Recently, someone asked me how to survive and grow a small amount of capital in the crypto world?
I happen to have a case at hand. A trader entered the market three months ago with 2000U, and now his account has reached 38,000U. He doesn't have any special skills; he relies solely on a habit of persevering—before placing an order, he first calculates "how much he can lose at most," and only then thinks about "whether he can make a profit."
Most people lose money because they haven't even planned how to exit before rushing in.
Stop-loss and take-profit actions seem easy to talk about, but not many can actually execute them. They are essentially the line between life and death. Below are a few frameworks that I commonly use, which you can directly apply.
**How to do short-term contracts like this** When using 5x leverage for short trades, my target profit is 6 to 8 points, but the stop loss absolutely does not exceed 3%. With a small capital and high leverage, a loss of 1% could wipe out the entire position. Previously, I used 10,000 U for short-term fluctuations in ETH, cutting losses at 3% and taking profits when it reached 6-8%. The profit per trade is not large, but over two weeks, I can steadily gain around 5,000 U.
**This is how to take spot swings** If you want to ride a wave of a 40% market surge, don't let a 5% pullback scare you away. The stop-loss should be set at previous low points or on key supports like the 4-hour MA60, allowing enough space for the trend.
Take profit in two steps: when the price rises to 35%, sell half of your position to lock in profits; use a trailing stop for the remaining part, and if it retraces more than 8%, liquidate everything. If you can exit near the high, you have already outperformed the vast majority.
**Position management is the real key** When your position is light, an 8% stop loss can keep you calm; when your position is heavy, even a 2% fluctuation can keep you awake all night. Remember this: not setting a stop loss with a heavy position is like removing the brake pads on a highway.
**Finally, let's talk about the underlying logic**
Stop-loss is used to save your life, while take-profit is the dividend the market gives you. Treat every trade as if it were your last: first, think about how to control risk and protect your principal, then consider how much profit potential there is.
Opportunities will always be there, but once the principal is reduced to zero, no matter how big the bull market is, it will have nothing to do with you. $BEAT
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MetaverseVagabond
· 11-27 10:59
Really, stop loss is easy to say but hard to do. I couldn't execute it no matter what before, and then my account was gone, haha.
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SquidTeacher
· 11-26 11:48
The truth is, stop loss sounds simple to talk about, but it's a psychological battle when executing it. Most people fail because they can't let go at this step.
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FlashLoanLarry
· 11-26 00:02
You spoke too truthfully; stop loss is the lifeline. I was stubborn and refused to cut it before, and now my account has directly evaporated by more than half.
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RebaseVictim
· 11-25 02:30
Stop loss is easy to say but damn hard to do; seeing the account in the green makes you want to hold on for dear life...
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PretendingSerious
· 11-25 02:30
To put it bluntly, if a small account wants to survive, it must treat stop loss as a religious belief.
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AirdropChaser
· 11-25 02:25
Stop loss really needs to be executed ruthlessly, otherwise you'll end up being played for suckers sooner or later.
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2000U rolled to 38,000 in three months, the key is to stay alive, right? If you're dead, no amount of opportunities will help.
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Heavy positions keep me up all night, this statement hits hard; that's how I ended up losing.
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High leverage and small capital can really wipe you out, risk awareness is crucial.
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Don’t even talk about stop loss and take profit, execution is the real hell, most people simply can’t do it.
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Taking out half at 35% is a good move, greed is the biggest enemy.
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If the capital drops to zero, there’s really no hope left, no matter how bullish the market is, it has nothing to do with you; this is the truth.
View OriginalReply0
ForkTongue
· 11-25 02:24
That's right, the only worry is that some people still can't change even if they understand.
View OriginalReply0
LiquidityHunter
· 11-25 02:23
Damn, I've heard about stop loss a hundred times, yet I still can't help but hold a losing position. What a painful lesson!
View OriginalReply0
WhaleWatcher
· 11-25 02:18
Stop loss is really like brake pads; without it, I would have been liquidated a long time ago.
Recently, someone asked me how to survive and grow a small amount of capital in the crypto world?
I happen to have a case at hand. A trader entered the market three months ago with 2000U, and now his account has reached 38,000U. He doesn't have any special skills; he relies solely on a habit of persevering—before placing an order, he first calculates "how much he can lose at most," and only then thinks about "whether he can make a profit."
Most people lose money because they haven't even planned how to exit before rushing in.
Stop-loss and take-profit actions seem easy to talk about, but not many can actually execute them. They are essentially the line between life and death. Below are a few frameworks that I commonly use, which you can directly apply.
**How to do short-term contracts like this**
When using 5x leverage for short trades, my target profit is 6 to 8 points, but the stop loss absolutely does not exceed 3%. With a small capital and high leverage, a loss of 1% could wipe out the entire position. Previously, I used 10,000 U for short-term fluctuations in ETH, cutting losses at 3% and taking profits when it reached 6-8%. The profit per trade is not large, but over two weeks, I can steadily gain around 5,000 U.
**This is how to take spot swings**
If you want to ride a wave of a 40% market surge, don't let a 5% pullback scare you away. The stop-loss should be set at previous low points or on key supports like the 4-hour MA60, allowing enough space for the trend.
Take profit in two steps: when the price rises to 35%, sell half of your position to lock in profits; use a trailing stop for the remaining part, and if it retraces more than 8%, liquidate everything. If you can exit near the high, you have already outperformed the vast majority.
**Position management is the real key**
When your position is light, an 8% stop loss can keep you calm; when your position is heavy, even a 2% fluctuation can keep you awake all night. Remember this: not setting a stop loss with a heavy position is like removing the brake pads on a highway.
**Finally, let's talk about the underlying logic**
Stop-loss is used to save your life, while take-profit is the dividend the market gives you. Treat every trade as if it were your last: first, think about how to control risk and protect your principal, then consider how much profit potential there is.
Opportunities will always be there, but once the principal is reduced to zero, no matter how big the bull market is, it will have nothing to do with you. $BEAT