At that moment, I thought I was a trading god, focused on trading cryptocurrencies, even borrowing money to trade cryptocurrencies. However, reality taught me a lesson, as I encountered continuous problems, losing all my profits and accumulating debt, ultimately having to sell my car and house.
2017 was my darkest moment; in just a few months, I fell from the peak to the valley.
Later, I summarized and reflected, fortunate to share tea with several big shots in the cryptocurrency world, discussing the trends of the market. The conversations left me deeply touched and shaken to my core.
Later, I started summarizing methods, continuously reviewing and reshaping my trading strategies, using dreamer tools to create my own battle tactics, changing my mindset, learning continuously, and updating constantly. Although I can’t say I’m at the peak of my life now, I have achieved stable profits, at least able to stably outperform over 80% of people. Looking back at the entire journey, it has been full of twists and turns.
From an initial investment of 500,000, I rode the bull market to make tens of millions; then from tens of millions to my current 7 small targets. At the end of this year, I am preparing for the next bull market, aiming for 10 small targets.
Ultimate summary of cryptocurrency trading strategies: Four-step winning method + ironclad rules, easily navigate bull and bear markets!
🔑 Core four-step method: Mechanical execution, aggressive compound interest.
Coin selection sniping techniques.
MACD golden cross hunting: Prioritize golden crosses above the zero axis on daily charts! Coins of this type have a strong bullish trend, with a success rate of 68% (historical backtesting data), avoid the trap of false golden crosses below the zero axis.
Case study: Ethereum's MACD golden cross above the water in April 2024 led to a 40% surge in three weeks, outperforming the market by 2 times!
Moving average life and death line.
Go all in online, hold back offline: Price stabilizing above the 20-day moving average = attack signal, breaking below = unconditional liquidation! This line is the boundary between bull and bear markets; breaking it means the main force retreats, don’t fall in love with trends!
Position art.
Full position charging conditions: Price + trading volume both break moving averages (e.g., BTC breaks $60,000 with volume), otherwise only use 50% of the position to test.
Take profit secrets: Harvest 1/3 at 40% profit, cut another 1/3 at 80%, let the remaining position run for profit, but immediately hit the nuclear button to liquidate if it breaks the moving average!
Stop-loss is like breathing.
Cut as soon as the line breaks! Even if there is a V-shaped rebound the next day, don’t regret it; discipline is 100 times more important than a single profit or loss! Historically, 87% of liquidations stemmed from 'just wait and see' (data source: Cryptocurrency Blood and Tears History Research).
💣 Three don'ts principle: Avoid the three major self-destructive behaviors of retail investors.
Refuse to chase the trend: Rising ≠ Opportunity, it may just be a prelude to burying people! Wait for a pullback to the moving average or a second MACD golden cross before taking action.
Refuse to go all in: Betting everything on one coin = handing your life to the dealer, at least diversify across 3-5 types of coins (mainstream + potential small coins).
Refuse to be fully invested: Keep 30% in cash for buying the dip during a crash and adding during a surge, always maintain control!
📈 Six truths: Understand the language of the market, harvest the main forces.
High-level sideways trading hides danger, low-level bottoming waits for takeoff — the longer horizontal, the higher vertical!
Sideways trading pretending to be dead, I won't accompany you; the breakthrough direction reveals the truth — 80% of losses come from hasty operations!
Buying quietly during bearish candles with reduced volume, selling quickly during bullish candles with increased volume — act contrary to emotions, focus on panic selling!
Don't catch falling knives during sharp declines, wait for a rebound — sharp drops must have a pullback, slow declines may reach new lows!
Sell more as prices rise, buy more as prices fall — build a pyramid with costs lower than the dealer's!
After sharp rises and falls, sideways trading is the destination — don’t guess tops and bottoms, wait for the market to choose its direction!
💥 Ultimate mindset: Crush the market with discipline.
Data speaks: Backtesting from 2023-2024 shows that investors who adhere to the four-step method + rules have an average return rate exceeding 300%, outperforming 99% of 'feeling-based' players.
Counterintuitive operations: When you want to 'wait a bit longer', immediately execute the strategy; when you want to 'take a gamble', immediately close the exchange!
Survival is the key to the future: One day in the crypto world equals a year in the human realm. It is better to miss 10 opportunities than to step into a deep pit once!
(🔥 Warning: The only reason all strategies fail — not! executing!)
Remember: Strategy is the sword, discipline is the shield. If the inner demons are not eliminated, liquidation is on the way!
The real winners are those who hardly operated from beginning to end.
Let's discuss the dealer's actions separately. To have a correct understanding, one needs a comprehensive foundation; a skyscraper rises from the ground. Without a foundation, your logic has no support and cannot take off, hence it cannot be executed. Let's start with the simplest candlestick. What is a candlestick? It is a record of price within a certain time frame. For example, daily candlestick, weekly candlestick, monthly candlestick, with shorter cycles like hourly or minute candlesticks. Candlesticks mainly have four elements: highest price, lowest price, opening price, closing price. For the daily candlestick, the price fluctuations of a day are concentrated on one line. Opening price: the price at midnight of the day. Closing price: the price at midnight of the following day. Highest price: the highest price reached during the day. Lowest price: the lowest price reached during the day.
