There is only one way to earn 10 million from 10,000 by speculating on coins in one year: that is, rolling positions + hoarding big bull shitcoins!
仓位管理给大家现在的建议：
1. For example, if you take out 30,000U to do contracts, then my suggestion is to divide it into 3 parts, each part 10,000U.
2. Use one of them to open a position each time, a fixed 10,000U, no more than 10 times for Bitcoin, and no more than 5 times for shitcoins.
3. If you lose money, for example, 1000U, you replenish 1000U from the outside. If you earn 1000U, you withdraw 1000U.
4. Make sure that every time you open a position recently, you can guarantee a fixed position of 10,000U.
5. Until you earn 60,000U from 30,000U in this way, increase each of your positions to 20,000U to do this.
The advantage is: Point 1, divide the position + low leverage to avoid the exchange's pin insertion, which leads to you losing all your funds.
Point 2, avoid the problem of getting carried away. If you get carried away one day and lose all your money, you will only lose 1/3 at most, and the rest can give you a buffer opportunity.
Point 3, maintain a fixed position. You can maintain a relatively peaceful state of mind whether you are losing money or making money, which can help you stabilize your mentality.
The cheat sheet has been given to you, it depends on yourself whether you can become famous in the world.
In the coin circle, if you want to earn 12 million from 10,000 yuan, there is only one way, if you want to be fast, that is rolling positions +
The riskiest method should also be divided into three times. That is, you should give yourself at least three chances.
For example, if the total account funds are 200,000, and the customer allows you to lose a maximum of 20%, which is 40,000, then I suggest that your riskiest loss plan is: 10,000 for the first time, 10,000 for the second time, and 20,000 for the third time. I think this loss plan is still somewhat reasonable. Because if you do it right once in three times, you can make a profit or say you can continue to survive in the market. Not being kicked out of the market is a success in itself, and there is a chance to win.
2. Grasp the overall market trend. Trends are much more difficult to do than fluctuations because trends are chasing highs and killing lows, and you must have the determination to hold positions, while buying high and selling low is very in line with human nature. The more in line with human nature, the less money you make. It is precisely because it is difficult to do that you make money. In an upward trend, you must choose to go long in any violent callback. Remember the probability I said? So, if you are not on the bus, or you get off the bus, wait patiently. If there is a drop of 10~20%, go long boldly.
3. Specify profit and stop loss targets. Profit and stop loss can be said to be the key to determining whether you can profit. In several transactions, we must ensure that the total profit is greater than the total loss. It is not difficult to achieve this. Just do the following: ① Each stop loss ≤ 5% of the total funds; ② Each profit ＞ 5% of the total funds; ③ Total transaction winning rate ＞ 50% meet the above requirements (profit-loss ratio is greater than 1 and winning rate is greater than 50%), you can achieve profitability, of course, you can also have a high profit-loss ratio and low winning rate, or a low profit-loss ratio and high winning rate. Anyway, as long as you ensure that the total profit is positive, the total profit = initial principal × (average profit × winning rate - average loss × failure rate).
4. Remember to avoid excessive frequent trading. Because BTC perpetual contract is a 24-hour uninterrupted transaction, many novices operate every day, and they want to trade every day in a month of 22 trading days. As the saying goes: if you walk by the river often, you will get your feet wet. If you operate too much, you will always make mistakes. After making mistakes, your mentality will deteriorate, and if your mentality deteriorates, you may act impulsively and choose 'revenge' operations: you may go against the trend, or you may have heavy positions. This will lead to one wrong step after another, and it is easy to cause huge losses on the books. These losses may not be recovered for several years.
Points to note when rolling positions:
1. Enough patience. The profit from rolling positions is huge. As long as you can roll successfully a few times, you can earn at least millions. So you can't roll easily. You have to find opportunities with high certainty.
2. A highly certain opportunity refers to a sideways fluctuation after a sharp drop, and then an upward breakthrough. At this time, the probability of a trend is very high. Find the point where the trend reverses and get on the bus at the beginning.
3. Only roll long, not short.
Coin Circle Buy the Bottom and Escape the Top Guide, Teaching You How to Use These Five Major Indicators to Earn Big Money in Cycles
Today I want to mainly introduce how to use indicators to judge tops and bottoms and how to optimize investment strategies.
