Strictly follow the plan, control greedy impulses
In February 2025, I started with 5,053 Yuan, converted to 700 U to invest in a small account. After a full month, the account balance reached 106,538 Yuan, with a return rate exceeding 2,100%. Today, I will share this method of rapid accumulation with small funds, remember to save it; this article is only published once.
Many friends may think that making big money in the cryptocurrency world requires huge initial capital, but my experience proves that small funds also have opportunities. However, this is not based on blind gambling, but rather a clear strategy and execution.
Phase One: Rapid Accumulation from 1,000 Yuan to 100,000 Yuan
Initial capital of 1000 yuan, approximately equal to 140U. The goal in this phase is to efficiently and quickly accumulate capital.
My core strategy is: contract rollovers with strict stop-losses. Note that the contract trading mentioned here is by no means mindless all-in betting, but is governed by clear rules.
Specifically, I only operate with 30U each time, focusing on hot coins and setting clear take-profit and stop-loss points. My method is the 'Three Breakthroughs Method': 30U turns into 60U, 60U turns into 120U, and 120U approaches 1000U. The key point is that consecutive successes should not exceed three times. Because the market requires an element of luck, frequent all-in bets can easily lead to nine wins followed by one loss that wipes out everything.
When the capital reaches around 1100U, the strategy needs to be adjusted. I divide it into three parts, each used for three different types of trades:
First is the ultra-short trade. Focus on quick fluctuations at the 15-minute level, only trading mainstream coins like Bitcoin and Ethereum. The advantage is high returns, but the downside is high risk; it requires constant monitoring.
Second is the strategy trade. Use a small position (like 10x leverage, 15U) to trade on a four-hour basis, regularly investing the profits into Bitcoin to achieve the goal of 'earning coins' rather than just 'making money'.
Third is the trend trade. This is the biggest source of profit. When a clear trend emerges, find a high-risk-reward entry point, set stop losses, and let profits run.
Stage two: steady growth from 100,000 to 1,000,000
After reaching a capital of 100,000, the core strategy shifts from 'rapid accumulation' to 'steady growth'. This phase may take 1-4 years, and the importance of capital management far exceeds technical analysis.
The harsh truth of the crypto market is that 90% of losses stem from uncontrolled capital management. The characteristics of high leverage and high volatility can lead to significant drawdowns or even account wipeouts from a single mistake.
The core of my capital management is to establish a sophisticated risk control system:
1. Single trade risk control: the risk of each trade is strictly controlled within 1-2% of the account net value. This means that even if there are 10 consecutive losses, the loss of capital is kept within an acceptable range.
2. Leverage usage discipline: absolutely do not use excessively high leverage. For small funds, I also try to avoid exceeding 20x leverage, as high leverage is a 'death accelerator'.
3. Emotion cooling mechanism: set clear rules for pausing trading. For example, stop trading for 24 hours if the daily loss reaches 5%; if there are consecutive losses for three days, reduce the position by half. This can effectively avoid the vicious cycle of 'loss-revenge trading-greater loss'.
My trading triggers: when to truly take action
After years of exploration, I have developed my own set of 'trading triggers' that tell me when I should enter or exit.
My trading triggers are based on price action rather than complex indicators. For example, one of my favorite trigger conditions is: when the trend is clearly downward, the price shows an upward pullback, but during the pullback, suddenly a candlestick breaks the pullback structure (e.g., the low starts to lower), at this point, I will enter in line with the main trend.
The benefit of trading triggers is that they help me avoid impulsive trading. Without a triggering signal, I patiently wait; when a signal appears, I decisively execute. This resolves the psychological traps of 'fear of missing out' and 'premature entry'.
Must be wary of the mathematical traps in trading cryptocurrencies
Many newcomers easily overlook a key point: gains and losses are not symmetrical.
If you have 100,000 in capital, first earn 10%, turning it into 110,000; then lose 10%, and it becomes 99,000. On the surface, it seems like no profit, no loss, but in reality, you've already lost 1%. If you also consider transaction fees, the actual loss is even greater.
This means that the difficulty of recovering after a loss is much greater than making a profit. A 20% loss requires a 25% gain to break even; a 50% loss requires a doubling to break even. Therefore, in the crypto market, controlling drawdowns is more important than pursuing profits.
My personal experience and suggestions
After many rounds of bull and bear markets, I have come to realize that trading cryptocurrencies is not gambling, but a game that requires logic, strategy, and patience.
Choosing a reliable exchange is the first step. I prefer to choose large, reputable platforms with high trading volumes, and I will always complete identity verification to enhance account security.
Make good use of auxiliary tools, but do not be enslaved by them. I often use TradingView for charting, CoinMarketCap for data checking, Jin10 data for macro news, and Twitter to follow market sentiment. The purpose of tools is to improve decision quality, not to replace thinking.
Finally, and most importantly: never invest more than you can afford to lose. I always stick to one principle: the funds invested in the crypto market should not exceed 30% of total assets, and I never use loans, credit cards, or other borrowed funds for trading.
The crypto market is full of opportunities and risks. To grow small funds, strict discipline, good capital management, and the ability to continuously learn are essential. I hope my sharing can help you avoid detours and go further in the crypto space.
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