In the cryptocurrency circle, if you want to earn 12 million from 10,000, there is only one way: you keep losing, and if you want to quickly adjust, that is rolling positions+.
When you have a capital of 1 million, you will find that your whole life seems different. Even if you do not use leverage, a 20% increase in spot trading will bring you 200,000, which is already the income ceiling for most people in a year.
Moreover, when you can grow from tens of thousands to 1 million, you will grasp some ideas and logic for making big money. At this point, your mindset will also calm down a lot, and from then on, it will just be about copying and pasting.
Don’t always think in terms of tens of millions or hundreds of millions; start from your actual situation. Bragging only makes the bragger comfortable. Trading requires the ability to identify the size of opportunities; you can't always trade lightly, nor can you always trade heavily. Usually, play around with small amounts, and when a big opportunity arises, then pull out the heavy artillery.
For example, rolling positions is an opportunity that should only be operated when it comes; you can't keep rolling. Missing it is okay because in your lifetime, you just need to roll successfully.
Three to four times can take you from zero to tens of millions, which is enough for an ordinary person to join the ranks of the wealthy.
How to easily catch contract buy and sell points
Although technical indicators originate from traditional markets, they can also be used in investment markets with sufficient competition, such as the cryptocurrency industry.
Let me take the most commonly used MACD indicator in the cryptocurrency circle to analyze the logic behind it: When it comes to this indicator, many cryptocurrency friends' first reaction is to buy on a golden cross and sell on a death cross, which is the simplest way to use MACD.
1. Golden cross:
Golden cross 1: When both the yellow line and white line are below the zero line, and the white line crosses upwards through the yellow line, it indicates that the market is about to strengthen, and the coin price is rebounding and moving upwards. You can buy or hold; this is the first form of the MACD indicator's 'golden cross.'
Golden cross 2: When both the white line and yellow line are below the zero line, and the white line crosses above the zero axis, it indicates that the market has entered a bullish market, and you can add to your position.
Golden cross 3: When both the white line and yellow line are above the zero line, and the white line crosses upwards through the yellow line, it indicates that the market is in a strong area, and the coin price will rise again. You can add to your position or hold for a rise; this is another form of the MACD indicator's 'golden cross.'
2. Death cross:
Death cross 1: When both the white line and yellow line are above the zero line, and the white line crosses downwards through the yellow line, it indicates that the market may enter a weak market, and the coin price may enter a period of adjustment, serving as a sell signal, indicating a small adjustment or a large drop in the short term.
Death cross 2: When both the white line and yellow line are above the zero line, and the white line and yellow line cross below the zero axis, it indicates that the market is entering a bearish market, and you should hold and observe.
Death cross 3: When both the white line and the yellow line are below the zero line, and the white line crosses downwards through the yellow line, it indicates that the market is weak, and the coin price's downward trend has not stopped. You should clear your positions in time to avoid risks.
Next, analyze the usage of divergence
First, talk about the top divergence.
When the trends on the K-line chart of the coin price show higher peaks, and the MACD indicator's red column shapes have lower peaks, it indicates that the coin price's highs are higher than the previous highs.
When the high points of the MACD indicator are lower than the previous high points, this is called a top divergence phenomenon. The top divergence phenomenon generally signals that the coin price at a high level is about to reverse, indicating a short-term drop in price and a signal to short.
Next is the bottom divergence usage
Bottom divergence usually appears in the low price range of the coin. When the trends on the K-line chart of the coin price show that the price is still falling, while the MACD indicator's green column shape shows that the lows are getting higher, i.e., the low points of the coin price are lower than the previous low points, but the indicator's low points are higher than the previous low points, this is called the bottom divergence phenomenon.
Bottom divergence phenomenon typically indicates that the coin price may reverse upwards at a low level, indicating that the coin price may rebound upwards in the short term, which is a short-term signal to go long.
Any main chart indicators and auxiliary indicators are based on naked K as a foundation. Directly analyzing naked K requires a higher level of personal experience and trading skills. To improve win rates, it is necessary to use main chart indicators for assistance. Additionally, theories such as the theory of entanglement, waves, and Gann are currently the most popular and practically significant; as long as one can master them, it is absolutely possible to defeat the market. Take the theory of entanglement as an example; it is the most complete investment philosophy theory, with highly complex theories, and to date, few people have been able to fully understand it, requiring considerable time and effort to study, and even fewer have made big profits after learning it.
In the cryptocurrency circle, pursuing the first million in wealth is especially crucial for strategies, especially for investors with limited initial funds. If you hold a small amount of capital, such as 50 to 100 dollars, a radical yet highly cautious strategy is contract rolling.
First, clarify your goals: Choose popular coins with large intra-day fluctuations and high potential, such as Turbo, Not, People, and other recently active coins, as these coins may bring significant returns in a short time.
Secondly, control risks: Considering the high risks brought by high leverage, it is recommended that beginners start with a lower leverage ratio, such as 10 times leverage instead of 20 times. This way, even if the market fluctuates, you can maintain a higher margin for error and avoid heavy losses from a single pullback. Through precise market analysis and technical indicators, grasp the timing to enter the market and go long with leverage at low positions.
Furthermore, rolling profits: when the position is profitable, you can moderately roll positions by using part of the profits to open a new position to expand returns. But remember, rolling positions requires strict stop-loss settings to prevent profit retracement or even turning into losses.
Finally, maintain calmness and discipline: The cryptocurrency market is unpredictable, and emotional management is especially important. Regardless of profits or losses, you should stick to your established strategy and avoid impulsive trading. At the same time, continuously learn about market dynamics, technical analysis, and risk management knowledge to continuously improve your investment capabilities.
In short, pursuing a million wealth in the cryptocurrency circle with a small amount of capital is not impossible, but it requires the right strategy, strict risk control, and continuous learning and trial and error. Remember, successful investments often stem from careful consideration rather than blind following.
Key points to note when rolling positions:
1. Enough patience; the profits from rolling positions are enormous. As long as you can roll successfully a few times, you can earn at least over a million, so you shouldn't roll easily; you need to find high-certainty opportunities.
2. High-certainty opportunities refer to those that experience a sharp drop and then move sideways before breaking upwards. The probability of following the trend is very high. Find the point of trend reversal and get on board right away.
3. Only roll long, do not take shorts.
I am Biao Ge, after experiencing multiple rounds of bull and bear markets in cryptocurrency, I have been in the industry for three years, mastered it in five years, and dominated it for ten years. I have rich trading experience in many areas of the cryptocurrency circle.
