The ten-year history of blood and tears in the cryptocurrency world: from losing 700,000 to 34,000,000, I have summarized the anti-explosion warehouse secrets with my life.
As the years pass, it has already been my tenth year struggling in the cryptocurrency world. I still remember when I first entered the scene, I had 1 million in capital, and my head was filled with fantasies of 'getting rich overnight,' but little did I expect that the cruelty of this market far exceeded my imagination — in the first three years, more than 700,000 of my capital evaporated!
In those days, the account balance shrank day by day. Looking at the glaring loss numbers on the screen, I couldn't sleep for nights on end. Walking on the street, even the cold wind seemed to mock my embarrassment; that feeling of falling from the clouds to the bottom of the valley still haunts me. What tormented me even more was that my wife cried all day because of this huge loss, and she had proposed divorce several times, bringing our family to the brink of collapse.
Countless late nights, I reflected in the empty room: Is this life destined to fail in the crypto space? I was unwilling to accept it! I reviewed all my trading records and analyzed them one by one, from K-line patterns to position management, from mindset control to strategy execution, gradually identifying my fatal errors. In the fourth year, holding on to the remaining 300,000, I secretly vowed: This time, I must win it back!
From 300,000 to 34 million: The pits I have stepped in are your stepping stones.
No one knows how I've endured these seven years. To study trends, I slept only 4 hours a day, repeatedly analyzed the K-line charts of BTC and ETH from the past five years; to validate strategies, I experienced liquidation five times in the futures market, each time engraving the reasons for the losses in my notebook; to control my mindset, I forced myself to never chase highs even in a skyrocketing market and to never indiscriminately average down in a plummeting market.
Slowly, I have grasped the market's temperament and summarized a set of 'guaranteed profit' trading logic. Now, the initial 300,000 has turned into 34 million, with stable returns, and my wife has regained her smile. Today, I share these experiences, gained with real money, unreservedly with you, who are still struggling in the crypto space!
From 300 USDT to 100,000 USDT in 3 months: A truly replicable rolling compound interest strategy.
The crypto space is never short of wealth myths, but most people can only be onlookers. Many ask me: 'With such a small capital, how can I double it quickly?' In fact, I once turned 300 USDT into 100,000 USDT in 3 months. This method is proven effective, and the key lies in 'precise allocation + going with the trend.'
1. Capital allocation: Never give zeroing out a chance.
300 USDT may not seem like much, but reckless trading will only lead to rapid zeroing out. My allocation principle is very simple:
150 USDT (50%): Heavy investment in BTC/ETH trend trading, making steady profits in the main track.
100 USDT (30%): Ambush low market cap potential coins, capturing 10x explosive opportunities.
50 USDT (20%): Short-term contract sniping, high volatility accelerates profits.
2. Trend trading: Hold on to the main upward wave.
In January 2024, I noticed that BTC had been hovering around 38,000 for many days, and on-chain data showed that whales were quietly accumulating. I decisively started building positions in batches at 38,500, gradually taking profits at 42,000 and 45,000. In just half a month, 150 USDT turned into 280 USDT. Judging trends is actually not difficult; remember the three cores: on-chain capital flow, moving average arrangement patterns, and changes in trading volume.
3. Low market cap coins ambush: The secret to selecting 10x coins.
99% of low market cap coins are trash, but the remaining 1% can lead to wealth leaps. I only look at three hard indicators when screening projects: Is the team's background transparent? Is there policy support for the track? Is the community's activity genuine? In March this year, I found an animal coin using this method, and it increased 25 times in just 5 days!
4. Short-term contracts: Guaranteed techniques under high risk.
Short-term contracts are a double-edged sword. I once faced liquidation twice due to frequent trading. Later, I summarized three iron rules:
Only open positions at key support/resistance levels; never follow the crowd blindly.
Strict stop-loss: Single losses should not exceed 3% of the principal.
Utilize funding rate arbitrage to earn the exchange's 'hidden profits.'
5. Compound growth: The key from 10,000 USDT to 100,000 USDT.
Once the capital exceeds 10,000 USDT, I use the 'pyramid increasing method' to amplify profits while also laying out cross-exchange arbitrage. Remember: The power of compound interest far exceeds that of a single profit; preserving the principal allows you to laugh until the end.