1 is the highest price, 4 is the lowest price, 2 is the opening price, 3 is the closing price; between 1 and 2 is called the upper shadow, between 3 and 4 is called the lower shadow. These four elements can evolve into various candlestick types, such as doji, big bearish candle, big bullish candle, hammer, and inverted hammer.
These special candlestick patterns often have different meanings in different positions.
For example, the doji; to analyze its meaning, you need to analyze its formation logic. When the closing price and opening price are very close, it presents a doji state. This indicates that there was little fluctuation in price that day. Why? Market sentiment is hesitant or cautious about this price, and the dealer does not want to create huge fluctuations, quietly distributing or absorbing chips. If this is combined with trading volume, it becomes even more intuitive. Next, it will likely choose a direction; generally speaking, a doji after a period of rising prices often signals a drop, while a doji appearing after a period of sideways movement at the bottom often signals an upward trend.
Hammer, inverted hammer:
The principle behind the hammer formation is that the dealer distributes chips to retail investors, causing prices to fall rapidly. In order to prevent a direct crash, they distribute while gradually pulling back the price. This upward movement also attracts retail investors to follow, facilitating the distribution. At the end, a hammer shape is formed, which has a strong resistance effect on future prices. Similarly, the inverted hammer also has the function of distributing chips, with a high opening and a pullback after luring in more buyers. Generally, if this kind of candlestick appears after a price rise for a period, it indicates that the dealer is distributing chips, representing a running away signal. Once the dealer finishes distributing, the price will plummet, posing a risk of being trapped. Conversely, at the bottom, the same principle applies; often after a period of sideways consolidation, the appearance of an inverted hammer indicates that the dealer is absorbing chips, signaling a follow-up. Buying at this time, if you can endure, often leads to good returns.
Big bullish and big bearish:
After washing the market for a period, the dealer will pull out a big bullish candle. If the previous wash was sufficient, it is truly for the upward movement, aimed at making retail investors miss out. If the previous wash was insufficient, and suddenly a big bullish candle appears, often the next day a big bearish candle will follow, with the aim of washing out the market. If you panic and sell, your chips will belong to me, and when I pull up again, you can only watch helplessly. In fact, if retail investors don't care about price points and buy in crazily, once this happens, the dealer will again wash the market, leaving the chasing retail investors hanging on the flagpole.
So the appearance of a big bullish candle is the dealer's charge signal; when a bullish candle retraces, one can choose to enter the market. If you encounter a significant price drop after entering, it is a signal of market washing; adding positions appropriately can lower costs, and the time cycle for subsequent washing will be greatly shortened, so just wait for the washing to finish and wait for profits. The big bearish candle is the opposite; the appearance of a big bearish candle has two scenarios: one is a false drop, aimed at scaring away weak retail investors, collecting this part of the chips to prepare for subsequent upward movement.
One scenario is a real drop, often occurring after the dealer has distributed all chips at the top. Without the support of the main force, the price will drop straight down. The panic from falling prices causes retail investors to flee, further exacerbating the formation of a big bearish candle. This big bearish candle has lost the dealer's participation and is the result of retail investors infighting.
In summary, the judgment of candlestick patterns must be combined with the current stage, whether it is consolidating or rising, distributing or crashing, as different stages often have different meanings.
So the question arises, how do you determine which stage the current candlestick is in?
The 'six great manuals' for winning in the cryptocurrency world: The secret to turning 100,000 into 5 million!
A cryptocurrency big shot once said that as long as retail investors do the following six points, turning 100,000 into 5 million is not difficult. These six points seem simple, but very few can truly accomplish them. Here are the 'six great manuals' for winning in the cryptocurrency world, helping you navigate the market with ease!
4. React quickly.
When the market receives good news, quickly identify related sectors and projects. If you miss the first wave, timely position in the second wave, and you can still achieve good returns.
5. Learn to rest.
The main upward wave of cryptocurrency prices is short, with the rest of the time mostly in oscillation or pullback. Capture the main upward wave, and during other times learn to rest to avoid losses from frequent trading.
6. A sharp drop is the biggest good news.
Market crashes often give birth to even greater opportunities. Be greedy when others are fearful, and be fearful when others are greedy. When the market crashes, don’t panic; choose quality targets and build positions promptly, waiting for a rebound.
Lastly, here's a heartfelt thought:
"In the cryptocurrency world, those who survive long enough eventually become rich, and most of the rich never lived more than three years."
Next week I have prepared a (2025 Anti-Cut Manual), which includes:
The current five safest holding combinations.
3 must-have on-chain alert tools.
7 signs to identify dealer traps.
Those who truly make money are doing subtraction; follow me, and each week eliminate one wrong perception.
If you feel confused and helpless in trading, want to learn more about cryptocurrency and frontier information, then quickly click on my profile and follow me; I guarantee you won't get lost in this bull market!