How to Earn Cycle Money, How to Amplify Your Cycle Returns
2. Five Major Indicators Teach You How to Judge Tops and Bottoms
1. Ahr 999 Stacking Indicator
Indicator introduction: This indicator was created by Weibo user Ahr 999 to assist Bitcoin fixed investment users in making investment decisions in combination with timing strategies. This indicator implies the rate of return of Bitcoin short-term fixed investment and the deviation of Bitcoin price from expected valuation.
How to use:
When the ahr 999 index < 0.45, you can buy the dip:
When the ahr 999 index is between 0.45 and 1.2, it is suitable for fixed investment;
When the ahr 999 index > 1.2, the coin price is relatively high, and it is not suitable for fixed investment.
Recommended reading (Hoarding Bitcoin) written by the indicator author.
2. Rainbow Chart
Indicator introduction: The rainbow chart is a long-term valuation tool for Bitcoin. It uses a logarithmic growth curve to predict the potential future price direction of Bitcoin.
It covers a rainbow-colored band at the top of the logarithmic growth curve channel, attempting to highlight market sentiment in each rainbow color phase as the price passes through it. Thus highlighting potential buying and selling opportunities.
To date, Bitcoin prices continue to remain within the rainbow bands of the logarithmic growth channel.
How to use:
The closer to blue, the closer the price is to the bottom
The closer to red, the closer the price is to the top
3. RSI
Indicator introduction: RSI (Relative Strength Index) is an indicator that measures the speed and magnitude of Bitcoin price changes. It calculates the RSI score based on the performance of the previous 12 months of the observed month to determine the strength of the market trend and whether it is in the overbought or oversold range.
The stronger the upward force, the closer the RSI will be to 100, and a high RSI also indicates that the price change has been more positive in the past 12 months; conversely, the stronger the downward force, the closer the RSI will be to 0, and a low RSI value means that the price change is relatively negative.
How to use:
An RSI value of 30 or less (closer to red) indicates that Bitcoin is oversold or may soon face overselling, making it suitable to consider buying the dip.
An RSI value of 70 or higher (closer to green) indicates that Bitcoin is overbought and may soon face a decline, making it suitable to consider selling.
4. 200-Week Moving Average Heatmap
Indicator introduction: This indicator uses a color heatmap based on the percentage growth of the 200-week moving average.
A color is assigned to the price chart based on the monthly percentage growth of the 200-week moving average.
Historically, Bitcoin prices have bottomed near the 200-week moving average in each major market cycle.
How to use:
The closer the dot color on the price chart is to red, the more overheated the market is, making it suitable for selling;
The closer to purple, the more overheated the market is, making it suitable for buying.
It should be noted that this indicator failed at the top of the last bull market, which shows that we cannot completely rely on indicators. Indicators are just a tool to help us judge, and we also need to consider many other factors to judge.
5. CVDD
Indicator introduction: CVDD stands for Cumulative Value-days Destroyed, which is called cumulative destruction value days in Chinese.
How to use: When the Bitcoin price touches the green line, it means that the Bitcoin price is seriously undervalued and is a good buying opportunity.
Summary
To facilitate readers' use of these indicators, we have created charts for them.
It should be noted that these indicators provide a reference for the timing of buying and selling Bitcoin, and do not mean that other tokens can also be bought.
3. Strategies Suitable for Cycle Trading
When we conduct long-cycle trading, we easily encounter the situation shown in the figure below, which is often caused by subjective judgment errors. If we make a strategy in advance, we can avoid this error.
1. Fixed investment combined with Martingale theory
Let's first understand the concepts of 'Martingale strategy' and 'fixed investment'.
Martingale strategy: The Martingale strategy was originally a gambling strategy, which refers to increasing the bet by a multiple of 2 each time you lose money in a certain gambling game until you win.
Assuming that in a fair bet on big and small, the probability of opening big and opening small is 50%, so at any point in time, the probability of losing once is 50%, the probability of losing twice in a row is 25%, the probability of losing three times in a row is 12.5%, the probability of losing four times in a row is 6.25%,
And so on. The more times you play, the smaller the probability of losing. In theory, it is impossible to lose with unlimited funds.
