Cognition determines everything! [Very Important]
The cryptocurrency world is a place where the poor get poorer and the rich get richer. There are not so many stories of instant wealth, nor are there so many nouveaux riches.
A rich person has 100 million, they only take spot trades, exiting with a 20% profit, earning 20 million effortlessly. If there is no 20% profit, they hold on tight.
A poor person has only 100,000. If they take spot trades, even with a 20% profit, they only make 20,000, which is not enough for living expenses. So they can only play with leverage, treating 100,000 as 1 million.
In this case, if there is a 20% profit, they would have 200,000 in earnings, but the reality is harsh; the outcome is usually liquidation.
Some poor people hear various legends of leveraging small amounts into large gains, so they take their money to gamble on low-quality projects, and in the end, 99.9999% also leads to a dead end. The truly surviving 0.0001% is not even guaranteed to be real people or just insiders of the projects.
Therefore, it is mainstream spot trading that can yield profits. As long as one does not take profits, holding on tight will eventually lead to making money. Then, compounding it, there is no need for a large investment; the power of compounding is infinite.
In fact, developing good trading habits and mindset, firmly controlling one's desires and emotions, is more important than how much money one makes.