Contract trading in the cryptocurrency world has little to do with the multiples, it depends on your principal (the margin for each order)!
The Coin Circle Rolling Profit Strategies: A Proven Method, the Dark Laws of Going from 5000U to 1 MillionU
If you are still using the "conservative strategy" to slowly struggle, you will never get married in this life.
Those who really make a lot of money are using a nuclear bomb-level strategy called "bloody rolling method" by professional traders. Today, I will reveal this
The secret space that makes a few people rich.
Step 1: Understand the nature of rolling
Rolling is not gambling, but using mathematical advantages to crush the market.
You need to understand:
90% of the time waiting with empty positions
9% of the time is spent on trial storage and observation
Go all-in 1% of the time
Step 2: Only act in these three situations
1. When the exchange liquidates (within 30 minutes after a large long/short position is forced to close)
2. 5 minutes before a new coin goes online (monitor the announcement of a coin listing on a major exchange and use specific tools to snipe)
3. When whales on the chain make unusual moves (tracking sudden transfers from the top 50 holding addresses)
Step 3: Devil-level position management
My "3331" rolling rule:
30% first warehouse test
Add 30% after profit
Second profit plus 30%
The last 10% is used for extreme market conditions
The most deadly secret space weapon
I developed a "Fear Index Trigger System +" (hidden core parameters) that can automatically adjust positions when the market is the craziest.
This achieved a 500% return in a single week on ORDI.
Do you dare to accept these three challenges?
1. Can I wait for 7 consecutive days with a short position?
2. Can I stop profit immediately after the profit reaches 200%?
3. Can you remain calm after three consecutive stop-loss orders?
This strategy will subvert your cognition
In order to reduce the risk of liquidation and liquidation, you can adopt the following strategies
1. Reasonably control leverage
All leverage traders should keep in mind that the higher the leverage, the greater the risk of liquidation. For novice traders, it is strongly recommended to use no more than
Use more than 3 times leverage to avoid excessive risk.
For example, if your account balance is 1,000 USDT, using 3x leverage will allow you to control a 3,000 USDT position. Compared to 10,000 USDT with 10x leverage, the risk you take is lower, and it doesn't matter if you earn less, as long as you can keep your principal.
2. Set a stop-loss level in advance
Stop-loss is an important risk control tool to avoid margin calls. Traders can set a stop-loss price when opening a position.
For example, if you're long BTC with 100,000 USDT, you could set a stop-loss at 98,000 USDT (a 2% loss). If the market price drops to this level, the system will automatically close the position to limit losses.
3. Maintain adequate margin
When market volatility intensifies, maintaining a higher margin ratio can effectively reduce the risk of liquidation.
For example, if the exchange's maintenance margin rate is 0.5%, it is recommended to prepare at least 3 to 5 times the additional funds as a buffer.
When the price is close to the liquidation point (when receiving a margin call notification), add margin in a timely manner to ensure sufficient funds in the account and reduce the risk of margin call.
4. Observe the market liquidation heat map +
The Margin Call Heat Map allows you to see which price ranges in the market have the most liquidated positions and predict potential areas of significant price fluctuations. Investors can use this data to adjust their entry and exit plans and avoid entering high-risk areas.
For example, if the heat map shows a large number of liquidation orders between 100,000 and 98,000 USDT, this range may become market support or resistance.
5. Diversify your investments to reduce the risk of a single position
Don't put all your money into a single position, but spread it across different trading pairs or reduce the leverage of a single transaction, so that even if one of them
Although some transactions were liquidated, some funds were still unaffected.
For example, if you have 5,000 USDT, you can allocate 2,500 USDT to BTC and 2,500 USDT to ETH to reduce the single
Market volatility. It should be noted that the cryptocurrency market often falls at the same time, so this strategy may not always work, but
Reasonable allocation of the ratio of Shanbin coins and mainstream coins can help reduce risks.
It can be found that even the top five mainstream currencies such as ETH and SOL have fallen by more than 30% from their highs, which means that the leverage
If the leverage exceeds 3 times, there is a possibility of a margin call, which is why we mentioned "many margin calls in a bull market" in our previous article on bull market prices.
6. Pay attention to market trends and major events
Market news, macroeconomic data, policy changes, etc. will affect the price of Bitcoin. For example, FOMC meeting or CPI data release
When the market fluctuates greatly, or ETFs are approved or rejected, or regulatory policies change, it will also affect market confidence.
