As someone who has been monitoring the market for 8 years and has seen countless retail investors go from wealth to zero, I'll tell you directly: the problem is not whether you can do it or not, but that you have turned trading into a 'gambling on high or low'! 90% of beginners lose money, not because they don't understand candlestick charts, but because they haven't grasped the two underlying logics of 'position size and mindset' — Ada is a typical case of 'all in + mindset collapse', chasing after prices when they go up and panicking to cut losses when they go down, it's no surprise they lose!
Later, I taught him my ultimate 'three life-saving strategies' that I kept hidden, and unexpectedly, a month later, he directly showed off his account: 48,000 rolled into 97,000! Today I will share these three tricks with you without reservation, no matter if you are a newcomer just entering the market or an old investor who is doubting life after losing money, if you follow these, you'll at least avoid 80% of the pitfalls!
First move: six-part survival method — turning a 'life-and-death situation' into a 'trial and error situation.'
How crazy was Ada's previous operation? He went all in with 48,000 on a small coin, thinking, 'If I win, I'll double; if I lose, I can just send packages for another two years.' As a result, the coin corrected by 20%, and he completely lost it and cut losses. Just after he cut, it rebounded, and he was completely PUA'd by the market.
The first thing I made him change: divide the principal into 6 parts and only move 1 part at a time, never exceeding! It sounds so simple it's like a cliché, but the effect is comparable to 'trading pain relief.'
Losses: at most losing 800 yuan (48,000 ÷ 6), which for him means sending a few less packages. His mindset won't collapse at all, and he can calmly analyze why he lost;
Gains: even if he only makes 500 yuan, it's a real profit. He won't chase the highs just because he made a little.
Let me share my hard-earned experience: the volatility of the crypto market is more thrilling than a roller coaster. A single day's fluctuation of 20% is common. 'Going all in' is essentially gambling with your life — you might win once or twice, but as soon as you lose once, you will go back to square one. The core of diversification is not 'earning less,' but 'surviving' — only by staying alive can you wait for the real big trends.
Later, Ada told me that the biggest change after diversifying was that he 'dared to watch the market': he used to stare at the K-line every day while holding positions, unable to eat or sleep. Now he only invests 1 part each time, adds a bit when it drops, reduces when it rises, and the market rhythm slowed down, allowing him to gradually find his feel.
Second move: base position radar technique — neither missing out nor getting stuck.
Many beginners have a common problem: either fully invested and holding on, or sitting on the sidelines — when the bull market comes, those who are on the sidelines watch others make money and can’t help but chase the highs; when the bear market comes, those who are fully invested get deeply stuck and can’t bring themselves to cut losses. Ada used to be like this; during the bull market, he watched from the sidelines, and when he rushed in, it corrected. In the bear market, he held on fully and ended up doubting life.
The second move I taught him perfectly solves this issue: always keep 30% of the base position in the market and use the remaining 6 parts of funds for swing trading!
The role of the base position: like a radar, keeping an eye on the market, regardless of mainstream assets or quality tracks. As long as there are fluctuations, they can be detected immediately, so as not to miss out on big trends.
Swing funds: using the previous six-part strategy, testing with small positions — for example, if the base position indicates that a mainstream asset is about to rebound, invest 1 part of the funds. If it goes up, reduce the position; if it goes down, cut losses. You will never be passive because of 'full positions.'
For example: last month, a certain mainstream asset rose from 20,000 to 23,000. Ada's base position allowed him to sense the trend in advance, using 1 part of funds (8,000 yuan) to enter. When it rose to 22,000, he reduced his position by half, and when it dropped to 21,000, he cut his losses. In the end, he made a net profit of 1,200 yuan — he neither missed out on the trend nor lost due to the correction.
I must complain here: many analysts teach you 'precise bottom fishing and peak escaping,' which is pure deception! No one can predict the market 100% in the crypto world, and the combination of base position and swing trading achieves 'neither missing out nor getting stuck' with minimal cost. This is the survival strategy for retail investors.
Third move: sleep test method — whether the position is heavy or not is determined by sleep.
This is my most commonly used 'survival standard,' so simple it's ridiculous, but the accuracy rate is as high as 90%: can you sleep soundly at night? Will you be startled awake by market movements? If yes, it means your position is definitely too heavy!
When Ada was fully invested, he would wake up at 3 AM every day to check the market. If it went up, he would be so excited that he couldn't sleep; if it went down, he would be anxious until dawn. Within a week, he had dark circles under his eyes worse than a panda. I told him to strictly implement the 'sleep test method': as long as he couldn't sleep at night because of his positions, he should immediately reduce his holdings until he could sleep peacefully.
Now Ada always maintains his position around 50%. In his words: 'It hurts to see a drop, but I won't panic and cut losses; I'm happy when it rises, but I won't impulsively increase my position' — this 'calm and collected' state has actually helped him avoid many emotional trades.
Here’s a core mindset: trading is not a 'win or die' race, but a 'slowly getting rich' marathon. Many people lose because they treat 'making money' as the only goal, ignoring 'risk control' — at first, Ada was always tangled in 'where did I go wrong,' but later I made him change to 'ask himself one question every day: what detail did I handle correctly in this trade?' For example, 'I strictly implemented diversification today' or 'I didn’t panic and cut losses when it dropped.' These seemingly minor correct actions accumulate to be the key to making money.
Lastly, let me say something heartfelt: follow me, and I'll help you transform from a 'leek' into a 'winner.'
Ada's story is not an isolated case — I've seen too many ordinary people trying to change their fate with their hard-earned money through cryptocurrency trading, only to end up losing everything due to poor strategies. In fact, trading isn't that complicated, nor do you need to understand many advanced technical indicators. As long as you master the three cores of 'diversification, base position, and mindset,' you can avoid most traps. Follow me, and you won’t get lost!
