If you are in a losing position with your contracts, and you want to turn a loss into a win, please read on.
Then you need to read this article carefully; follow these points to ensure you can achieve profits.
One: Learn to take profits and stop losses.
The market changes rapidly; you must learn to take profits and stop losses. This is not very difficult; taking profits controls your greed. A cryptocurrency will not rise endlessly, nor will it fall indefinitely; there are cycles. Therefore, taking profits becomes especially important. Don't always worry about closing positions too early and missing out on future profits! You must remember that the money in the cryptocurrency market is endless, but the money in your account can be lost completely.
Setting a stop loss means giving up sunk costs, which is also very difficult. Don't always think that if you just hold on a little longer, the market will reverse in the next second; don't think that way. If you're wrong, you're wrong; acknowledge it. Facing the consequences is important. It may hurt to cut losses, but it can save your life.
Two: Do not trade too frequently.
A major taboo is to always think about making money from both sides. Wake up, not many people can do that; be content with making money from one side. Another point is the transaction fees; with low leverage it's manageable, but with high leverage, it's painful. You lose 1-2 points of profit as soon as you open a position. You must ensure that this trade will be profitable; otherwise, it's meaningless, and all your gains will go to the market makers as fees!
Three: Learn to stay in cash.
When you don't understand the market, don't blindly open positions. At this time, you might say that missing out on the market is uncomfortable. So let me ask you: is it more uncomfortable to miss out or to incur losses? Not understanding the market and blindly opening positions is no different from gambling!
Trading is about having a probability advantage; no one can accurately predict whether the market will rise or fall. The market changes too quickly, so you can only say it is highly likely to rise or fall.
Four: Progress step by step.
Don't always think about becoming a big shot in one go; you can't eat hot tofu if you're too impatient!
The cryptocurrency market won't make you rich overnight. For example, if you invest 100 and go long with 10x leverage, your position is 1000. If the price rises by one point, you make 10; if it rises by two points, you make 20, which is just enough for breakfast. Currently, working in a factory earns about 15 per hour. If you place three or four trades a day with a win rate of 60-70%, it's more comfortable than working in a factory.
Five: Never go all in with heavy positions.
Never go all in with heavy positions; if something unexpected happens, you could lose everything. For example, if the market is expected to rise and suddenly a major news event causes it to plunge, and you haven't set a stop loss, then it's over! So don't rush; always take light positions and prioritize stability. The cryptocurrency market is not lacking in trends or opportunities; they will always be there, at least for the next 10 to 20 years. So don't be deceived by the illusions in front of you!
Six: You must ensure that your actions align with your knowledge.
This is indeed quite difficult; even I sometimes can't fully achieve this. Human nature is hard to grasp!
I am also a novice; I didn't understand these basic issues at first. I opened positions blindly without a plan! After being in the industry for a while, you will realize that the cryptocurrency market can truly change your destiny! The prerequisite is that you must have a mindset that surpasses others, the courage to take risks, and the ability to cut losses quickly to survive! Otherwise, you will never become part of that 1% elite.