Investors should pay close attention to these key events and adjust their positions in a timely manner to reduce the risk of liquidation caused by drastic market fluctuations!
Although leveraged trading can magnify profits, it also magnifies risks. Although we encourage everyone to avoid gambling mentality, we should study the project and hold it.
It is mainly spot trading, but if you still want to trade with leverage, it is very important to understand the mechanism of margin calls and liquidation.
Through strategies such as reasonable leverage control, stop-loss setting, preparing sufficient margin, observing market heat maps, and diversifying investment targets, the possibility of margin calls and liquidation can be effectively reduced.
If you are a novice trader shorting currencies, or if you are new to futures trading, although the exchange's leverage limit may seem tempting, it is still recommended that you start with low-leverage trading and learn how to observe market trends and manage risks to avoid huge losses due to the abuse of leverage.
Here, you can penetrate the fog of information, discover the real market, grasp more opportunities to gain wealth codes, and find truly valuable opportunities. Don’t miss out and regret it!
Today, let’s talk about a topic that everyone is interested in. There is a derivative product in the cryptocurrency world that has magical powers that can make people rich overnight.
It can also reset a person to zero in three seconds. Used correctly, it can accelerate life, allowing them to quickly achieve a leap in social status and financial freedom. Used incorrectly, it can also accelerate life, allowing them to quickly restart and reincarnate. This is what a futures contract is.
We know that 80% of people in the financial market lose money. There is really no way to do this. Everything must follow the principle of the 80/20 rule.
Only a small number of people are destined to climb to the top of the pyramid, but everyone who enters this circle actually hopes to become one of them and gain their own wealth.
So why do most people who trade futures in the cryptocurrency world lose money? For example, they lack technical experience, don't even know what the currency they're trading is for, and simply gamble on luck. Or they don't set stop-loss or take-profit orders, holding onto their positions against the trend. Or some set them at the time, but cancel them at the last minute, unwilling to sell. When a big market comes, they don't hold on, running away at the first sign of profit, lacking confidence. When the market plummets, they buy the dip halfway up. When they short at the top of a surge, they get swept away by the next wave.
If you make money, don't withdraw it, send it all back. Love fantasy, love fomo, impulsive, the result is full position, all in, the more you lose, the more you lose, always
In order to make back the money in one go, they open orders frequently and fail repeatedly. Some even use the five-minute K-line firecracker tactics. You can search for it.
Why is this happening? Because most people make a mistake. I have also experienced the above situation countless times and have been liquidated.
After a large amount of money was involved, the problem was slowly sorted out.
The cryptocurrency world is a place where you can make big money, but it is not a place to make quick money.
You only see others making a fortune, and you think they can get rich overnight, but you don’t see that they have to go through a lot before they succeed.
The lessons learned from trial and error, determination and perseverance. To put it bluntly, it is like watching the thief eat the meat but not the thief being beaten, so most people are very superficial.
This impetuousness also leads to the general lack of the following three abilities among these people.
First, there is a lack of ability to select certain currencies. The currency selected should preferably be one that can maintain profitability on a yearly basis.
Second, there is a lack of basic K-line technical skills. I think it takes at least two years to learn K-line technology before it can be considered the entry level.
Third, due to the lack of time and space management capabilities, one cannot strictly implement trading plans, and at the same time cannot maintain a good trading mentality, lacking willpower and execution capabilities.
So, I'd like to discuss how to develop these three abilities, or trading strategies. This isn't some secret formula for making money trading sugar, nor does it exist. I suggest you let go of that fantasy. What I'm going to share is a method that can help you get as close as possible to becoming part of that small group of people. Philosophically speaking, success itself is about getting as close as possible to success, not achieving 100% perfect success.
First of all, what is currency screening capability?
As the name suggests, you need to be able to find the current hot sectors or popular currency projects. Why? Because popularity means capital liquidity, which will lead to fluctuations, and you will have the opportunity to profit from the fluctuations.
Trading should be as flexible as water, follow the trend, and follow the flow of funds to snowball and grow bigger and stronger.
If the market is stagnant, then the risk level is much higher than that of the hot sectors, and popular and relatively stable currencies such as BTC and ETH are more recommended. Of course, when choosing a popular currency, you can refer to the following aspects comprehensively, and not just one of them.
