In the tail end of the bear market in 2022, I rushed into the crypto world with the fantasy of 'buying the dip and doubling down,' pouring all my savings of 150,000 accumulated over three years into Binance. At that time, I had a rudimentary understanding of candlestick charts and followed the 'gurus' in the community to chase highs and sell lows, heavily investing in altcoins based on news, even adding 5x leverage to bet on a rebound.
The first time I got liquidated came as a shock. One night, mainstream coins suddenly plunged, and my leveraged position was forcibly closed, causing my account balance to shrink from 80,000 to less than 20,000 in an instant. Watching the 'liquidated' notification on the screen, I couldn't sleep all night, feeling both the pain of losing my hard-earned money and the unwillingness to leave the market just like that. In the following month, I, like a gambler eager to recover my losses, engaged in frequent trading and blindly swapped coins, ultimately losing the remaining over 10,000 to just 3,000. During that time, I even avoided gatherings with friends, completely engulfed in self-doubt.
After reflecting on my pain, I deleted all the 'signal groups' and began to focus on learning. I studied the basics of candlestick charts, MACD, and RSI indicators on Binance Academy, followed the position management videos of experienced traders, and printed out historical charts to repeatedly analyze trend patterns. I set strict rules for myself: the risk for a single trade must not exceed 2% of my account funds, I will never touch leverage above 10 times, and my holdings in altcoins must not exceed 30% of my total funds.
I used the remaining 3000 yuan in a small position to test my strategies, recording every trade in my notebook: entry logic, stop-loss and take-profit points, reasons for gains and losses. Initially, I still made mistakes, such as mistakenly entering a trade thinking a rebound was a reversal, or being greedy and missing the take-profit point, but after each loss, I would review and improve. Gradually, I learned to wait for the right entry timing, only taking action when the trend was clear, controlling risk with stop-loss lines, and locking in profits with partial take-profits.
In the second half of 2023, as the cryptocurrency market warmed up, I accurately captured two waves of mainstream coins thanks to solid analysis. First, I built a position when ETH retraced to 1500 dollars, setting a stop-loss at 1400 dollars, and took partial profits when it rose to 1800 dollars, earning my first considerable profit; then, I followed the upward trend of SOL to increase my position, and thanks to a strict take-profit strategy, my account funds surpassed 100,000.
Now my account balance has returned to above the original principal, and I have achieved stable profits. Looking back, trading cryptocurrencies was never a gamble based on luck; it requires knowledge, patience, and discipline. Binance has provided ordinary people with the opportunity to participate in the crypto market, but the true key to profitability is always hidden in the process of continuous learning and in the mindset of respecting the market.
