Since entering the market in 2018, I have witnessed too many tragedies—stories of contract liquidations, mortgaging assets, and wiping out overnight playing out repeatedly in the crypto world.

Starting with a principal of $5,000, I have grown my assets to seven figures over five years, with zero liquidation records and a maximum drawdown never exceeding 8%. The secret isn’t insider information, staying up all night watching charts, or believing in K-line mysticism—it's simply treating the market's volatility as a controllable probability to play with. Breaking down into three core methods, beginners can directly apply them.

**First Trick: Lock-in Profits and Reinvest, Insure the Principal**

Always place take-profit and stop-loss orders on every trade. Once profits reach 10% of the principal, I immediately transfer 50% to a cold wallet—this money is isolated from trading. The remaining profits are used to continue rolling positions. If the market continues to rise, I earn compound interest; if it reverses, at worst I only give back half of the gains. Over five years, I’ve made 37 withdrawals, with the highest weekly withdrawal reaching $180,000, and even had the source of funds verified by the exchange.

**Second Trick: Displaced Positioning, the "ATM" in Volatile Markets**

I focus on three timeframes: daily for the main trend, 4-hour for operational ranges, and 15-minute for precise entries. I open two orders on the same coin—Order A tracks the breakout direction for long positions, with a stop-loss set at the previous low on the daily chart; Order B places a limit order in the overbought zone on the 4-hour chart for short positions. Both stop-losses are controlled within 1.5%, with take-profits set at over 5 times. During the 2022 LUNA event, when prices plunged 90% within 24 hours, this dual long-short setup allowed my account to increase by 42% in a single day.

**Third Trick: Stop-Loss for Explosive Gains, Small Probabilities for Big Opportunities**

Honestly, my win rate is only 38%, but the key is the ratio of profits to losses—4.8:1. For every dollar risked, I can reliably earn $1.90. Behind this are three iron laws:

1. Divide your funds into 10 parts; never use more than 1 part per position, and keep total open positions within 3 parts.
2. After two consecutive losses, stop trading immediately, go to the gym to clear your mind, and never chase trades in revenge.
3. Double your account, withdraw 20%, and invest in safe assets like government bonds or gold. Even in a bear market, you can sleep peacefully.

The market’s biggest danger isn’t a wrong judgment, but a single mistake that can wipe you out entirely. Stick to this method for five years, and the power of compound interest will reveal itself.