The 8 major indicators of technical analysis in the crypto space: Universal tools for making money in spot and futures.
The market changes rapidly; having a strategy is not enough; you also need to read indicators. These 8 indicators are a must-see for me daily, helping me avoid countless traps.
1. Moving average: The 'compass' for judging trends.
When the short-term moving average crosses above the long-term moving average, it is a signal to rise; conversely, it is a signal to fall. Using it with trading volume makes it more accurate.
2. Relative Strength Index (RSI): The 'alarm' for overbuying and overselling.
If RSI exceeds 70, be alert for a pullback; if it is below 30, it may be a buying opportunity. Avoid blind trading in extreme ranges.
3. Average True Range (ATR): The 'ruler' for setting stop-loss.
The higher the ATR value, the more intense the volatility. The stop-loss can be set to 1.5 times the current ATR to effectively reduce the risk of liquidation.
4. MACD indicator: The 'dual verification' of momentum and trend.
MACD: Buy when the line crosses above the signal line, sell when it crosses below; an expanding histogram indicates a strong trend, while a contraction may signal a reversal.
5. Bollinger Bands: The 'boundary line' for price fluctuations.
When prices touch the upper band, it indicates overbuying; when they touch the lower band, it indicates overselling. When the Bollinger Bands narrow, a significant market movement is likely.
6. Fibonacci retracement: The 'locator' for support and resistance.
In an upward trend, buying is possible when it retraces to 0.618; in a downward trend, selling is possible when it rebounds to 0.382, accurately grasping entry and exit points.
7. Volume indicator: The 'touchstone' for validating trends.
When prices rise, trading volume increases, making the trend more reliable; if prices rise but volume decreases, it is likely a false increase.
8. KD indicator: The 'timer' for short-term trading.
Buy when K crosses above D, sell when it crosses below, suitable for capturing short-term trading opportunities; beginners should avoid frequent trading.
Practical skills: A single indicator has limitations. It is recommended to use MA + RSI and MACD + Bollinger Bands in combination, and then validate with trading volume to significantly improve the win rate.
Contract liquidation prevention guide: 90% of people make this mistake; don't fall into it!
There are daily liquidations in the crypto space, with light losses wiping out principal and heavy losses leading to massive debts. I experienced liquidation five times and summarized these hard-earned lessons to help you protect your principal.
1. What is contract liquidation?
When the account margin ratio falls below the maintenance margin ratio, the platform will force liquidation, and the loss will be borne by the user. In extreme cases, the user may even owe money to the platform.
2. Why is liquidation easy?
Over-leveraged positions: High leverage + full position trading can trigger forced liquidations with even slight fluctuations.
Not setting a stop-loss: Holding on to luck, causing losses to expand to an unrecoverable level.
Unbalanced mindset: Arrogance leads to refusing to admit mistakes, increasing losses by adding positions against the trend.
3. How to avoid liquidation?
Leverage control: Beginners are advised not to exceed 10 times leverage, keeping the margin ratio above 10%.
Strict stop-loss: Set a stop-loss for every trade, with the maximum loss per trade not exceeding 5% of the account.
Scientific capital management: Total risk capital should not exceed 10% of the portfolio, avoiding over-trading.
For example, using 10,000 USDT with 5x leverage, if Bitcoin drops by 20%, you will be liquidated. But if you lower the leverage to 3 times and set a 10% stop-loss, you can effectively avoid risks. Remember: As long as you keep the green mountains, you don't have to worry about not having firewood!
Final note: The crypto space is a practice, but it is also a test of human nature.
In ten years in the crypto space, I have witnessed the ecstasy of overnight wealth and the despair of losing everything. In fact, the secret to making money in trading is simple: control your hands, set stop-losses, manage positions, and follow trends.
Many people lose money not because they don't understand technology, but because of greed and fear. Remember: The crypto space is not a casino, but a marathon. Building your trading system requires experiencing two bull and bear cycles. Enduring loneliness allows you to maintain prosperity.
Having been through rain, I am willing to hold an umbrella for the leeks! I have organized ten years of experience into the (Crypto Practical Trading Manual), which includes detailed indicator usage, position management templates, and liquidation prevention techniques. Would you like me to help you organize a copy of the practical trading manual?
