I have been trading cryptocurrencies for 10 years and professionally for 6 years, over 1800 days. Starting with a capital of 200,000, I have experienced various pressures, pain, and confusion over these years, ultimately achieving enlightenment, simplifying trading techniques, and in just three years, I have easily withdrawn 48 million from the cryptocurrency market!
Achieve continuous and stable profits, and make trading cryptocurrencies your livelihood! So far, I have also profited enough for a house in Shenzhen, a car, and several savings and assets.
I have done long-term, short-term, ultra-short, and swing trading; I have tried almost every type of method.
Someone asked me how to turn $3000 into 100 times?
Try earning 10% every month; do you think you can fantasize about earning 1 million using compound thinking?
That can only be a fantasy; I tell you the reality is that you can only earn 100 times by relying on each 10 times, 5 times, or 3 times.
Compound interest is one of the eight wonders of the world...
You only need to get liquidated once, and you will never listen to these toxic motivational speeches again!
Overcoming class barriers in cryptocurrency trading relies absolutely not on compound interest, but on cycles, liquidity, and price behavior.
Use cycles for contracts:
The larger the cycle you observe, the higher your chances of winning; essentially, the cryptocurrency market is a global financial market, and you are playing a trading game with people worldwide, and now you need to take money from their wallets.
How to take it?
Use slow money to earn fast money, use smart money to earn dumb people's money.
The vast majority of people in this world are impatient, lack strategies, and are reckless. Most people open positions based on one 'rush' without focusing on their positions, entry timing, or risk level.
They only focus on how to profit quickly, so they rush in and out, betting large amounts, and end up getting liquidated.
They trade for profits and losses of dozens of points; you should extend your positions a bit, aiming for 200-point profits and stop-losses to increase your chances of winning.
Your capital will consume such capital; it is not about how smart you are or how patient you are; you are actually utilizing a crucial factor—'cycles.'
When Bitcoin's price was $3000, it fluctuated about dozens of points daily; at $10,000, it was 200 points; at $30,000, it was around 1000 points; and at $58,000, the current price, it fluctuates about 2500 points daily.
But your liquidation price can only bear… a fluctuation of 300 points. I understand your ambition, but you can't treat volatility lightly!
You don’t need to understand these concepts only after getting liquidated; you should understand them right now!
You control your risk well; even if you open contracts at 1000 times leverage, it doesn't matter. You only need to care about where your risk value stands.
Let me give you an example: for this bull market, there is a large cycle, within which there are countless small cycles, and within each small cycle, there are nested cycles; these small cycles oscillate back and forth but always move towards a peak in the bull market.
You judge where the low point of a small cycle is at this moment, which is unlikely to be broken, and then trade within this cycle; there's no need to look at pressure levels, support levels, or resistance levels. In this small cycle, your trades are the best.
The essence of contract trading: From gambler's thinking to systematic profitability.
Most people turn contract trading into 'random dice rolling'—opening positions based on feelings and closing based on emotions, ultimately accelerating their way to zero under the leverage effect. Traders who achieve stable profits understand one principle: the core of contracts is not predicting price movements but establishing a triangular system of 'system defense + disciplined execution + risk pricing.' Combined with a practical framework verified by over 300 trades, these three logical frameworks can help you avoid 90% of fatal traps.
1. Directional judgment: Replace emotional betting with probabilistic thinking.
Treating long and short choices as 'guessing highs and lows' is the most fatal cognitive bias for beginners. Professional traders' opening decisions always adhere to the principle of 'trend confirmation takes priority over directional choice.'
Trend filtering mechanism: After the EMA50 and EMA100 on the 4-hour chart form a golden cross (or death cross), it must be confirmed with the closing prices of 3 K-lines, filtering out 62% of false breakout signals. In a volatile market (Bollinger Bands opening amplitude < 50% of the average over the last 20 days), directly abandon directional trading.
Pre-risk assessment: Before opening any position, you must answer three questions: What historical percentile is the current volatility in (which determines the leverage multiple)? Are there any events in the last 24 hours that could affect the market (like the Federal Reserve's decisions)? Does the stop-loss level fall outside the key support/resistance (to ensure it is not swept away)?
Leverage matching formula: Leverage multiple = 20 ÷ Daily volatility (%). For example, when BTC has a daily volatility of 5%, the maximum leverage to use is 4 times, ensuring that the maximum single loss is kept within 2% of the principal.
