Spot trading can only buy long, while contracts can go short. If you have a lot of money, buy spot in batches, avoid altcoins, and just buy BTC and ETH; you can also do dollar-cost averaging. If you have little money, trade contracts to try to turn a bicycle into a motorcycle. During market downturns, you can also buy contracts to short.
It took me nearly two years to finally earn my first bucket of gold in the crypto world. I got into crypto contract trading in 2018, and at that time I was fearless. Relying on my own abilities, I lost over 800,000 within six months. I was still working at that time; although most of it was my savings, I didn't dare to let my family know because they did not understand and support my actions at first. I think the worst part was not how much I lost, but the feeling of loss itself—the negative emotions under long-term pressure made me feel quite depressed.
In the year and more that followed, I continued to earn and lose, but I became more familiar with Ethereum's trends, gradually forming my own market sense and trading rhythm. Maybe I was lucky; in the bull market of 2020, with Ethereum's surge, my trading system gradually matured, and my intraday trading points became more precise, with significant improvement in emotional control. This year, not only did I recover my previous losses, but I also earned an additional 800,000 USDT. Until now, my trading strategy has been to trade with 30,000 USDT, withdraw profits upon doubling, rest and adjust after a liquidation, and then continue trading with deposited funds. This approach is also a form of capital risk control. I only trade intraday, resolutely avoiding overnight positions and holding onto losing trades to prevent getting caught in large fluctuations.
After trading full-time in 2020, I gained more insights into this market. It really feels like one day in the crypto world equals one year in the real world. The market ebbs and flows; as long as there is volatility, making certain trades—regardless of bullish or bearish—can be profitable. Sometimes, you should try to avoid letting your subjective judgment interfere with the objective trend of the market. If your subjective judgment is excessive, and the market moves against you, it’s easy to hold onto losing trades. So, just trade with the trend.
Contracts are a testing ground for human nature. Sometimes, after multiple operations and consecutive losses, it's easy to over-leverage or hold onto losing trades, which are mistakes driven by human nature.
Trading is often counterintuitive, and full-time trading requires overcoming more pain, misunderstanding, and loneliness. Also, never self-deny, slowly find your own trading rhythm. When things are going well, don’t get too carried away; when things are going poorly, don’t underestimate yourself.
When you understand that you are speculating, you must also understand that holding positions and trading are two different things. Trading is a verb, an action that is often intentional and frequent. When you better understand what trading is, your level of speculation will become more flexible, and there is a good chance you can make money in the volatile market.
The last point, and the most important one, is that you need to know that surviving in this market is not easy, and your trump card is your own trading rhythm. It can protect your fundamental asset—your capital. Just like playing basketball, when you feel it, you can almost score every time. When your trading rhythm is right, you can make money on almost every trade; it's the same principle.
In the blink of an eye, I have been in the crypto world for over five years. I am still trading and have profits, but my mindset has changed. I have become indifferent to many things and love life more, enjoying the simplicity.
Finally, I wish you fewer obstacles on your trading journey, all the best in making money. I also welcome communication on my homepage. I write on Zhihu more to find like-minded people to move forward together. The trading journey can be very lonely, and having someone to accompany and communicate with is a very happy thing. I hope you can avoid taking too many detours on your path to wealth.
Recently, I plan to ambush a potential coin that is ready to explode; doubling my investment should be quite simple. At the same time, I am also looking for some potential coins to hold until the end of the year, with an expected growth potential of over 10 times, and I will follow the trend and profit from the market.
