Every new entrant into the crypto space has dreamed of getting rich overnight, only to be harshly taught a lesson by the market. Over the past few years of my hands-on experience, I’ve completely changed my approach—rather than chasing overnight doubles, it’s better to steadily earn money you understand. Small capital, low leverage, and stable returns—that’s the mode for ordinary people to survive long-term. Today, I want to share my repeatedly validated practical logic, with a simple goal: earning a few extra bucks for bubble tea each month, enough to cover electricity bills.

**Level One: Recognize Your Position**

What is the biggest enemy of small funds? Volatility. With only a few thousand yuan, a market spike can wipe you out, so risk awareness must be ingrained in your bones.

I’ve set some ironclad rules for myself. Never use more than 15x leverage, usually only 5 to 10x—high leverage is for gamblers, we’re here to make money, not to gamble with our lives. Position sizes should be entered gradually; it’s a big mistake to deploy all your bullets at once. For example, if you like a certain asset, invest 30% first, then add two more times if it dips, gradually averaging down your cost. Stop-loss and take-profit levels must be set in advance: cut losses at 10%, and exit decisively at 20%-40% profit. Don’t get caught up in regrets over “missing out on more gains”—the safety of your principal is the foundation of compound growth.

**Level Two: Find Forgotten Coins**

Every day, the market has lively coins, but small funds can’t afford this kind of turbulence. I specifically pick those that have been consolidating for a long time with extremely low volatility. Once such coins break through resistance levels, they often gain strong momentum.

How to judge if it’s the right time? Three signals are enough. First, trading volume has shrunk to the extreme, indicating that those who want to exit have already done so; second, all moving averages are converged and compressed within a narrow range on the daily chart; third, Bitcoin(BTC) is not taking extreme routes, and the overall market isn’t crashing. When these three conditions are met, it’s almost time to position yourself.