Market Observation Notes: I recently interacted with a trader whose initial capital was only 1,500 USD. After three months, their account grew to 80,000 USD, all without a single liquidation. The underlying logic may not necessarily be trading talent, but rather execution and discipline.

**Key Point 1: Position Segmentation System**

Most bankruptcy stories in the crypto world point to the same reason—all-in betting. This trader’s approach was to split the principal into three separate accounts:

Intraday trading accounts for one-third (500 USD): target 5% profit per trade for closing, cut losses at 2%, and prohibit fighting against the trend.

Swing trading accounts for one-third (500 USD): focus only on BTC and ETH, remain in flat position until a confirmed trend appears.

Insurance bottom position for one-third (500 USD): hold long-term without moving, serving as a buffer during extreme market conditions.

The October market movement was very convincing—Bitcoin plunged from 126,000 to below 90,000, causing countless leveraged accounts to liquidate. However, this position segmentation system allowed him not only to survive but also to buy more at the lows. The essence of position segmentation is to always keep the possibility of a turnaround.

**Key Point 2: Market Filtering**

Most of the time in crypto is wasted—sideways churning, false breakouts tempting traders, and downward declines eroding confidence. Frequent trading costs are multiplied by fees, eating into profits. This trader’s strict rule is: do not trade if daily volatility is below 15%. Take profits and exit when gains reach 20%, locking in the principal.

The ZEC case is quite typical—he chose to enter during a volume breakout, took out the principal after a 30% gain, and held the remaining profit as floating gains. This methodology is about only eating the fish, abandoning greed for the head and tail.

These two seemingly simple rules are surprisingly difficult to execute. The market constantly tests traders’ psychological limits.