Remember, under 10 times leverage, a 1% reverse fluctuation will wipe out the principal. This 'limited profit, unlimited risk' asymmetrical structure means that directional judgments must be based on certainty—entry points confirmed by a breakout and a pullback, even if it sacrifices 30% of potential gains, offer better survival advantages than blindly chasing trends.
2. Strategy system: Let the profit model be free from human interference.
The operational trajectory of ordinary traders is 'emotion-driven,' while stable profit-makers rely on 'rules-driven' strategies:
1. The oscillation capture technique of grid trading.
Applicable during the contraction phase of the Bollinger Bands (upper and lower band spacing < 10%), achieving automated arbitrage through preset price difference orders:
Parameter settings: When BTC is in the range of 60K-65K, set a hedge order for every 0.5K, and the amount of long orders increases as the price falls (the position near the lower bound is 2 times that of the middle bound).
Risk control: Single position profit target of 1.5%-2%, trigger automatic pause after 3 consecutive losses to avoid systemic risks during trend reversals.
Practical data: Operating with 3 times leverage + 20% position, the daily yield remains stable at 2.3%-4.7% in a volatile market, with maximum drawdown not exceeding 3%.
2. Risk-free arbitrage with funding rates.
Utilizing the pricing discrepancies between perpetual contracts and spot, construct a risk-hedging portfolio:
Core logic: When the funding rate exceeds 0.1% for 3 consecutive hours, establish a hedging position of 'long spot + short contract' to profit from the difference between the funding rate and holding costs.
Optimization technique: Choose periods when the funding rate diverges from the spot premium (e.g., when the rate is positively premium but spot is at a discount), annualized arbitrage space can reach 12%-18%.
Applicable scenarios: Cryptocurrencies like ETH and SOL with significant funding rate fluctuations can achieve monthly arbitrage returns of 1.5%-2% of the principal.
3. Event-driven dual hedging.
In the face of major events like CPI data releases and Bitcoin halving, adopt the strategy of 'equal long and short + stop-loss on breakout':
Execution details: Long and short positions must be strictly equal (error < 5%), stop-loss levels are set 1% outside the high/low points before the event.
Trigger mechanism: When the market breaks through unilaterally by 2%, immediately close the opposite position and retain the trend-following position to enjoy trend dividends.
Practical verification: During the Federal Reserve's interest rate hike event in 2024, this strategy captured an 8% unilateral market for ETH, achieving a yield of 5.3% after deducting fees.
Risk control: Survival is a prerequisite for profit.
The root of all liquidation cases is violating the principle that 'risk-reward ratio comes before profit expectations':
Dynamic position balancing: Initial position should not exceed 3%; after two consecutive profits, it can be increased to 5%, but if a single loss reaches 1% of the principal, it must be reduced to 1%.
Iron rule for executing stop-losses: Use the 'volatility stop-loss method,' where the stop-loss margin = daily volatility × leverage multiple × 0.618, ensuring that 90% of normal fluctuations do not trigger stop-losses.
Emotional management system: After three consecutive losses, a 24-hour cooling-off period is initiated, and the trading log must record the 'emotional score at the time of opening' (1-10). If the score > 7, trading is forcibly paused.
The most critical bottom line is: Always use 'risk budget' rather than 'living funds' for trading. Divide the principal into 10 parts; after consuming one part, pause trading for a review. This 'batch investment + dynamic assessment' model allows you to accumulate experience through trial and error rather than losing all opportunities at once.
The ultimate test of contract trading has never been the accuracy of predicting the market but maintaining the consistency of the system amid uncertainty. When your operations evolve from 'guessing up and down based on K-lines' to 'making decisions according to rules,' profits will become a certain outcome rather than an accidental event. Starting from strictly executing 100 trades in a simulated environment, this logic will tell you that true compound interest in cryptocurrency comes from the continuous taming of human weaknesses.
From staying up all night watching the market to understanding life: The secrets of rolling positions from experienced traders hide the survival rules from grassroots to wealth!
1. First understand: What exactly is rolling positions? It’s not about blindly adding leverage; it's 'using profits as bullets.'
Many believe rolling positions is just 'full positions + high leverage + stubborn holding,' which is pure nonsense. The real rolling position, as Tony wrote in his notes, is 'like rolling a snowball; first use a small amount of snow (capital) as the base, wrap it with a layer of snow (profit), and then keep rolling with more; the more you roll, the more stable it becomes, rather than smashing snow against rocks.'
