The true essence of rolling positions is not technology, but the contest of position size, trends, and mindset.
Last year, I completed a real trade with a beginner who had no foundation. He started with a capital of 50,000 and rolled it to 460,000 in just seven days during a one-sided market of BCH.
The most magical part is that he couldn't even distinguish between red and green on the candlestick chart; unlocking his phone screen might be his most skilled operation. During the process, he once had a floating loss of 40%, but he didn't blink, just two words: hold on. For every time he profited, he bet the profit back, like a snowball picking up snow, getting bigger and bigger, ultimately squeezing every bit of the entire trend dry.
I named this set of unconventional methods 'Three Axes,' and today I reveal it all.
01 What is Rolling Positions? Unveiling the Veil of Violent Aesthetics
Rolling positions sound grand, but to put it simply, it's adding positions with floating profits. In a trending market, using the money already earned as margin, continuously adding to the same direction position, aiming to use profits to seek greater profits.
This is like an amplifier for trends. When the direction is right, account profits can grow exponentially; but once the trend reverses, losses can also escalate rapidly, potentially swallowing all profits.
Some legendary figures in the cryptocurrency world are skilled in this field. Some traders have achieved a leap from 1 million to 200 million with this strategy. However, there are also top traders whose accounts were worth tens of millions of dollars at their peak, but ultimately went to zero or even suffered losses due to high-leverage rolling strategies.
So, this is an absolute double-edged sword; if used well, it is the 'nuclear power' of profits, but if not used well, it becomes the 'meat grinder' of accounts.
02 My 'Three Axes' Method
The core essence of rolling positions, I summarize as 'Three Axes', aimed directly at the market's weak points.
The first axe: Timing must be 'ripe.' The underlying asset must have experienced a deep plunge (such as over 70%), followed by a period of sideways consolidation at a bottom range, with volatility as low as a dead line. At this time, the chips have already been thoroughly washed clean by panic, like a disinfected cotton swab, light and buoyant, able to be pushed by a slight buying pressure.
The second axe: Breakthroughs must be 'ruthless.' When a key resistance level at the weekly level is strongly broken through by a long bullish candle with increased volume, it means the trend may just be learning to walk but has already stood firm. This is the most important entry signal.
The third axe: Emotion must be 'contrarian.' When the market is howling to the extreme, filled with pessimistic views like 'blockchain is dead,' it's time to calmly ignite and think contrarily. The extreme emotions of the public are often contrarian indicators.
This 'Three Axes' may only be used once or twice a year. Biting wrong once may lead to all past efforts being in vain; but as long as you bite right once, multiplying your principal tenfold may just be the starting price.
03 The Five Iron Rules of Survival
Rolling positions is about the heartbeat, but without discipline, it's suicide. If you want to survive, these five iron rules must be ingrained in your bones.
Only choose hard currencies. My trading list focuses only on mainstream assets with good liquidity and large market capitalization, such as BTC, ETH, and SOL. All other altcoins are regarded as high-risk viruses and are absolutely off-limits.
The initial position must be light. The initial position should never exceed 20% of the total capital. The goal is to let yourself sleep well at night, opening a position that puts no pressure on you.
Adding positions relies solely on floating profits. Every time you add to your position, the funds must come from realized profits. At the same time, price action and trading volume must give confirmation signals, such as a rebound following a key support level with increased volume, or considering adding positions only when breaking new highs again.
Stop loss without blinking. My exit criteria are simple and brutal: if the price falls below the 7-day moving average, reduce half of the position; if the price falls below the 14-day moving average, decisively liquidate, just like selling a phone case, straightforward and quick.
Set a maximum drawdown. I set a final line of defense for the entire account: if the total assets of the account retract more than 15% from this round of peak, regardless of how tempting the subsequent market may be, I will unconditionally close positions and shut down, locking in the remaining profits.
04 The True Core of Rolling Positions: Mindset First
Rolling positions technically are not difficult; the hard part is mindset management. 90% of the market is in a volatile state, and rolling strategies will repeatedly incur losses in it. Most of the time, you need to wait like a hunter.
A real rolling opportunity is like a volcanic eruption that occurs once every three years. It tests not how skillfully you master technical indicators, but your position management ability, your judgment of trend levels, and your mental strength when facing huge floating profits and losses.
Those who tremble with their hands treat this kind of market as a casino, while those who are ruthless see it as an ATM. Faced with a 40% floating loss, that rookie who cannot distinguish between red and green can 'hold on' because the initial position is light and the stop loss is clear; what's lost is not the principal but the profit, and behind this is discipline rather than gambling.
The volcanic crater of the next trend may be smoking. Don't believe the rumors of 'it will get cheaper' anymore, nor go after 'it has already risen.' Prepare your chips, fixate on my 'Three Axes,' bite through in one go, once is enough to tear the future bills into pieces.
When that day comes, you will discover that it was not the bull market that gave you the opportunity, but that you finally dared to roll the opportunity into an avalanche. Follow Xiang Ge to learn more first-hand information and knowledge about cryptocurrencies, precise points, and become your guide in the crypto world; learning is your greatest wealth!#加密市场反弹 #加密市场观察 $ETH
