Starting with a small amount of capital, I have tried many methods and eventually found that these few are the simplest and most effective.

First, when choosing coins, don’t rely on feelings; look at the popularity. Follow where the funds are flowing. Don’t dig into those stagnant, obscure coins; if you’re going to play, play with those that have movement. My personal habit is to take a quick glance at the gainers list in the morning, but I generally don’t look at those that have already surged by 7% or 8%—those are for others to take over. I look for coins that have just started and have increased by less than 5%, which indicates that the main players have just started moving, and there is still room for growth.

For short-term trading, don’t get emotionally attached. To grow a small amount of capital, you need to turn it over quickly. Before entering a trade, think about when to exit; don’t hold on just because you feel “it can still rise.” Be willing to take profits and be decisive in cutting losses. Short-term trading is like guerrilla warfare; whether you win or lose, you must withdraw quickly and wait for the next opportunity.

Trust the trend, don’t fear the price. Many people hesitate to buy when the coin price hits a new high and rush to buy when it has dropped significantly. That’s wrong. Once a trend is established, what seems expensive can become even more expensive, and what seems cheap can become even cheaper. Your job is not to guess the top or the bottom but to wait for the trend to be confirmed and then follow it for a while.

Position size is crucial. I never let a single trade exceed 30% of my starting position. For example, if I believe this market trend is correct, I will first invest 20% and confirm that the trend continues before gradually adding more like building a pyramid. This way, even if I’m wrong the first time, it won’t hurt too much.

Identify a key moving average. I particularly pay attention to the 10-day moving average. Many strong coins will pull back after a surge; as long as they firmly hold above the 10-day line, there’s a high probability that the main players are just washing out weak hands, and it will likely surge again. This is often a good point for a second entry.

Finally, it is essential to review your trades. I have a spreadsheet on my computer that records every transaction: why I entered, why I exited, and what mistakes I made. Was I too greedy or too fearful? Did I hold too long or exit too early? Failed trades are often more valuable than winning ones.

Starting with a small capital is not easy, but if each step is taken steadily, things will get smoother. If you are also ready to start, or if you feel the rhythm is off, follow me. I will break down these methods and explain them slowly, and together we will find the market’s rhythm. #加密市场观察