There's a saying that goes well: whether you can survive in the crypto space mainly depends on whether you know how to control your pace.
I still remember that night three months ago when I sat in front of the screen, watching the K-line chart fluctuate, with only 5000U in my account. There were voices all around me saying the crypto space is just a casino, and I was actually a bit hesitant at the time, but then I thought—isn't this just about buying low and selling high? Why do I have to compete with luck? Why can't I use strategies to make money?
Now my account has 130,000U. Not because I caught some legendary position and got rich overnight, but because I truly executed two most basic principles to the extreme: "focus" and "compound returns". I've organized the operational logic from these months, hoping to provide some help to friends who are still exploring.
**First Level: Position Sizing—Never put all your eggs in one basket**
I divided my 5000U into five portions, 1000U each. This logic is very simple: each time I trade, I only move one portion. If I get it wrong and lose, I still have four portions of ammunition left to continue fighting, and I won't completely collapse from one mistake.
In contrast, many people like to go all-in, which is no different from putting their fate in the market's hands. The crypto space has huge volatility, and the psychological pressure of an all-in position can drive people crazy. When your mindset breaks down, your hands start making wrong moves, and the final result is basically capitulation selling.
I set an iron rule for myself: never all-in, with a single loss limit of 2% of total capital. Even if I lose five consecutive trades, I'd only lose 10%, and the account can still keep running. This is the meaning of margin of safety.
**Second Level: Spot Trading—Stability is the only path for small capital to flip**
Some people will say spot trading is too slow to make money, but I chose spot trading and refuse to touch leveraged futures contracts. Why? Because I'm very clear about my ability range. Using a divided portion (1000U) to buy major cryptocurrencies I'm confident about, prioritizing Bitcoin and Ethereum.
Why stick to major coins? The temptation of small altcoins is certainly great, but so is the risk. If a major coin drops 50%, I might still have time to hold through. Altcoins going to zero happen too often. Using small capital to make big returns requires stability as a prerequisite. As long as the trend is right, major coins' gains are just as impressive, so why take that risk?
**Third Level: Patience—More valuable than trading frequency**
Over these three months I haven't traded frequently. Identify a direction, buy in, hold, and wait. Many people's problem is right here: trading too frequently, with fees eating up profits and psychology easily going wrong.
Instead, that kind of pace—"long-term bullish on a coin, build positions in batches, check periodically"—let me truly benefit from compound returns. From 5000 to 130,000, if spread evenly over 90 days, the average daily return rate isn't actually that scary, but this is where the magic of compounding lies.
**Fourth Level: Mindset—The foundation of all strategies**
To be honest, during the process of my account growing from 5000 to 130,000, I definitely experienced a few drawdowns and had psychological fluctuations sometimes. But because position sizing was in place, stop losses were clear, and I held major coins, I never had that feeling of "this is hopeless."
When your mindset is stable, your operations are stable. When operations are stable, compound returns can truly work their magic. Many people's failures aren't in the strategy itself, but in mindset collapse during execution.
**Summary**
Can you make money in the crypto space? Yes. But the prerequisite is that you respect market volatility, use position sizing to control risk, use spot trading to avoid the leverage trap, and use patience to wait for compounding. This isn't any profound theory, just executing the most basic things properly.
Pace is more important than prediction, focus is more effective than spreading your bets. This is the summary from three months of operations, and the direction I'll continue going forward.
There's a saying that goes well: whether you can survive in the crypto space mainly depends on whether you know how to control your pace.
I still remember that night three months ago when I sat in front of the screen, watching the K-line chart fluctuate, with only 5000U in my account. There were voices all around me saying the crypto space is just a casino, and I was actually a bit hesitant at the time, but then I thought—isn't this just about buying low and selling high? Why do I have to compete with luck? Why can't I use strategies to make money?
Now my account has 130,000U. Not because I caught some legendary position and got rich overnight, but because I truly executed two most basic principles to the extreme: "focus" and "compound returns". I've organized the operational logic from these months, hoping to provide some help to friends who are still exploring.
**First Level: Position Sizing—Never put all your eggs in one basket**
I divided my 5000U into five portions, 1000U each. This logic is very simple: each time I trade, I only move one portion. If I get it wrong and lose, I still have four portions of ammunition left to continue fighting, and I won't completely collapse from one mistake.
In contrast, many people like to go all-in, which is no different from putting their fate in the market's hands. The crypto space has huge volatility, and the psychological pressure of an all-in position can drive people crazy. When your mindset breaks down, your hands start making wrong moves, and the final result is basically capitulation selling.
I set an iron rule for myself: never all-in, with a single loss limit of 2% of total capital. Even if I lose five consecutive trades, I'd only lose 10%, and the account can still keep running. This is the meaning of margin of safety.
**Second Level: Spot Trading—Stability is the only path for small capital to flip**
Some people will say spot trading is too slow to make money, but I chose spot trading and refuse to touch leveraged futures contracts. Why? Because I'm very clear about my ability range. Using a divided portion (1000U) to buy major cryptocurrencies I'm confident about, prioritizing Bitcoin and Ethereum.
Why stick to major coins? The temptation of small altcoins is certainly great, but so is the risk. If a major coin drops 50%, I might still have time to hold through. Altcoins going to zero happen too often. Using small capital to make big returns requires stability as a prerequisite. As long as the trend is right, major coins' gains are just as impressive, so why take that risk?
**Third Level: Patience—More valuable than trading frequency**
Over these three months I haven't traded frequently. Identify a direction, buy in, hold, and wait. Many people's problem is right here: trading too frequently, with fees eating up profits and psychology easily going wrong.
Instead, that kind of pace—"long-term bullish on a coin, build positions in batches, check periodically"—let me truly benefit from compound returns. From 5000 to 130,000, if spread evenly over 90 days, the average daily return rate isn't actually that scary, but this is where the magic of compounding lies.
**Fourth Level: Mindset—The foundation of all strategies**
To be honest, during the process of my account growing from 5000 to 130,000, I definitely experienced a few drawdowns and had psychological fluctuations sometimes. But because position sizing was in place, stop losses were clear, and I held major coins, I never had that feeling of "this is hopeless."
When your mindset is stable, your operations are stable. When operations are stable, compound returns can truly work their magic. Many people's failures aren't in the strategy itself, but in mindset collapse during execution.
**Summary**
Can you make money in the crypto space? Yes. But the prerequisite is that you respect market volatility, use position sizing to control risk, use spot trading to avoid the leverage trap, and use patience to wait for compounding. This isn't any profound theory, just executing the most basic things properly.
Pace is more important than prediction, focus is more effective than spreading your bets. This is the summary from three months of operations, and the direction I'll continue going forward.