Seven years of trading cryptocurrencies, starting from 30,000 yuan to now having over 30 million in my account. The biggest takeaway along the way isn't catching some hundredfold black horse coin, but learning how to survive longer. Many people, upon hearing my profit figures, their first reaction is to ask if I caught any explosive coins. Honestly, no. My ability to hold on until today is entirely thanks to a seemingly simple principle—the 50% position strategy, which I’ve坚持ed for seven years without change.

This trading approach stabilizes my average monthly return at around 70%. Sounds exaggerated? But as long as you understand the logic behind it, you'll see why it’s so steady.

Money management is the first line of defense. Always divide your total capital into five parts, and only invest one-fifth of your funds per trade. What’s the benefit of this? Setting a 10% stop-loss means you only risk 2% of your total capital on a wrong trade. Even if you make five consecutive mistakes, you only lose 10%. But the market rarely lets you make five mistakes in a row. Only take trades that at least yield 10% profit before considering to exit. Stay alive first, profits will follow.

The second key is to be friends with the trend—don’t fight the market. Falling rebounds may look tempting, but they’re traps. Only act in an uptrend—look at the 3-day moving average; short-term opportunities are here. When the 30-day moving average is rising, you can participate mid-term. When the 84-day moving average is rising, that’s a main upward wave—once confirmed, hold tight and don’t relax.

Avoid a certain pitfall: never touch coins that have already surged wildly. No matter how good the story sounds, it’s useless. Coins that have had a sharp short-term rally are usually a mess afterward. High-level sideways consolidation may look like a rest, but it’s actually a trap.

I’ve used the MACD indicator for seven years. When DIF and DEA form a golden cross below the zero line and then break above zero, that’s the most reliable buy signal. If a death cross appears above zero, reduce your position immediately—don’t hesitate. Just this one indicator can help you avoid most pitfalls.

As for averaging down, this is the easiest way for retail traders to go bankrupt. Cut losses on losing trades—don’t think about averaging down to lower your cost. Only add to winning trades, and only when the trend is favorable. Averaging down should only be done on winning positions.

After each day’s close, I review my trades. Does your holding logic still hold? Does the weekly chart still support you? I’m not saying you must trade every day, but you must stay clear-headed every day.

After seven years, I’ve gone from obsessively searching for some trading holy grail to now only trusting discipline. Making money is never about catching countless explosive coins, but about avoiding many falling knives. In this market, stability is the most ruthless shortcut.