The most revealing aspect of human nature in the crypto world is a market fluctuation. Watching others get liquidated, I wonder: why can some survive while others fall?

Recently, I used a 20,000 yuan principal to trade for 33 days, growing it to over 1 million, opening 18 positions with zero liquidations. I'm not bragging; I want to make one thing clear—staying alive is much more important than chasing quick profits.

**Start Small, Never ALL IN**

Initially, I only risked 20%-25% of my capital per trade. It sounds cautious or even cowardly, but that’s the secret to longevity. If you can’t understand the market, stay out and wait. When an opportunity appears, act decisively—no greed, no leverage, no repeatedly adding to positions. It sounds simple, but few truly follow through.

**Cut Losses Into Your Mind**

For every trade, I preset a maximum drawdown of 3-5% for exit points. When hit, I close the position—no negotiations. Some say this makes it easier to be shaken out, but I’d rather miss a market move than see my account wiped out overnight. This isn’t cowardice; it's respect for compound interest.

**Profit Reinforces Principal, Snowball Growth**

After a few consistent profitable trades, I reinvest half of the profits back into the principal, increasing the base for the next trade. The beauty of this approach is: capital growth = absolute gains per trade increase, while risk percentage remains controlled. A 12%-36% return per trade may sound modest, but the power of compound interest over time is exponential.

**High Win Rate > High Frequency**

I make at most 1-2 trades a day—not out of laziness, but focus. I analyze the major players’ accumulation zones, observe market anomalies, find key price levels before entering—a process that defines trading, not gambling. Frequent traders often deceive themselves with the illusion of activity.

Stories of liquidation tend to follow the same pattern: heavily leveraged positions, no stop-loss, and doubling down when losing. I’m not gambling on who wins; I’m seeking the trades with the highest probability and executing with discipline. Position management + execution—it's that simple.