Recently, many fans have mentioned that they are just starting and don’t know how to operate. The funds they just entered are also within 1000 USDT, asking me for good strategies, so today I will share my advice.
For example, if you have 1000 USDT, divide it into 10 parts, investing 100 USDT each time, with a recommended leverage of 20x. New traders find it hard to manage a high multiple. The remaining 900 USDT should be placed in a wealth management account. If you lose 100 USDT, don’t think about averaging down. If you lose everything, the first thing you need to do is reflect and summarize, then take a break for 1-2 days. Don’t be afraid of missing out on opportunities; Bitcoin's volatility is always present.
Every month there are big fluctuations, and opportunities depend on whether you have the luck to play. Once adjusted, you can divide the remaining 900 USDT by 10 to make each part 90 USDT, and invest it again. This time be careful to try to earn that money back. Assuming this time you made 300 USDT, you leave 100 USDT, and transfer the remaining 200 USDT out. This way, you’ll feel more at ease, and your mindset will be much better. Never invest all of it; if a black swan event occurs, you could lose everything at once and have to start over.
Objectively speaking, for contract trading, just open at 10x. If your direction is wrong and it drops by 10%, you will get liquidated. And even for BTC, a 20% fluctuation in a year is very normal. If you are fully invested every time, then all your previous gains will mean nothing, and in the end, it’s all zero. Being by the river often, there is no guarantee that you will be right every time.
A great trader has a success rate of 60% which is already impressive. Thus, position management is very important. Even if you have a 90% win rate, one wrong bet can lead to irreversible losses.
Learn trading knowledge, practice light position operations, and reduce losses. Most people lose in trading because they lack understanding of the market and do not know how to control positions and manage risks. Therefore, avoid increasing positions when feeling unwell; instead, reduce or close positions.
If you lose more than 2% of total funds in a day, it’s time to be alert. When losses reach 6%, clear all losing contracts, and after setting a breakeven take profit on profitable contracts, rest for at least 2-3 days. Chasing rises is dangerous; don’t blindly chase unless market conditions are clear. Be cautious when increasing positions after profits, especially after significant gains, as adding positions often leads to failure. If you want to increase your position, either act immediately or wait until a significant correction ends, following the pyramid adding method.
When margin profit exceeds 200%, set 40% drawdown take profit for half, and set breakeven price take profit for the other half. This is to protect profits and ensure that significant gains do not turn into losses. Never trade when feeling down, depressed, or troubled in life. If there is an overall loss in the past 24 hours, you should also rest for 2-3 days.
Never go against the trend, reduce trading frequency, and look for the right time to enter. For correct trades, the right decisions can continuously bring profits.
Newcomer suggestions:
Small funds, starting with 30-50 USDT
High leverage, 20x leverage
Stop loss: set a stop loss upon entry, loss is 20-30 USD
Take profit: hedge take profit (profit drawdown 30%, take profit strategy)
Profit withdrawal, each deposit starts from 500-1000 USD