First, it is best to choose currencies that are ranked within the top 100 by market capitalization, as these currencies usually have larger capital inflows and are relatively safe.
For higher prices, there is potential for growth. For real-time rankings, we recommend using CoinMarket.
Second, new currency projects, after all, it is better to speculate on new things than on old ones. The new projects launched this year are hot, have capital to buy, and have low selling pressure.
Entering the market in a certain position often results in a good wave of returns.
Third, project background. Choose projects with good background, strong team and strong investors. This can be done by checking the official website of the project.
The potential of a project can be judged by various aspects such as the website, white paper, technical team background, social media popularity, and their capital support. This can also be checked through coinmarket.
Fourth, technology and application. Choose a currency with underlying technology and practical application value. The value of a blockchain project depends largely on
The underlying technology can be used to develop applications with practical significance, that is, it is better to have a currency that can be implemented.
Fifth, choose a currency with good liquidity. Currencies with good liquidity are easier to buy and sell, and their prices are more stable. You can check the method
The daily trading volume of this currency is linked to the amount of money. The larger the trading volume, the more liquidity it has. You can also view the trading depth in
The exchange checks the order book. The more orders there are and the more evenly they are distributed, the better the depth is, and vice versa.
Finally, choose a currency with a relatively low unit price, which is more likely to attract investors. For example, this year's sectors, pepe, turbo,
NEIRO, this series of currencies all have the same characteristics: low prices. They have all seen good growth this year, and the growth has been very large.
Let me take this year as an example. The hot sectors and currencies this year are first of all the Ton ecosystem*.
Rise, in line with the requirements of new projects and good background; Meme board +, such as pepe, bonk, turbo, bome, mew, price
It is very low, basically below 0.001, which is very suitable for new players in the cryptocurrency circle. However, their fluctuations are relatively large, so pay attention to market risks.
Projects like WLD, ArkM, and FET, all closely related to the development of artificial intelligence, have been incredibly popular this year, both in the US stock market and in the cryptocurrency market, with significant gains. Active projects in the Sol ecosystem, such as Sol, JUP, and Ray, have also performed exceptionally well this year.
This concludes our discussion of screening abilities, which are the first ability most of us lack. The second is a certain level of K-line technical proficiency. Why does this ability come after currency screening?
Because the K-line produced by the currency with high comprehensive evaluation is real, the K-line technology you have learned will be useful, and you can make judgments based on it.
Imagine if a coin has no funds, no traffic, no popularity, no liquidity, no matter how good the K-line is, it is still empty and fragile, it is no different from the taxi dog project in the primary market. This is why many friends are trapped as soon as the contract is opened, until the stop loss is liquidated, they are puzzled. Now I will explain it, then everyone should understand this principle. K-line technology needs to be learned by yourself, and I also talked about it in an article.
I don't understand. The advice I can give is to watch more professional academic videos or read more books. I can recommend a list of books to you, which are all the ones I have read over the years and basically cover all technical theoretical knowledge.
No matter what you do, it is of utmost importance to study patiently and spend time to learn and practice bit by bit. You cannot be lazy about this. The knowledge you learn is all yours. You will reap what you sow.
The third skill, and the most crucial one, is one I've learned through countless blow-ups over the years: time and space management. This refers to managing your trading time and operating space. If you don't manage this well, then no matter how well you do the first two, you'll still suffer losses in the long run, and significant losses. How do you manage this specifically? First, you need a scientific and objective trading system, or a trading plan.
It must be scientific and objective to be reasonable. We can often see something like "10u" on YouTube, Huazhan, and Douyin.
Thoughts like "Challenge 1 million", "How many times can it increase in a week", "I made hundreds of times by trading like this" are rarely generated, and related videos are rarely watched or listened to.
This kind of thing that sells anxiety and spreads fantasy, if you believe it, you will be a loser. My opinion is that it is better for you to believe that I am the First Emperor. Of course, I am not saying that it does not exist. Everything is possible in the currency circle, but we are all ordinary people. The probability of this thing happening to us is very slim. It depends on your fate. You come to this circle to make money, not to gamble on your luck.
On top of this reasonable trading plan, strictly abide by the trading plan and maintain a good mentality. The two are complementary. Only by strictly abiding by it can you maintain a good mentality, and only by maintaining a good mentality can you strictly abide by it better. If these two can be achieved in the long term, then
You can basically step on your left foot and ascend to the sky, achieving wealth upgrade and leap. What is tested is your strategy formulation and
Execution ability, although it is impossible for us to follow the plan 100%, because the plan can never keep up with the changes, but in Bimoba,
The degree to which you restore your plan is related to your income. The more uneven your plan execution is, the closer you are to bankruptcy and begging. Conversely, the higher the degree of restoration, the closer you are to success.
