I made 32 million in the last bull market. Let me share my experience of making my first pot of gold in the crypto world.
I used to work in e-commerce in Shenzhen, making around 20,000 to 30,000 RMB per month, with monthly expenses over 10,000, saving one or two thousand a month. Like many "Shenzhen drifters," I wanted to buy a house in Shenzhen. However, with this income level, saving for a down payment seemed like it would take forever, and my salary had a bottleneck, making it hard to increase. It wasn't until I got involved in the crypto world that I realized I could use the leverage of virtual currency to multiply my assets! I was quite lucky to have met several great mentors when I entered the crypto world, which was truly my greatest fortune; they were my talent scouts! At that time, I gambled most of my savings on digital currency, heavily buying ETH, along with a small amount of BTC and various altcoins. During several major pullbacks, I added to my positions and then didn't operate much afterward. Even during significant crashes, I held on and added to some promising altcoins. Until November 2021, when Bitcoin broke the historical high of 69,000 USD, the market sentiment was very high, and many believed it would surpass 100,000 USD. However, 69,000 was actually the peak of this bull market. By the end of November, I saw the market trend weakening and inferred that the bull market was likely over, so I cleared most of my positions. At that time, Bitcoin was around 58,000, and Ethereum was around 4,400. It turned out to be a very wise choice, while some retail investors with "bullish fantasies" who shouted for an "eternal bull market" and were greedy for "tail-end rallies" have now been caught in a bind.
After the bull market of 2021 ended, my fund account had about 22 million+ RMB. I took out 4 million for the down payment to buy a house in Shenzhen (after graduating, I transferred my household registration to Shenzhen; after three years of social security, I qualified to buy a house), 2 million for daily use, and left the remaining 26 million in the exchange.
Regarding compounding in trading coins, I will share my personal experience.
The first ten million took the longest and was the most painful. The trading system was continuously reshaped and polished, taking one and a half years.
The second ten million took three months.
The third ten million only took 40 days.
The fourth ten million took only 5 days
75% of the funds were earned in the last six months.
I now truly understand the power of compounding that the old man Feite spoke of.
To summarize what I did well: there is a very simple method of trading coins that allows you to keep 'earning forever'. At the end of last year, I played with 200,000, and now it's 20 million, effortlessly achieving a hundred-fold profit. The experience summary is below for everyone's reference to learn that making money from trading is so simple; you only need these three steps! Master them, and you can easily multiply your account tenfold!
Step 1: First look at the trend
Step 2: Find key levels again.
Step 3: Look for entry signals
Enter the market, make a profit, close the position, and leave.
Isn't it very simple?
Let's elaborate a bit more on the following.
Step 1: First look at the trend
The state of a market can result in three outcomes: rising, sideways, or falling. What is a major market? Look at the cycle charts of 4 hours or more, such as 4 hours, daily, weekly (my personal habit is to look at 4 hours). Buy when the market rises, short when it falls, and do not trade when it is sideways.
Step 2: Look for key levels
Regardless of whether the market is rising or falling, it will bounce like a bouncy ball, jumping from one level to another either upwards or downwards. What we need to do is enter at the point of jump and exit at the next landing point. How to find precise steps becomes the key. #Bitcoin, which is what we refer to as key levels (main support and resistance levels).
Step 3: Look for signals. Generally, if you find a market trend in a larger cycle, you should look for trading signals to enter in a smaller cycle. #Ethereum, everyone has different strategies they excel at; mastering one or two is enough. More importantly, quickly formulate a trading strategy, a complete trading strategy includes...
(1) Subject - what to trade;
(2) How much position to hold;
(3) Direction - long or short;
(4) Entry point - at what price to trade;
(5) Stop-loss - when to exit a losing trade;
(6) Take-profit - when to exit a profitable trade;
(7) Strategy - How to cope with sudden situations;
(8) Operations after the backhand transaction ends.
Also, when withdrawing money from the crypto world, pay attention to a few points to effectively prevent your card from being frozen when receiving dirty money.
(1) For OTC trading, try to choose large platforms like Binance and Okex. These platforms have good communication channels and risk control measures with mainland regulatory and law enforcement agencies.
(2) Try to choose OTC platforms that support T+1/T+2 withdrawal strategies. Although cash cannot be immediately withdrawn after selling coins, it reduces the risk of money laundering through OTC transactions. For example, trading on Binance T+1 or Huobi's strict selection (compared to free trading, T+2 withdrawals).
