How long does it take to make a million in the crypto world?
Actually, one year is enough. Trading full-time in cryptocurrencies, with its ups and downs, the real money is made by seizing these two bull markets!
Earning 100,000 a year and earning 1,000,000 a year require completely different mindsets.
To earn 100,000 a year, you just need to work hard, become an executive or run your own business; there are many ways to do this. But if you want to earn 1,000,000 a year, trading cryptocurrencies is one path to consider for full-time trading.
1. Risk Management: Stick to a certain percentage of your principal for each trade (e.g., 10% or less). This can help you avoid significant losses in bad trades and give you the capacity to participate in more trading opportunities.
2. Patience and Confidence: Maintaining patience in investing is crucial. Many investors close their positions too early due to a lack of patience, missing out on potential market returns. As long as your initial analysis and judgment are not disproved by new market information, you should maintain your position.
3. Self-Discipline in Executing Plans: Creating a plan and strictly adhering to it is key to maintaining consistency and avoiding emotional trading. Overtrading is often driven by greed and fear, leading to losses.
4. Take Profit and Stop Loss: When trades are profitable, adjusting your take profit and stop loss points can maximize gains while protecting realized profits. It is essential to be ready to exit at any moment and to act immediately when market trends reverse.
5. Avoid 'Naked Running': Always set a stop-loss point when entering a trade to protect your capital. In an unpredictable market, not setting a stop-loss is equivalent to being exposed to risk without protection.
6. Control Position Size: Even if trades start to profit, avoid increasing your invested capital. This can prevent potential large losses caused by blind confidence.
7. Long and Short Operations: Switching from long to short positions requires high judgment and market insight. Unless there are clear signals of market changes, it is not advisable to easily adjust your position direction.
8. Cautious Scaling: Even if you are accustomed to market fluctuations and trading smoothly, any time you increase investments, you need to be cautious, as overconfidence may obscure risk recognition.
However, even experienced investors need to be reminded that the challenges of the crypto market lie in its unpredictability and the different driving factors compared to traditional markets. Therefore, even if careful measures like those mentioned above are taken, investment decisions may still face losses. Continuing to educate yourself, respecting the market, and being prepared to take responsibility for any outcomes is crucial for long-term success.