#密码资产动态追踪 Why do some people multiply their funds several times in a bull market through position rolling, while most traders are still on the brink of liquidation?

I think the key lies in two words—**cognition**.

Many people have heard of position rolling, but few truly understand it. It’s not simply adding positions; it’s a complete philosophy of fund management. Today, I’ll share some of my practical experience.

**The truth about position rolling: using profits as bullets**

Position rolling sounds sophisticated, but the core logic isn’t complicated—always use the money you’ve earned to expand your position, not your principal.

How exactly to do it? Suppose you have 100,000 yuan to enter the market:
- First, allocate 20% to build your position, which is 20,000 yuan. This is your safety cushion.
- After the coin price rises by 10%–20%, you now have some floating profit. Don’t be soft at this point; continue buying with this profit. For example, if you earned 2,000 yuan, directly add 2,000 yuan to your position.
- Continue this logic— as long as the trend is upward and there’s profit, keep rolling with the floating gains.

What are the benefits of doing this? Once the trend reverses, your principal is actually safe. Only the floating profit is subject to retracement.

Why do most people fail at position rolling? Because they think the opposite—losing money and still adding more positions, trying to lower the average cost. This move in a bear market is deadly; the more you add, the deeper you go.

**Position rolling isn’t always applicable**

It’s important to clarify one thing—this strategy isn’t suitable for all market conditions. You need to meet these criteria:

First, **the overall trend must be upward**. Not just a small rebound, but a generally rising pattern.

Second, **market sentiment must be euphoric**. You can clearly feel the market’s heat, with increasing volume and continuous new capital inflows.

Third, **the coin itself must have follow-through**. There should be strong capital pushing it, not retail traders playing on their own.

If any of these conditions start to loosen, you must stop immediately. This isn’t greed; it’s self-preservation.

**Practical case: how to turn 3–5 times in a wave**

The most successful example I’ve seen was like this:

A certain coin broke through its previous high, and someone entered with a 20% position. Not too much, just a test order.

Then, the coin surged another 20%. At this point, using the profits earned earlier, they added new funds equivalent to about 10% of the total position. Now, the position is 30%.

Further up, another 30% increase happened. Continuing to roll according to logic, they added more. Throughout this process, the position gradually expanded from the initial 20% to nearly 50% or even 60%.

When to exit? When the coin starts to volume up at high levels but stops rising, or breaks below the 5-day moving average—this is the signal—exit all positions.

This wave turned the initial principal into 3 to 5 times the original.

**Taking profits is harder than cutting losses, but more important**

A very critical detail—many are very cautious when setting stop-losses but are casual about taking profits. Actually, it should be the other way around.

My approach is **trailing take-profit**: every time the price rises by 10%, I move the stop-loss up by 5%. This way, you always protect the profits already made while leaving room for the trend to continue.

Another method is **partial take-profit**. At key resistance levels, sell part of your position to lock in gains. The remaining position continues to ride the trend for maximum profit. This way, you catch the main upward wave without risking giving everything back due to greed.

**Final words**

Position rolling combined with profit-taking is indeed a very effective tool. But the premise is that you truly understand the market rhythm and can identify when to enter and when to stop.

Not everyone is suited for this approach, as it requires mental resilience, real-time monitoring, and quick decision-making. But if you’re willing to spend time studying, when the next wave arrives, you’ll have the chance to generate a qualitative difference in your returns compared to others.