Seeing the market correctly but still getting liquidated—that's the most common pitfall for crypto beginners.

Recently, a friend complained to me: "I clearly predicted the direction, why did I still get liquidated?" I gave her one answer: you simply don't know how to manage your position.

There's a harsh reality in the market—90% of liquidations have little to do with wrong market direction; the real killer is distorted trading behavior. You might be right about the big trend, but the problem lies in the details: when prices rise quickly, you can't resist taking profits; when they dip slightly, you can't resist adding to your position; during rebounds, you impulsively increase your position again. To put it plainly, this isn't trading—it's gambling.

How do seasoned traders who have survived multiple bull and bear cycles do it? They rely on not some divine prediction but a complete position rolling system. The core principle of this system is: protect your principal like defending a dyke, and only when profits expand can you risk more.

**Level One: Small Positions for Trial and Error, Exploring with Minimal Cost**

If you have 10,000 USDT and are bullish on a downward trend, what do beginners usually do? Go all-in at once. How about experienced traders? They do the opposite.

Use only 5% of your capital (500 USDT) to test the waters, with leverage limited to around 2-3 times, and set a stop-loss at a 2-3% loss point. The goal of this trade isn't to make a big profit but to verify whether your judgment is reliable.

If your prediction is wrong, this 500 USDT is just the cost of market intelligence. Using a small loss to confirm the big trend—this deal is worth it no matter how you look at it. Opportunities abound in the market, but your capital only comes once.

**Level Two: Profit Rolling, Let the Earned Money Fight**

Once the trial position shows a floating profit, say 50% (250 USDT), the real position rolling game begins:

Take half of the profit (125 USDT) to add to your position. If the price continues to break down, use the remaining profit to add another layer. Throughout this process, your initial principal remains stable—that's the core secret of rolling positions.

Each time you add to your position, only use the profit portion. This way, even if the market reverses later, your actual loss is only the floating profit, and your original 10,000 USDT remains intact. Risks are dispersed, controlled, and quantified.

This is not just a trading method but a mindset correction. Once you understand the importance of your principal, you won't be scared into frequent cuts during short-term volatility, nor will you lose control by over-leveraging during false rebounds. You'll think like a true trader—execute your plan steadily, letting time and compound interest be your allies.