Taking a recent market example: He had a principal of 10,000 and first opened a short position of 1,000 at 10 times leverage (only using 10% of his position). If it dropped 1%, he made 100. At this point, he did not close his position but added the 100 to make it 1,100 and continued shorting—this is 'using profits to increase positions,' maintaining the original principal of 10,000. If it drops another 1%, the profit becomes 110, which is then added… Just like that, after a 20% drop, a principal of 10,000 could yield 1,000,000. This is the essence.
Most people fail because they start with their entire capital, add to their positions when it drops, and end up stacking higher leverage, getting liquidated at the slightest market rebound.
2. The three axes of rolling positions: Only what can be replicated is true skill.
From 50,000 to 20 million, it’s not luck but three iron rules that still hold true today:
1. First use a 'trial position' to explore; acknowledge mistakes and roll forward with correct decisions.
During the ETH surge in 2021, he first opened a long position of 2500, earning 75 when it rose 3%, then added that 75 to make 2575. When it rose another 3%, he earned 77 and continued to add... Just like that, he rolled bit by bit, never starting with a heavy position.
2. Each time you roll, 'lock in' a portion of the profit; the principal remains safe.
This is Tony's harshest move: every time he earns 50%, he converts 30% of the profits into USDT. For example, with a principal of 50,000 rolled to 75,000 (earning 25,000), he transfers 7,500 to a cold wallet; the remaining 25,000 - 7,500 = 17,500 continues to roll.
He said: 'This money is 'life-saving money'; even if I get liquidated later, at least what I have in my pocket is mine.' At the peak of the bull market in 2021, he used this tactic to lock in 5 million in advance. When the bear market came, others lost everything, but he could still laugh and buy the dip.
3. Take profits when you can; don't be greedy for ‘the last penny.’
Tony set a strict rule for himself: A single rolling position should not exceed 5 times, and he will close out once total profits reach 10 times. If he rolls from 50,000 to 500,000, he stops and switches to a new position. He said, 'Rolling positions is like picking fruit; pick it when it's ripe; don't wait for it to rot on the tree.'
Most people fail in 'wanting to roll until the end of time': rolling 10,000 to 100,000, then aiming for 200,000; reaching 200,000, aiming for 500,000, but when the market turns, they lose even their principal.
From $300 to tens of thousands of dollars: A template for beginners to roll positions.
Don’t think rolling positions are only for big players; you can also play with $300 (2000 RMB), just follow the steps:
Step one: Break down the money: From $300, allocate $200 as the 'principal pool' and $100 as the 'trial position' (maximum loss does not affect the principal).
Step two: Open positions: Each time, use $10 to open a position with 10 times leverage (a $100 trial position can be opened 10 times); the direction must be clear (for example, if you are bearish, stay bearish and don’t switch back and forth).
Step three: Start rolling: When you earn, add the profit (for example, if you earn $1 from $10, use $11 to continue opening positions); if you lose, switch to $10 and try again, never adding to the capital.
Step four: Lock in profits: When you roll to $200 (doubling), transfer $60 to the principal pool and continue to roll the remaining $140.
Last year, a fan used this tactic to roll $300 into $8000. He said: 'The key is to 'lose small and win big'; I’m not afraid of being wrong 9 times out of 10, as long as I'm right once, I can roll it up.'
4. Why do you always get liquidated playing rolling positions? These three pitfalls are the ones 90% of people fall into.
Can't help but be hands-on, frequently opening orders: Some people open 10 orders in one day, with transaction fees higher than profits, and before the market moves, their trial positions are wiped out. Tony's rule: Open a maximum of 3 orders per day, stay out of the market if there are no signals, even if you miss the market movement.
Impatience leads to wanting to achieve everything at once: As soon as a position is opened, one hopes for a crash or surge; panicking at a 1% drop or getting greedy at a 1% rise. Rolling positions rely on 'compound interest'; a 1% fluctuation rolled 10 times equals 1.1^10 ≈ 2.6 times—patience is key.
Not executing plans, emotional operations: Clearly set a target of 'locking in profits after 50% gain,' but seeing the market still rising, you think 'let's wait a bit longer'; when losing, you think 'let's leverage to recover,' and in the end, you sink deeper.
Remember: The core of rolling positions is 'discipline > judgment.' If the direction is wrong, you can change it, but if discipline breaks, you'll certainly get liquidated.
To put it frankly: Rolling positions is not a 'shortcut for the poor to get rich,' but a 'training ground for the ruthless.'
Before Liangxi made 10 million, he had been liquidated 8 times; Tony went from 50,000 to 20 million, with 3 near-zero experiences in between. In their stories, luck accounts for only 10%; the remaining 90% is about 'enduring solitude, withstanding fluctuations, and adhering to discipline.'