Later, the Martingale strategy was applied to trading, and the form of expression is to add positions in a pyramid shape (the Martingale strategy can be subdivided into reverse Martingale, forward Martingale, and scalp Martingale. The one we introduce here belongs to reverse Martingale)
Fixed investment: Fixed investment is a long-term investment strategy that averages the purchase price by purchasing assets regularly according to a plan. The strategy emphasizes continuous investment and long-term holding, rather than trying to profit from short-term market fluctuations.
When we use the above indicators, these indicators cannot tell us the precise bottom and top points. They can only judge the relative bottom and top in a cycle, and we cannot keep staring at the indicators, which is why we need to make fixed investments.
How to formulate a strategy: We can apply the idea of the Martingale strategy to fixed investment, so as to minimize our average holding price. The specific strategy can be formulated like this: Assuming that the current Bitcoin price is $37,000, assume that fixed investment starts from this price. According to the above indicators, it can be judged that the current Bitcoin price is in a position that is not high or low, and fixed investment can be made.
We set the benchmark amount for fixed investment at 1000 yuan, and the frequency of fixed investment is set to once a week. In the weekly fixed investment, if the price rises by $1000, we reduce the amount of fixed investment by 5%, and if the price falls by $1000, we increase the amount of fixed investment by 5%, of course, on the premise that the Bitcoin price is still in the fixed investment range according to the indicators.
When Bitcoin rises beyond this range, suspend the fixed investment plan, and resume fixed investment or pay attention to indicators for reducing positions after returning to the fixed investment range. These strategy parameters are just examples, and the rate of return will naturally be different with different strategy parameters. Readers can formulate their own fixed investment strategies according to this process.
Disadvantages: The Martingale strategy is known as 'never losing money', but this is based on the premise that the trading target will not go to zero and the trader has unlimited funds. Therefore, the Martingale strategy is not suitable for trading long-tail assets, and the more funds the trader has, the more the advantages of the Martingale strategy can be reflected.
2. How to use grid strategy to expand returns
When we conduct long-cycle investment, we hold Bitcoin spot in our hands, and the APY of depositing it in a decentralized lending platform is not high; if we deposit it in an exchange's financial management, the APY is considerable but limited. If you want to improve the utilization rate of funds and earn extra income, using a spot grid is a good choice.
Spot grid strategy: The spot grid strategy is an automated strategy that executes low buying and high selling in a specific price range. Users only need to set the highest and lowest prices in the range and determine the number of grids to be subdivided to start running the strategy;
If necessary, you can also preset the trigger conditions, and the strategy will automatically start running when the market reaches the trigger conditions. The strategy will calculate the price of buying low and selling high in each small grid, automatically place orders, and continuously buy low and sell high to earn the income brought by fluctuations as the market fluctuates.
How to formulate a strategy: Generally speaking, the grid strategy is suitable for fluctuating market conditions or fluctuating upward market conditions. Unilateral market conditions are not suitable for using the grid strategy. The disadvantages of the grid strategy are obvious. When the price rises or falls out of the set range, it will sell high or take over, which is why some people call it a garbage strategy.
We have optimized the grid strategy. We do not choose the traditional grid strategy of non-stable currency/stable currency. We choose the ETH/BTC trading pair to use with the infinite grid strategy.
The infinite grid strategy is an advanced version of the ordinary grid strategy. The infinite grid ensures that users hold equivalent denominated currency assets in a rising market. Using the infinite grid strategy, no matter how many times the user sells, they still have assets of equivalent value to the previous position.
For example, if the initial price is 20000 USDT/BTC, and the user has 1 BTC, they have 20000 USDT of assets in the investment. When the price rises to 40000 USDT/BTC, sell 1/2 unit, and the user still has 1/2 unit, still having 20000 USDT of assets in the investment. When the price rises to 80000 USDT/BTC, sell another 1/4 unit, and the user still has 1/4 unit, still having 20000 USDT of assets in the investment.
The infinite grid does not have a definite top range, so using the infinite grid strategy can well avoid selling high due to continuous price increases.
