Someone asked whether to play spot or contracts in the crypto world, let me explain briefly.
Personally, I think both can be played. In the secondary market, there are two trading methods: "spot" and "contracts." Most individual players in the crypto world are retail investors, with initial capital under 100,000 USDT, a few around 1,000,000 USDT, and a very small number above 5,000,000 USDT.
So how do they make money differently? Can both spot and contracts make money?
The answer is definitely yes, both can.
For players with over 1,000,000 USDT, they focus more on stability and do not care about short-term gains. They prefer to play spot trading, leaning towards conservative trading, engaging in cyclical investments during bull and bear markets, with durations ranging from one year to three years or even longer, achieving returns of 5-10 times, which is sufficient.
So what about the vast majority of retail investors? Based on the timing of entry and the amount of capital, contracts are a more favored choice for retail investors because they pursue higher expectations of short-term gains, but of course, the risks are also higher. This requires a more complete trading strategy.
I do not agree with the approach of risking a little to gain a lot; risking a little to gain a lot definitely requires increasing risk. With relatively small capital, wanting to risk a little to gain a lot will likely involve a certain gambling mentality. If you lose, you might end up with nothing. I focus more on the 1+1 approach, slowly accumulating wealth.