(3) Avoid using stablecoins like USDT for OTC trading; try to use mainstream coins like BTC and ETH for OTC transactions.
(4) The bank card used for OTC trading must be an independent card and not used for regular transactions, so it is separated from the salary card. That way, even if it is frozen, it will not affect the use of other funds. Investigations can easily explain cash flow.
(5) The bank cards used for OTC trading should preferably be local cards, such as those from local commercial banks in many places and rural commercial banks. Due to the presence of large and medium-sized commercial banks and joint-stock banks like Industrial and Agricultural Bank, which have branches all over the country, law enforcement agencies can basically freeze them directly.
(6) Do not engage in regular trading with ordinary merchants and do not engage in regular trading with ordinary users. If the same user indirectly purchases more than 3 times in a day or sells shortly after buying, it is suspected of money laundering, which is very dangerous.
(7) Look for reliable OTC sellers for trading. Try to actively accept orders from large traders and market makers, reduce ordering, and avoid merchants in problematic areas. In fact, as an ordinary user, it is difficult to distinguish which traders are trustworthy. For example, friends who frequently dealt with Huobi's Blue Shield service merchants have also been frozen.
(8) Reduce the frequency of withdrawals and increase the cash amount.
(9) After OTC trading ends, do not switch to your other bank cards to avoid contaminating other funds and causing trouble for investigations. If you urgently need money, you can withdraw cash via ATM or spend online.
(10) Try to choose weekdays to receive cash. It is best to choose normal working hours for transactions, such as from 9:00 am to 9:00 pm for withdrawals.
(11) After receiving the payment, do not immediately transfer the funds. After selling USDT for RMB, do not transfer out immediately; keep it in the account for a period of time.
After trading cryptocurrencies for 10 years, I have summarized it into 16 sentences to share with everyone. Please forward it to your friends in trading; they will definitely benefit for a lifetime!
1. Buy altcoins in a bull market, buy BTC in a bear market.
2. Pay close attention to coins with high volume at the bottom, as they are often signals for initiation.
3. Coins in an upward trend that pull back to important moving averages are buying opportunities.
4. Do not trade frequently; making a few correct trades in a year is enough.
5. Control your position well; never go all in, leave yourself some room.
6. Do not average down on losing junk coins; timely stop-loss is a wise move.
7. News can only serve as a reference; do not use news to blindly gamble.
8. Do not touch unfamiliar coins; focus on the sectors you are familiar with.
9. Do not be swayed by market emotions; remain calm and rational.
10. If a meme coin has risen a lot, it will definitely fall; if it has fallen a lot, it may not rise; choosing is very important.
11. When most people are optimistic, it is often when risks arise.
12. Learn to stay out of positions and wait for clear market signals before entering.
13. Do not follow the hype; trends often come quickly and go just as fast.
14. When trading, you must have your own trading system and strictly enforce it.
15. Investment is a long-distance race; maintaining a good mindset is crucial for winning in the end.
16. Investment does not necessarily guarantee profits; there is a high probability of losing money, so try to invest spare money. When you invest with spare cash, your mindset will be good, and the probability of winning will increase.
Trading full-time, ups and downs, I truly made money by seizing these two bull markets!
1. The risk of each trade must not exceed 10% of the trading principal; for beginners, it is recommended to keep it between 2%-5%.
2. After entering the market, you must never make blind closures due to a lack of patience. The unfolding of the market takes time; until the market proves your operation is wrong, have enough confidence and patience.
3. You must execute according to the plan and never overtrade.
4. After trading correctly and making a profit, you should use the method of adjusting stop-loss and take-profit as a guarantee, and boldly strive for even greater profits until the trend changes.
5. After entering the market, you cannot casually cancel stop-loss orders. That is, after you enter the market, your entire trading process is a risk control process. Therefore, after entering, you must set up protection and strictly prohibit naked trading.
6. Avoid adding costs after successful trades; that is, avoid increasing your position.
7. You cannot casually switch from a long position to a short position; this is a highly skilled operation.
8. When you are skilled at buying and selling, do not casually increase your position; the probability of making mistakes is very high because you become complacent.
Recently arranged god orders are about to start!!
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