So why did we choose the ETH/BTC trading pair? Our idea for optimizing the grid strategy is how to avoid losses caused by the price exceeding the grid range, but due to the characteristics of the grid strategy itself, it is impossible to solve the losses caused by the continuous decline in price. We can only reduce the losses caused by the decline.
ETH/BTC reflects the relative strength of the trends between ETH and BTC. From the perspective of the cycle, the ETH/BTC exchange rate is a fluctuating upward trend in the bull market and a fluctuating downward trend in the bear market. The ETH/BTC trading pair well matches the infinite grid strategy, which is suitable for long-term slow bull markets.
Moreover, we can not only obtain the income of BTC standard, but also obtain the income brought by the rise of ETH and BTC bull market.
4. Summary
Although the indicators and profit methods introduced in this article are based on Bitcoin as an investment target, readers can also use the ideas of buying the bottom and escaping the top in this article to invest in other currencies. Moreover, the changes in Bitcoin prices also have guiding significance for the trends of other currencies, especially the mainstream currencies with high market capitalization.
No matter what the indicator is, it has its inherent immutability. Although black swan events often occur in the market, the crypto market will not go to zero. As long as it does not go to zero and people participate, the price will continue to rise and fall, and there will be cycles. It is not only an estimate of value but also a test of time.
For ordinary investors, as long as they make good use of the cycle, they can eat the dividends of industry development. It is the same not only in the coin circle, but also in other industries. The multiple is not important. It is most important to be able to continue to survive. The coin circle is not short of opportunities, but the inability to continue to participate.
So what elements are needed to become a trading master? I think there are three:
The first item is objective and neutral. Treat other people's opinions and market news without any thoughts. Maintain objectivity and neutrality without generating any emotions. 行走 is to do it if it meets the rules, and not do it if it does not meet the rules. When there is no market opportunity, read books and drink tea. When there is a market opportunity, pay close attention and be prepared at all times.
The second element is planned trading. As the saying goes, plan your trading, trade your plan. Make a trading plan according to our strategy method. When the opportunity really comes, trade our plan. After making a trading plan, we need to wait patiently and wait for the final confirmation signal. When the market does not have a trading plan, wait patiently for the plan to appear. When the confirmation signal appears, decisively attack, and after opening a position, wait patiently to be stopped loss or reach the profit target position.
Third, no method or strategy is 100% effective. After we open a position, we must prepare for the worst. You can have expectations for the outcome of this transaction, but you can't expect too much. If expectations are not high, there will not be too much pain when the market goes bad. When the market goes smoothly and the result is good, it far exceeds expectations. In the end, trading is like this, without great sadness or great joy. Face the transaction calmly, and the heart is peaceful and serene. If you are overjoyed when you make money and tell everyone, and you are unhappy and even regretful when you lose money, and your emotions are out of control, then it proves that you still have a long way to go in terms of trading.
There are the following short-term operation methods for speculating on coins:
1. Technical analysis: Use technical indicators such as chart analysis and trend analysis to judge price trends, including support levels, resistance levels, moving averages, etc., to find opportunities to buy and sell.
2. News-driven: Pay attention to news and events in the market, and quickly buy or sell by analyzing and predicting their impact on the cryptocurrency market.
3. Intraday trading: Profit by capturing short-term price fluctuations, usually transactions completed within a day.
4. Breakout trading: Judge the direction of the market by observing the changes in trading volume when the price breaks through resistance or support levels, and buy or sell at the appropriate time.
5. Swing trading: Use the characteristics of large price fluctuations to carry out medium- and short-term buying and selling operations.
However, the risk of the coin speculation market is high, and the operation time is short, which requires investors to have a high risk tolerance and familiarity with market conditions. In addition, short-term operations also need to pay attention to controlling risks and reasonably setting stop-loss and profit targets to protect the principal and obtain good returns.
The coin circle is like a marathon. Running fast is not as good as running steadily. The money earned by luck will eventually be lost by strength. Only by engraving position management into the DNA can we survive to the end in this market where people eat people and don't spit out bones. Remember: only by living can you have a chance to turn over.
