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In the crypto market, players with small principal amounts don't need any special skills to achieve a jump in funds. Frankly speaking, they just need to pass two hurdles—one is psychological, and the other is cognitive.
Many people have a solid technical foundation and can understand candlestick indicators, but they often get stuck at the breakthrough point of funds. The core issue lies in trading rhythm and emotional management.
Let's talk about the first hurdle: the common problem of emotional out of control with small capital.
With this amount of money entering the market, whether it's being caught in spot trading or holding contracts, the heart naturally can't withstand it. A slight adjustment can cause panic, leading to immediate liquidation and exit without thinking. This often results in selling at the bottom. Conversely, when they see floating profits increase by a few points, they can't wait to close the position and lock in gains, missing the full market move. Over time, trading becomes a battle between fear and greed, and doubling the funds becomes just a dream.
The turning point is a cognitive shift: losses are just the cost of trading, not a disaster.
Only when you can calmly accept small stop-losses, open positions without being driven by fear, and cut losses decisively, can you stand firm amid volatility and grasp the core upward phase of a trend.
The second hurdle is even more challenging—after expanding funds, the strategy must be upgraded accordingly.
In the early stages with small capital, traders can rely on rapid fluctuations of altcoins for "short-term quick gains" arbitrage, leveraging compound interest. But once the size grows, continuing to use this high-frequency switching approach to trade altcoins essentially provides liquidity to big players and makes it easy to be sniped by major forces.
Large-scale funds should focus on core assets like BTC and ETH, or contracts with good depth. Meanwhile, the trading cycle should shift from frequent intraday operations to a swing trading mindset.
Growing from small to large funds ultimately depends on the trader's own iterative ability, not on the market becoming more friendly.
If you're always stuck at a certain fund size, it's not a capability ceiling—it's just that you haven't grasped the true meaning of these two hurdles.