Many friends who earn a salary and trade in the crypto space often ask me the same question—when will I start making a profit? My answer is always: don’t think about making money first, learn to survive first.

Especially those traders with less than 1000U in capital, I suggest you pause for now. Not to discourage you, but because some pitfalls are simply not worth stepping into twice.

I once mentored a beginner who only had 1800U in his account. I remember his hands trembling when he placed his first order, afraid that one move would wipe out his principal. I can understand that feeling—trading with a small account is like dancing on a tightrope, the psychological pressure is immense.

But this guy didn’t act recklessly. He chose to follow a systematic approach. After two months, his account surpassed 8000U. Two months later, it shot up to 32,000U. Throughout the process, he never got liquidated.

Someone said it was luck? I can only say it’s not. The reason he’s here today is because of strict discipline and clear rules. I summarized his trading logic, which boils down to these three core principles:

**First: Funds must be divided into three parts, always leaving yourself an escape route**

Split your capital into three equal parts. The first part is for day trading, focusing only on highly liquid coins like Bitcoin and Ethereum. When volatility reaches 3%-5%, lock in profits immediately. This part aims for stable small gains, accumulating over time.

The second part is for swing trading. This requires patience—only act when there are clear trend signals, holding positions typically for 3 to 5 days. Don’t be impatient or trade frequently.

The third part is your safety net, which you never move regardless of extreme market conditions. This money is like your last bullet—ensuring you always have a chance to turn things around.

Why do this? I’ve seen too many people go all-in with just a few thousand U. When prices rise, they get overly confident; when they fall, they panic. Most end up being educated by the market. The traders who survive the longest understand the importance of leaving some strength outside the market.

**Second: Only follow trends, never chase sideways movements**

To be blunt, the market spends about 80% of the time in sideways consolidation. Trading frequently during this period is like paying fees to the exchange.

Wait patiently without clear signals. Once a clear trend appears, act decisively—don’t hesitate.

Another key detail: when profits reach 12%, withdraw half immediately. Let the rest run, but you’ve already secured your gains. This reduces psychological pressure and prevents greed from causing total loss.

The rhythm of a true expert’s operation is like this—do nothing until the right moment, then strike with certainty. Watching this guy’s account double repeatedly left a deep impression on me—he’s never impatient, never chasing the top. His calm and cool demeanor means he can steadily take profits even in big market moves.

**Third: Rules always come before feelings; control your emotions**

Stop-loss on a single trade must never exceed 2% of your principal. When this level is reached, you must exit unconditionally—feelings and instincts have to give way here.

When profits exceed 4%, reduce your position by half. This way, the remaining part is like playing with the market’s money, making your mindset much more relaxed.

Most importantly: never add to a losing position. This is the moment when emotions are most likely to take over. Adding to a losing trade may seem like a chance to recover, but in reality, it often marks the start of a deeper trap.

You don’t need to predict every market move perfectly, but you must always stick to these rules. The secret to making money is—relying on systems and discipline to control that hand which wants to operate recklessly.

This method isn’t mysterious; it’s about treating trading as a task that requires systematic execution, not gambling based on feelings or luck. Many small accounts turn into big ones, but few people stick to it. That’s where the difference lies.