If you have 10,000 or 300 dollars and want to try rolling positions, first ask yourself: Can you accept 10 consecutive losses without panicking? Can you stop after gaining 10 times? Can you strictly execute the plan without being swayed by emotions?
If you can do it, rolling positions is your tool; if you can't, it becomes your grave.
Money in the cryptocurrency realm is never 'gambled away'; it's 'calculated'—calculate risks, calculate profits, calculate every step's retreat before taking action. This is the truth of rolling positions.
Daily trading routine: The unknown side.
Staying up all night becomes commonplace.
Staying up late is not even called staying up for our group; it’s just everyday life. So you often see so-called genius traders looking much older than their age. Fortunately, I still pay great attention to my appearance; after all, I make a living based on looks, haha~
Not as carefree as imagined.
It's not as glamorous as you might imagine, with parties and indulgences every day; more often, it’s a state of just getting by. Even when I go out to have fun, I can't fully immerse myself; a state called anxiety urges me not to stop. Because there are too many people who trust us, each trust is actually a kind of pressure for us, and pressure pushes us to become better.
Every day is not about feasting and socializing, but about endlessly watching the market, keeping up with news, and reflecting; at least that's how I am. The messages on my phone are endless.
Pressure is always present.
Speaking of the pressure in trading, it truly follows you like a shadow. At first, I thought about how to solve the pressure, but over time, I realized I could only continuously enhance my ability to bear pressure. Some ask why I always watch the market? Because contracts are primarily for short-term trades, so I always look for suitable opportunities. Then there's the need to respond to various questions from others; I'm still quite nice, haha, and the differences in positions can be very large; those who understand, understand.
My trading principles.
Say goodbye to feeling-based trading; respect market sentiment. Trading based on feelings often strays from market reality, just like sometimes you feel a coin will rise, but the market sentiment is bearish, resulting in disappointing outcomes. Only by respecting market sentiment can you align more closely with market trends.
Strictly set stop-loss levels; the stop-loss level must consider market conditions and your acceptable loss. This is key to controlling risk; once the stop-loss level is reached, exit decisively without any illusion of luck.
Stick to your original view; if you're wrong, pay for it. The views you derive from your analysis must be executed firmly; even if proven wrong in the end, be brave enough to bear the consequences.
Trading is not about who earns the most, but about who can go the furthest. Temporary high returns don't mean much; the real way to succeed in this market is to survive long-term.
What trading has taught me about life.
From trading, I have seen through the meaning of life and learned to examine everything around me from the perspective of volatility and probability, to see clearly what I want; this is my greatest gain from studying and researching trading.
Since I thought I had gained enlightenment, I buckle my seatbelt while driving, quit smoking, remain humble, work diligently, love learning, love working, and treat everyone and everything around me well. Breaking bad habits comes naturally and effortlessly. I bought a cheap jade and engraved it with 'A modest gentleman is as warm as jade' to encourage myself.
I have realized many truths; casually mentioning one, all correct purposes are to self-validate errors. I humorously verified it. Now, trading wants me to quit trading. Really, I suddenly feel that a life of being in the fast lane has no meaning; this way of making money has no value and will destroy my hope for the future.
I want to temporarily escape the lonely life and do things I love outside of work. I started learning to write with a brush every day, learning sketching, appreciating famous paintings, playing the electronic piano, listening to music, studying psychology, reading classic literature, actively smiling and chatting with others, inviting people to dinner when I have the chance, and strolling through parks to enjoy nature. The happiest things have nothing to do with money. I never wanted to change anything; I’m just happy to see and experience more of this world. Humanity has inherited so much interesting and lovely culture; why would you entrust your whole life to K-lines and remain lonely for a lifetime?
These are all lessons the market has taught me; the true essence of trading is to reflect on one’s inner self and see clearly what one wants! If you manage to have a balance of tension and relaxation, the market will also show you respect; if you are greedy, the market will surely leave you burned out; if you try to defeat the market, the market will ensure you have no place to bury yourself.
"I have been very unsuccessful in my life!" This is the reflection of successful speculative predecessors who committed suicide. Speculation is too fast and crazy; since the body can't keep up, why not slow down?
If you ask me what the true meaning of trading is? I only seek one defeat. If you ask me what the true meaning of life is? I only seek one death. Do you think this is pessimistic? Do you think this is arrogant? No! This is a calm and peaceful attitude towards the game, neither sad nor happy, neither fearful nor daunted.