Of course, I also know that some of my friends may also understand these principles, but they just don’t know how to make a reasonable plan, so I share it with you.
This is one of the parts of my trading plan that I usually use. The plan also includes time and operating space.
When talking about operating space, we are going to talk about the fixed position method.
In other words, how do you set your position before making a contract, and how do I set my position?
Assume that you have 30,000 yuan ready to invest in cryptocurrency contracts, then 20,000 yuan will be used as off-market funds and will not be used for the time being. 10,000 yuan will be used as on-market funds.
The funds are traded directly, that is, the total contract funds are currently 10,000 yuan, which is equivalent to the current exchange rate of about 1428u. So here we need to use the profit formula
According to the Kelly formula, we can draw two conclusions:
First, the maximum enabled position cannot exceed the total funds.
Second, the funds used at a single time should not exceed 1/10 of the total funds. In the contract, they only use 1/10 of the account funds for a single contract.
The maximum leverage should not exceed 10 times. We open two types of contracts.
One is to trade mainstream currencies, such as Bitcoin and Ethereum.
The characteristics of mainstream currencies are that they are slightly more stable, the fluctuation range is not too large, and they are relatively easier to grasp. However, in the short term, it is difficult to make money with small amounts of money.
The probability of making a big profit is relatively small. And the Shanbin currency rises and falls sharply, and the fluctuation is large and difficult to grasp. It is like playing when it rises two or three times in a day, and it is even more difficult to fall two or three times.
It is just like playing a game until it is taken off the shelves, but it is precisely because of this that Shangou Coin is popular because it can make you rich in the short term.
Let’s take altcoins as an example. If you open a single order with 1/10 of the position, the maximum leverage should not exceed 10X.
We will now calculate based on the maximum multiple. The position after the contract is opened is 1428u÷10×10=1428u.
The contract position is 1428u, and the stop loss position is usually set at 5% of your entry position. For example, I choose to stop when the price of a certain currency is 1u.
When entering the market to go long, my stop loss position should be set at 0.95u.
Only when the stop loss is greater than one or equal to 1 will you choose to open an order. That is to say, you can at least have a 5% stop loss to match a 5% increase in profit.
It is considered a suitable transaction (here it rises to 1.05u).
Because the essence of the contract is to make profit and loss ratio, use leverage multiples, and leverage small costs to leverage objective profits. For example, I think here is
A very good relative bottom, there is a chance to achieve the expected increase. Then I will go in directly, so that if the stop loss is lost, the funds will be
5%, two consecutive losses, that is 10%, then we have to adjust the strategy at this time.
We want to reduce our position, why?
Please remember this formula for rise and fall?
If your account drops 10%, you need to earn 11% to recoup your losses. If your account drops 20%, you need to earn 25%. If your account loses 70%, you need to earn 233% to recoup your losses.
After you have suffered continuous losses, your capital has shrunk, but the difficulty of making a profit has increased, which means that you have less money but have to do more difficult things than before.
Therefore, if you suffer two consecutive losses, which is 10%, you must adjust your strategy and reduce your position.
Then after the loss of 10%, the total funds are still 1285.2u. According to the plan of 1/10 position with a maximum leverage of 10 times, I
Our contract position after opening the order is 1285.2, and so on. Even after ten consecutive losses, the account funds are still
842.21, and lost another 584.796, which means that there is only 59% of the total funds left, and a loss of 41%. At this time, there is still nearly 60%
Book funds, if most people play with full warehouse and high leverage, they may not know how many times they have been liquidated. But this is not what I want to say.
Because according to the formula, it needs to rise by 67% to break even, which is relatively difficult at this time.
Then the best way is to use the remaining 2/3 of your off-market funds to make up for your position and replenish your funds.
How much should you top up? Don't exceed 1428u, which is the maximum amount you topped up last time.
Calculated in this way, the account has 1428u+842.21=2271.2u.
On this basis, only a 26% increase is needed to recover the losses, and after recovering the losses, the added positions can be added.
The 1428u withdrawals returned to the OTC market. This is how OTC funds are used.
