Once, my account balance was shorter than my phone password; now, I have survived with a set of 'dumb methods'.
Hello everyone, I am the crypto sister, a female analyst who has been struggling in the crypto world for many years. Today I want to share my true story with you— from being a 'retail investor' who faced three liquidations in three years to a transformation that achieved a 25-fold growth in my account in two months.
I still remember the first time I got into contracts, entering with 6000 yuan, fully believing I could quickly achieve financial freedom. As a result, in less than a year, my account was wiped out. The second time I recharged, it went to zero again. The third time, the same plot replayed.
At my worst, my account balance was down to two digits, unable to afford a decent dinner. But it was these three liquidation experiences that enlightened me about the immortal rules of the contract market.
The deadly traps I fell into over the years
Leverage is a double-edged sword. Initially, like many beginners, I thought that opening a 100x leverage could 'gamble' and turn a bicycle into a motorcycle. But the reality is that even a 1% reverse fluctuation is enough to make your position vanish.
I remember once, I opened a 50x leverage long position on Bitcoin, thinking it was a sure win. However, I encountered a sudden 'spike', and the price dropped by only 2%, causing my position to blow up. The more brutal part was that a few minutes later the price came back, but my capital could never return.
Frequent trading is an invisible killer of capital. Fees and spreads, which seem trivial, will erode your capital over time like a slow knife cutting flesh. I once traded dozens of times a day, and by the end of the month, the fees alone accounted for a significant portion of my capital.
The cruelest mathematical rule: when you lose 90%, you need to earn 900% to break even. This means that in the contract market, protecting your capital is more important than pursuing profits. Your first lesson is not how to make money, but how to avoid losing money.
My epiphany: the transition from 'liquidation physique' to stable profitability
After my third liquidation, I stopped trading for a full three months. I carefully reviewed all my trading records and finally understood: contracts are not gambling, but a highly skillful game.
I started to build my own trading system, which is so simple it's shocking: only looking at the KDJ indicator and the 20-day moving average.
My buying signal is very clear: KDJ forms a golden cross at a low position, and the coin price stabilizes above the 20-day moving average. My selling signal is equally simple: KDJ forms a death cross at a high position, or the coin price falls below the 20-day moving average.
Most importantly, I set a strict rule for myself: every trade must have a stop-loss set at 1.5%, never holding a losing position. This has saved me countless times. I remember once, just as I set the stop-loss, the market suddenly plummeted. Because the stop-loss was executed automatically, I preserved most of my capital and avoided a fourth liquidation.
Three immortal rules that saved me from peril
When the market is surging, hold back and do not chase high prices. There will always be opportunities in the market; there is no need to rush in during the most euphoric times. I found that most of my losses stemmed from chasing highs and cutting losses; now I only look for opportunities when the market is relatively calm.
No matter how good the opportunity, do not go all in. I now adhere to a half-position strategy, never putting all funds into one trade. This way, even if I make a wrong judgment, there is still room to maneuver and fund replenishment.
Reduce operations, observe more and act less. The cryptocurrency market trades 24 hours a day, but this is not a reason for you to operate frequently. I now trade a maximum of 3-5 times a day, spending most of my time observing market trends.
It was this simple method that allowed me to achieve 25 times the return within two months during a wave of Bitcoin market. This is not fortune-telling or prediction, but rather when signals appear, I dare to enter the market, and when risks arise, I decisively exit.
The final heartfelt words
If you are still in the cycle of 'recharge → liquidation → recharge' and doubting life, please honestly ask yourself: Are you gambling, or are you trading?
In the contract market, those who do not understand the rules will eventually become part of the rules. Only those who understand the rules can turn market fluctuations into withdrawal codes.
Position management is the ultimate rule of contract trading. This is not a shortcut to overnight riches, but a long-term test of discipline and mindset.
I hope my experience can inspire you. Remember, surviving in this market is more important than how much you earn at any given moment. Follow Ake to understand more firsthand information and cryptocurrency knowledge at precise points, becoming your guide in the crypto world; learning is your greatest wealth!#巨鲸动向 #加密市场观察 $ETH
