Many people entering the crypto space want to double their investments quickly, but the core of stable growth isn't about hitting the right move once, but about proper risk management every time.
Taking 5000 yuan as an example, how can you operate to minimize risk? The first trick is **fund allocation**: divide the principal into 5 parts, using only 20% for each entry. Set a strict stop-loss of 10 points; even if you get it wrong 5 times in a row, the total loss won't exceed 10%. Conversely, when making a profit, set a take-profit target of more than 10 points. Repeated operations like this will make the power of compound interest very evident.
The second key is **trending with the market**. Rebounds during a downtrend are usually manipulated by the main players to induce buying, so avoid them; but pullbacks during an uptrend are often genuine buying opportunities. Instead of betting on the bottom, wait for the trend to be confirmed before entering, which greatly improves your win rate. Be especially cautious of coins that surge wildly in the short term—whether mainstream or altcoins—few can sustain a main upward wave; after a high plateau, a decline usually begins.
From a technical perspective, **MACD indicator** is also very reliable: when the DIF line and DEA form a golden cross below the zero line, and then break above zero, it's a more dependable entry signal; when MACD forms a death cross above zero, it's time to reduce positions proactively. When combined with volume and price action, pay close attention to price surges with volume at low levels.
Choosing the right time cycle is also crucial. The 3-day moving average turning upward indicates short-term opportunities; the 30-day moving average rising suggests medium-term rhythm; the 84-day moving average trending upward is likely the main upward wave; and the 120-day moving average rising signals long-term holding. Using these parameters together can help you identify trading opportunities across different cycles.
The core principle is simple: trade only in an uptrend. Stick to these 6 points, and growing a small capital is not impossible. The key is discipline and patience—many people don't make money not because their methods are wrong, but because they fail to execute properly.
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
Many people entering the crypto space want to double their investments quickly, but the core of stable growth isn't about hitting the right move once, but about proper risk management every time.
Taking 5000 yuan as an example, how can you operate to minimize risk? The first trick is **fund allocation**: divide the principal into 5 parts, using only 20% for each entry. Set a strict stop-loss of 10 points; even if you get it wrong 5 times in a row, the total loss won't exceed 10%. Conversely, when making a profit, set a take-profit target of more than 10 points. Repeated operations like this will make the power of compound interest very evident.
The second key is **trending with the market**. Rebounds during a downtrend are usually manipulated by the main players to induce buying, so avoid them; but pullbacks during an uptrend are often genuine buying opportunities. Instead of betting on the bottom, wait for the trend to be confirmed before entering, which greatly improves your win rate. Be especially cautious of coins that surge wildly in the short term—whether mainstream or altcoins—few can sustain a main upward wave; after a high plateau, a decline usually begins.
From a technical perspective, **MACD indicator** is also very reliable: when the DIF line and DEA form a golden cross below the zero line, and then break above zero, it's a more dependable entry signal; when MACD forms a death cross above zero, it's time to reduce positions proactively. When combined with volume and price action, pay close attention to price surges with volume at low levels.
Choosing the right time cycle is also crucial. The 3-day moving average turning upward indicates short-term opportunities; the 30-day moving average rising suggests medium-term rhythm; the 84-day moving average trending upward is likely the main upward wave; and the 120-day moving average rising signals long-term holding. Using these parameters together can help you identify trading opportunities across different cycles.
The core principle is simple: trade only in an uptrend. Stick to these 6 points, and growing a small capital is not impossible. The key is discipline and patience—many people don't make money not because their methods are wrong, but because they fail to execute properly.