Having been active in the crypto market for 8 years, starting from 20,000 and now managing over 50 million in funds, it sounds easy to say, but behind it is a proven trading system. Contract trading can consistently achieve over 70% monthly returns, not relying on any black technology, but on discipline and reverence for risk.

The core logic of the strategy is simple—divide the principal into 5 parts, using only 1/5 of the position each time. Sounds conservative? But this is the secret to longevity. Strictly set a 10-point stop loss, keeping each loss within 2% of the total funds. Even with 5 consecutive wrong judgments, the total loss is only 10%, far from causing serious damage. Take profit only after at least a 10-point gain, so there's no need to worry about getting trapped.

To truly achieve stable profits, following the trend is the first priority. Those rebounds in a downtrend? 99% are trap setups, and greedy traders get caught. Only in an uptrend are those sudden pullbacks genuine buying opportunities. Catching the bottom sounds sexy, but in practice, low buying in line with the trend is more reliable.

For short-term skyrocketing coins, whether mainstream or altcoins, avoid touching them. Coins that can sustain multiple waves in a major rally are extremely rare. After stagnating at high levels, trading volume begins to weaken, and a pullback is imminent.

From a technical perspective, MACD is the key signal for opening a position. A golden cross below the zero line with DIF effectively breaking above zero is a solid entry point. Conversely, a death cross above zero indicates it's time to reduce or exit positions. Trading volume determines the life or death of a coin; follow the volume when it suddenly breaks out during consolidation at low levels, and exit when volume surges at high levels but price stagnates.

Many traders fall into the trap of averaging down after losses. The more they buy, the more they get trapped—that's the fate of retail investors. Properly adding positions should happen during profitable periods, in line with the trend.

Only focus on coins with bullish moving averages. The 3-day, 30-day, 84-day, and 120-day moving averages represent short-term, mid-term, main upward, and long-term trends respectively. When they align properly, it's a buy signal.

Daily review is essential—check whether your logic for holding coins still holds, whether the weekly K-line pattern has changed, and if the trend has shifted. This habit can save you from many detours.