Step 1: Establish a starting capital
If you start with a limited capital (for example $1,000), you will need to grow this capital gradually and carefully.
Objective: To grow capital at a monthly rate of 15% to 20%.
Step 2: Choose the right strategy
a) Trading Spot : Scalping et Swing Trading
Scalping: Making small profits on short-term price movements.
Example: Buy an asset like BTC/USDT or ETH/USDT at support and sell it at resistance.
Goal: Earn 1% to 2% per day.
Swing Trading: Holding a position for several days or weeks.
Example: Buy an asset when its RSI is in the oversold zone (below 30) and sell it when it is overbought (above 70).
b) DCA (Dollar Cost Averaging) on solid assets
Invest regularly in high-cap cryptocurrencies (BTC, ETH, BNB).
For example, every month allocate a portion of your profits into BTC and ETH for long term gains.
Step 3: Create a risk management plan
1. Never risk more than 1% to 2% of capital per trade.
If your capital is $1,000, each trade should not risk more than $10 to $20.
2. Use smart stop-losses to limit losses.
For example, set a stop-loss 3% below your entry point.
3. Take partial profits.
Exit a trade gradually to secure your profits.
Step 4: Gradually increase your capital
With an initial capital of $1,000 and a growth of 20% per month, here is a progression scenario:
With increased effort (25% to 30% per month), you could exceed $200,000 by the end of 2025.
Step 5: Master technical analysis
Key indicators:
Moving averages (SMA/EMA) to detect trends.
RSI to identify overbought/oversold areas.
Volumes to confirm price movements.
Learn how to read chart patterns like triangles, double tops, or double bottoms.
Step 6: Follow market news
Stay informed about major announcements that affect cryptocurrencies (e.g. regulatory changes or project launches).
Use platforms like CoinMarketCap, TradingView, and Binance news.
Step 7: Automate some tasks
Use tools like trading bots or TradingView alerts to spot opportunities quickly.
Example: Set up a bot to buy BTC when it drops 5% in a day.
Step 8: Diversification and passive income
1. Participate in staking or farming on Binance:
Staking ETH, BNB or other cryptos to generate passive interest.
Example: If you stake $10,000 at an annual rate of 5%, that generates $500 in passive income.
2. Diversify your trades:
Trade small-cap cryptos with growth potential (beware of risks).
Step 9: Reinvest intelligently
Once you reach a certain threshold (e.g. $50,000), reinvest some of it in less volatile assets.
Keep a reserve of stablecoins (USDT, USDC) to take advantage of market downside opportunities.
Step 10: Stay Disciplined
Follow your plan strictly and avoid emotions like fear or euphoria.
Keep a trading journal to analyze your successes and mistakes.