In spot trading, you can only buy on the rise, while contracts allow for short selling. If you have a lot of money, buy spot in batches, just buy BTC and ETH without touching altcoins, and you can also do dollar-cost averaging. If you have less money, trade contracts and take a risk to turn a bicycle into a motorcycle. Alternatively, when the market is falling, you can also buy contracts to short.
It took me nearly two years to really earn my first bucket of gold in the crypto world. I started touching contract trading in 2018, fearless at that time, and lost over 800,000 in half a year relying on my own strength. I was still working at that time; although most of it was my savings, I didn't dare to let my family know because they didn't understand or support me doing this from the beginning. I think the hardest part is not how much money I lost, but the feeling of loss, the negative emotions under long-term pressure, making me feel gloomy.
In the more than a year that followed, I continued to earn and lose, but I became increasingly familiar with the trends of Ethereum, gradually forming my own feel and trading rhythm. Perhaps due to good luck, in the bull market of 2020, with the surge of Ethereum, my trading system matured gradually, and my intraday swing trading positions became more precise, and emotional control significantly improved. This year, in addition to recovering previous losses, I earned an additional nearly 800,000 USDT. Until now, my trading strategy has been to trade with 30,000 USDT, withdraw after doubling, rest and adjust after liquidation, and then continue trading. This is also a way to control funds. I only do intraday trading, resolutely do not hold overnight positions, and firmly do not resist single trades to avoid encountering huge market movements.
After trading full-time in 2020, I gained more insights into this market; it really feels like a day in the crypto world is a year in reality. The market fluctuates between long and short; as long as there is volatility, making definite swing trades can make money regardless of long or short. Sometimes, it is necessary to avoid letting subjective judgments interfere with the objective trend of the market because there are too many subjective judgments. If the market goes against you, it is easy to hold onto positions. So just trade with the market trend as it goes. The opportunities in the market are actually infinite, as long as you try to avoid making the same mistakes repeatedly, such as holding positions against the trend or over-leveraging against the trend, you can protect your capital and definitely make profits in the market.
Contracts are a testing ground for human nature. Sometimes, after multiple operations and consecutive losses, it is easy to become overly aggressive or hold onto losing positions against the trend. These are mistakes made due to human nature.
Trading is often contrary to human nature. Full-time trading requires overcoming more pain, misunderstanding, and loneliness. Also, never self-deny, slowly find your trading rhythm. When things are going well, don’t be overly ambitious; when things are going poorly, don’t belittle yourself.
When you understand that you are speculating, you must also understand that holding positions and trading are two different things. Trading is a verb, an action, and often done intentionally and frequently. When you can better understand what trading is, your speculative level will become more flexible, and you are likely to make money in the ever-changing market.
The last point, and also the most important one, is that you should know that surviving in this market and speculating is not easy, and your trump card is your own trading rhythm, which can protect your fundamental speculation—your capital. Just like playing basketball, when you feel it, you can almost score every time. When your trading rhythm is right, you can almost make a profit on every trade; it's the same principle.
In a flash, I have been in the crypto world for more than five years. I am still trading, and there are profits, but my mindset has changed. I have become indifferent to many things and love life more, enjoying the simplicity.
Finally, I wish you fewer obstacles on your trading journey, all the way towards wealth, and feel free to communicate on the homepage. I write on Zhihu more to find like-minded people to move forward together. The trading journey is quite lonely, and having someone to accompany and communicate with is a very happy thing. I hope you take fewer detours in your pursuit of wealth.
Recently, I plan to ambush a potential coin that is ready to explode, doubling is quite simple. At the same time, I am also preparing to find some potential coins to hold until the end of the year, expecting a space of more than 10 times is not a problem, follow the meat below 999.
