 🚨 Avoid scammers: Check Telegram channels, ignore "guaranteed profit."

  6. ⚖️ Keep an eye on the laws: Regulation (for example, SEC decisions) affects the market.

📈 Infographics: The Key to Success

📊 Trader's success
├── 7–10% consistently earn
├── 80% of newcomers lose capital
└── Experience (5+ years) increases chances to 43%

🚫 Leverage
├── ❌ Risk of liquidation
├── ❌ Emotional stress
└── ❌ Complete loss during a downturn

✅ Spot
├── ✅ Trading with your own funds
├── ✅ Long-term strategies
└── ✅ Less stress

Conclusion

Only 7–10% of crypto traders achieve success, but the right approach makes earning real. Avoid leverage due to high risks and focus on spot trading. Develop a strategy, manage risks, learn, and be disciplined. Cryptocurrencies are work, not a game. Start with demo accounts and build your path to profit.