In the cryptocurrency market, if you want to quickly accumulate capital, rolling positions may be a viable strategy. For those with a few tens of thousands in capital, rolling positions is an effective way to achieve 1 million in capital. Once you have 1 million in capital, even without using leverage, just holding spot can yield a profit of 200,000 with a 20% increase, which is equivalent to the annual income limit for most people. Moreover, when you successfully make the leap from tens of thousands to 1 million, you will gradually explore the mindset and logic of making money, and your mentality will become more stable. After that, you just need to copy and paste your successful experiences.
It is important to note that rolling positions is not suitable for all situations, and opportunities should be handled with caution. Here are a few points to consider when rolling positions:
1. Maintain sufficient patience; the profits from rolling positions are substantial, but operations should occur when high certainty opportunities arise.
2. High certainty opportunities typically occur during sideways fluctuations after a sharp drop and when there is an upward breakout; at this time, the probability of a trend reversal is high, so you should act promptly.
3. Only go long.
Next, let’s discuss the risks of rolling positions. Some believe that the rolling position strategy carries risks, but in fact, its risks are relatively low, far lower than certain futures trading logic. For example, with a capital of 50,000, if a position is opened when Bitcoin is at 10,000, setting a 10x leverage and using a single position model, only 10% of the position is opened (i.e., 5,000 margin), which is equivalent to 1x leverage, with a stop-loss point at 2%. If the stop-loss is hit, the loss is only 2%, or 1,000. Those who face liquidation often do so due to improper operations or poor position management and risk control.
Assuming Bitcoin rises to 11,000, continue to open 10% of the total funds, similarly setting a 2% stop-loss. If the stop-loss is hit, an 8% profit can still be achieved. Following this logic, if Bitcoin rises to 15,000 and the position is successfully increased, it is possible to earn about 200,000 in this 50% market movement. Capturing such market movements twice could yield around 1 million in profit.
It is important to emphasize that the rolling position concept itself carries no risk; the risk comes from the use of leverage. You may roll positions with 10x leverage, 1x leverage, or even use a fraction of leverage. The key is to reasonably choose the leverage ratio based on your own situation and to conduct strict position management.
Additionally, capital management is also an important means of reducing risk. In trading, it is not filled with risk; through reasonable capital management, risks can be effectively mitigated. For example, controlling the contract account funds within a certain range while adjusting the recharge amount of the spot account based on the size of the opportunity. Even if the contract account is liquidated, the spot profits can compensate for the losses, providing financial support for re-entry.
For average individuals, it is recommended to participate in contract trading with a position size of one-tenth of the spot. For instance, with 300,000 in funds, you could take out 30,000 for operations. If liquidation occurs, you can continue to invest using the profits from the spot. After multiple attempts, if you still cannot find the way, then consider whether you are suited for this field.
In summary, rolling positions is a strategy for achieving rapid wealth growth, but it requires cautious operation and reasonable risk control. Additionally, continuously learning and accumulating experience, as well as improving your trading skills and mentality, are key to success in the cryptocurrency market.
$BTC $ETH #币安Alpha公布第8批项目 #美国加密立法或将重启