If you continue to lose money, then continue with the original plan, then you will have the opportunity to lose money at least 30 times in a row.
I don't believe that you can't do it right even once out of the 30 times. If you really can't do it right even once, then withdraw the money as soon as possible and then go to
Go to work, you really are not suitable for this circle.
Now we have finished the operation of shrinking the position due to loss. Next we will talk about the operation of expanding the position due to profit. Taking 1428u as an example, we have profit.
After 10%, the funds reach 1570.8u, at this time you can choose to expand the position, that is, to expand the original single contract position.
1428u expands to contract position 1576, and so on. Taking the minimum profit and loss ratio of 1:1 as an example, we can double our position if we win 14 times.
If the profit and loss ratio is very well controlled, 4 to 6 orders can double the total position, how about that? Doesn’t it sound like
Very tempting? Yes, that’s the advantage of this solution. It can be used for both offense and defense, making it a versatile strategy.
I will not disclose the specific amount, but in the past year, I have achieved a return rate of more than 400% with this strategy.
It made up for the losses of the past few years and also made considerable profits.
Now that we have position management, the next step is time management. At this time, we need to use a very useful tool that every exchange has.
Function, contract cooling-off period.
What is the purpose of the cooling-off period?
First, it can help you calm down and prevent subsequent huge losses.
Second, after calming down, use this time to re-observe the market and formulate strategies. Here is a reference for you. First, you must select
Take a day off to relax. Even those working 996 hours a day in China have a day off. The 24-hour trading in the cryptocurrency market can easily make people tired.
I have to take a day off regularly, so I will choose Monday to rest. Because the current market is every Saturday and Sunday
There is a high probability that there will be a good wave of growth. I will keep an eye on the market, so after all the hard work, I will take Monday as a day off and give myself
Take a day off, start a cooling-off period, do not visit the exchange, do not read any related news, except for rest days, close each position at a profit
After that, you can choose to open a 24-hour cooling-off period, which is to preserve your victory fruits, rather than impulsively open a second order and then
Spit it all out. Anyone who experiences gaining and then losing something will feel indescribable pain and discomfort, and it is easy to get carried away and turn profit into loss.
The third situation is that after two consecutive profits, there is no time to close the position to stop the profit, and finally the price falls back to protect the principal.
It's just a fleeting illusion, not a cent earned. At this time, a 24-hour cooling-off period is necessary. Similarly, watching the profits disappear bit by bit is a very uncomfortable feeling. This is very dangerous.
Finally, after two consecutive stop-loss orders, a 48-hour cooling-off period is a must. This is a two-day cooling-off period. According to our plan above, consecutive losses have already cost you 10% of your principal. If you lose 10% a day, what are you waiting for if you don't take a break and adjust? At the same time, use this time to formulate a strategy for resuming your position. Many people worry about missing out on the market, but even the biggest market only has one wave a day. If you profit from this wave during the cooling-off period, you can wait 24 hours for the next wave to start. This is absolutely fine.
The same goes for losses. Losses mean you're stuck in a market that's neither going up nor down, so a cooling-off period is necessary. Furthermore, most of the time in the cryptocurrency market is garbage time, with prices rising and falling as they do. Patience is key, and there are always opportunities.
This means that you will have between 1 and 4 orders per week, and the frequency is controlled within a reasonable range. Emotional fluctuations and financial expenditure are controlled. If you persist in this way, you will get closer and closer to success.
The above is the trading experience that Huihui shared with you today. Many times, you lose many opportunities to make money because of your doubts. You dare not boldly try, contact, and understand. How can you know the pros and cons? Only when you take the first step, you will know what to do next. With a cup of warm tea and a suggestion, I am both a teacher and a friend who is good at talking to you.
Meeting is fate, knowing each other is destiny. Huihui firmly believes that those who are destined to meet will eventually meet, while those who are not destined to meet will pass by each other as fate. The investment journey is long, and temporary gains and losses are just the tip of the iceberg. Remember, even the wise will make mistakes, and even the foolish will gain. No matter how you feel, time will not stand still for you. Gather your worries, stand up again, and move forward. Welcome to follow Huihui to learn from real-time trading and gain a clear understanding of market trends and strategies. No matter what the market trend is, knowing in advance will give you the time to better grasp it!
There's still room on the team, so hurry up and get on board. We'll help you become both the banker and the winner. $ETH $BTC
