If the principal of $ETH is below 1000, don't rush to open an order! Last month, I had a complete beginner who entered the cryptocurrency space with 1500U, struggling for half a day just to understand the contract interface with the tutorial. At that time, his biggest fear was that a single operational mistake would lead to total loss. I only provided him with a basic framework of 'first ensure survival, then talk about profits,' and unexpectedly, 10 days later, his account balance broke 8000U, and after 30 days, it surged past the 20,000U mark, with zero liquidation records throughout the process.
This is absolutely not luck; it is the victory of discipline. In the cryptocurrency space, small capital players are most likely to fall into the trap of treating exchanges as a wishing pool for quick wealth, daring to go all-in with just a few hundred U, only to end up with liquidation and a zero balance. In fact, the key to breaking through with small capital has never been about god-like predictions but about embedding these 3 survival rules in your mind:
1. Split funds, don’t put all your eggs in one basket
Divide your principal into three parts: 1/3 for intraday trading, focusing on 3%-5% short-term fluctuations of mainstream coins, quick in and out without attachment; 1/3 for medium-term holdings of 3-5 days, only entering when the technical patterns are clear; the remaining 1/3 should always lie in your wallet as emergency funds. Those who rush in with full positions at every opportunity will be as frantic when prices rise as they are helpless when they fall; leaving an exit is the prerequisite for small capital survival.
2. Recognize trends, don’t waste fees in consolidation
The cryptocurrency market spends 70% of its time in sideways consolidation, and frequently opening orders during this time is just giving the platform fees. The real profit opportunities only occur when trends are clear. It is recommended that everyone refrain from trading without signals, wait for a clear direction before attacking, and take profit halfway once it reaches 12%, because money in your pocket is the real deal.
The key battle that doubled my student’s account was holding out for two weeks without opening a position in the consolidation zone and finally catching a trend to achieve an 18% return.
3. Ironclad rules for locking positions, rules are more important than market predictions
Establish three ironclad rules that must not be broken: a single stop-loss should not exceed 2% of the total principal, cut losses without hesitation once the line is touched; upon reaching 4% profit, immediately reduce the position by half, letting the remaining position run with the profit; under losses, adding to the position is strictly prohibited, don’t let emotions hijack your operations. You don’t need to always hit the market rhythm perfectly, but you must obey the rules every time. The essence of making money is to use mechanisms to lock down your chaotic impulses, but your principal may only have one chance. Exchanging discipline for longevity is the way for small capital to break through in the cryptocurrency space.
