I entered the cryptocurrency world in 2018 and have seen too many magical stories: some became rich overnight through leverage, while more went bankrupt to zero. I don't consider myself a genius, so I used the 'dumbest' strategy — only trading in N-shaped patterns. After five years, I turned an initial capital of 50,000 into 30 million. Today, I will share this method, and the core message is: the speed of making money is always inversely proportional to the frequency of operations.
Phase One: 50,000 → 1.5 million (2 years) — Learning to 'not operate' is the first step.
When I first entered the cryptocurrency world, I tried chasing hot trends, watching news, and staying up late to monitor the markets, resulting in 1.5 million turning into 800,000. After realizing my losses, I eliminated all complex indicators and kept only a 20-day moving average and 4-hour candlestick chart. Every day, I only did one thing:
Take a glance at the market and look for the 'N structure' — a vertical rise (breakthrough), a diagonal pullback (volume reduction), then another vertical breakthrough (increased volume to new highs);
After the pattern is established, enter at the second vertical starting point, setting a 2% stop-loss and a 10% take-profit;
Shut down the computer, absolutely do not look at it one more time.
Why is the N pattern effective?
The essence of the N pattern is the 'halftime break' of the trend: after the main force pulls up, it washes the market, retail investors get thrown off, then comes a second wave of stronger explosion. For example, the wave of ETH from $200 to $400 in 2020 is a standard N pattern: pulling back without breaching the previous low, and the trading volume doubled upon breakthrough.
The biggest progress at this stage is: I learned to let go. Monthly trading frequency decreased from 30 times to 3 times, and profits doubled instead.
Second stage: 1.5 million → 8 million (1 year) — Discipline is the only moat.
Once the capital amount increases, the most feared thing is a drifting mindset. I set three iron rules:
No averaging down: losing coins are like expired bread, the more you add, the worse it gets;
No holding positions: if the price breaches the stop-loss line, cut the position immediately—there are plenty of opportunities in the crypto world, just lacking capital;
Efforts that are not withdrawn are just paper wealth: for every 50% profit, definitely withdraw 30% to buy stable assets (like government bonds, gold ETFs).
At that time, Bitcoin fluctuated between $30,000 and $60,000, and many lost money on contracts. I relied on the N pattern strategy to catch swings on UNI and DOT, and before the big drop in May 2021, when the N pattern failed, I stayed out of the market for a month and avoided the halving.
Third stage: 8 million → 30 million (5 months) — Slow is fast.
After the bull market in 2023, I became even 'lazier': analyzing for no more than 5 minutes a day, only looking at the weekly N pattern of BTC/ETH. For example, at the beginning of 2024, Bitcoin broke the previous high of $69,000, did not breach $60,000 when pulling back, forming a monthly N pattern, I heavily invested, and my net worth doubled in 5 months.
Key mindset change: from 'predicting the market' to 'following the trend'. The market is always fluctuating, but the N pattern is one of the few that can continuously capture trends.
Why can't most people learn the 'foolish method'?
Greed for more: always feeling that the N pattern is too simple, insisting on adding MACD and RSI, resulting in conflicting signals and missing the market;
Fear of emptiness: feeling anxious without trading, inadvertently sending transaction fees to exchanges;
Leverage addiction: always wanting to 'bet big', but forgetting that 'experts die from leverage'.
My response:
Physical isolation: store trading accounts in cold wallets, withdrawals require multi-signature verification, increasing operational costs;
Life is filled: working out and reading during off-hours, wealth in the crypto world is just a byproduct of life.
Advice for ordinary people
Start with a small amount to practice the N pattern: backtest on BTC/ETH and record the win rate (be cautious in bear markets);
Stop-loss must be mechanical: 2% is the line of life and death; if breached, it indicates a judgment error in pattern recognition;
Withdrawal period no more than half a year: earning money without cashing out will eventually be given back.
Finally, let me say: there is no holy grail in the crypto world, only 'fools' who endure longer. Those who laugh at you may have already disappeared in the bear market.
Follow Xiang Ge to learn more firsthand information and precise points in the crypto world; becoming your navigator in the crypto space, learning is your greatest wealth!#巨鲸动向 #加密市场观察 $ETH
