In the cryptocurrency market, if you want to accumulate from tens of thousands to a principal of 1 million, rolling positions is a key approach.
The first point of rolling positions is to have enough patience. Since a few successful rolling positions can yield huge profits, sometimes tens of millions or even billions, one cannot operate casually; it is necessary to wait for highly certain opportunities. Highly certain opportunities often appear after a sharp drop followed by sideways consolidation and an upward breakout; at this time, the probability of following the trend is high, and one must accurately grasp the trend reversal point and get in timely. Moreover, the rolling position strategy only considers going long.
Taking an example of a 50,000 principal to explain the rolling position strategy, this 50,000 must be profit, and it is not applicable in a loss situation. When opening a position at 10,000 for Bitcoin, set a 10x leverage and use the isolated margin mode, only opening a 10% position, that is 5,000 margin, which is effectively 1x leverage. Set a 2 point stop-loss; when the stop-loss is triggered, the loss is only 1,000, accounting for only 2% of the principal. Even if the position is liquidated, the loss is only 5,000. If the market judgment is correct and Bitcoin rises to 11,000, continue to open a total capital position of 10%, similarly set a 2% stop-loss, and there will be an 8% profit at the stop-loss. Following this pattern, when Bitcoin rises to 15,000 and the position is successfully increased, this wave of 50% market can earn about 200,000, and seizing two similar market situations can bring you close to 1 million. It is not reliant on compound interest but rather on accumulating profits through several larger multiples, such as 2 times 10x, 3 times 5x, 4 times 3x, etc. The key lies in position management; mastering position management can avoid losing the entire principal. This strategy not only contains operational logic but also embodies the core mindset of trading. It is important to note that investing in the cryptocurrency market carries high risks and uncertainties; this is only a theoretical strategy analysis, and actual operations face many complex factors and risks.