A few thousand dollars to start, want to turn things around in the crypto world? Instead of chasing every pump and dump, gambling on bottom signals, it's better to learn a set of truly effective trading rules.



I've seen too many retail traders, holding just a little capital, start recklessly adding leverage, only to be liquidated and end up with nothing. The problem isn't the small amount of money, but the lack of discipline. Today, I want to share a method I've actually used. Many people have grown their small funds into six figures using this logic, with only four key rules.

**First, watch for the daily MACD death cross.** Don't be swayed by market sentiment; those big influencers' calls and "bottom theories" are all false. The truly reliable signal is technical—when the death cross appears below the zero line, that's when you have the confidence to open a short position.

**Second, stick firmly to the 20-day moving average.** Hold your position when the price is below it; close your position when it rises above. It sounds simple, but 99% of people can't do it—they always wait for a rebound, only to get trapped. There's no room for luck here.

**Third, combine volume and price to take partial profits.** When the price breaks below the 20-day moving average and volume increases simultaneously, go all-in short. When the decline reaches 40%, reduce your position; at 80% drop, cut it in half. Follow the moving average with the remaining position, and close everything if there's a rebound. This way, you can capture big swings and also lock in profits in time.

**Fourth, use the closing price as the only stop-loss standard.** If the closing price closes above the 20-day moving average, regardless of what happens the next day, close your position. Many people fall here—trusting a bit of luck can wipe out a month’s worth of profits. Missing out isn't shameful; when the next signal appears, the opportunity will still be there.

Honestly, this method is quite dull—no fancy tricks. But in the long run, the people making money in crypto are often those who are the most boring and rule-abiding.

For example, during that recent ETH decline, as long as you opened shorts at the death cross signal and took profits according to the rules, a large portion of profits would have easily been in your account. Meanwhile, those who kept saying "I should have shorted earlier" couldn't even follow basic rules.

If you now have a few thousand USD in capital and want to turn things around with short positions, just use this "simple method." There are no shortcuts—discipline is the only leverage.
ETH0.23%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 6
  • Repost
  • Share
Comment
0/400
blocksnarkvip
· 8h ago
It sounds reasonable, but I think the key is attitude... Very few people can truly implement this system, and most will break down at some point.
View OriginalReply0
MagicBeanvip
· 15h ago
Sounds good, but the key is execution. 99% of people will forget after reading...
View OriginalReply0
quietly_stakingvip
· 15h ago
I've heard too many of these kinds of words, but the old saying still holds true—very few people can actually follow through.
View OriginalReply0
SocialAnxietyStakervip
· 15h ago
It's easy to say, but the key is to endure the boredom. --- Same old story, I just want to ask how many people actually follow through. --- I tried the 20-day moving average, but I still couldn't shake the urge to buy the dip on the rebound. Who's to blame? --- Discipline sounds the easiest, but it's the most torturous to implement. --- I definitely missed that ETH wave, but based on his logic, I probably wouldn't have lost too much anyway. --- A few thousand bucks turning into six figures? The probability might be lower than winning the lottery. Don't get caught up in the hype. --- I support sticking to the moving average; the market is just about making money from those who don't understand the rules. --- The question is, how long do you have to wait when there's no signal? That's the real test. --- Do you understand what survivor bias is? Successful examples are always far more numerous than failures. --- People with strong execution can make money doing anything—that's the truth. --- I've looked at a bunch of tutorials on the MACD death cross, but I still can't understand it. It's a bit embarrassing.
View OriginalReply0
CryptoPhoenixvip
· 15h ago
Another article on "Discipline Theory," it’s correct but only a few can truly stick to it... The biggest lesson I’ve learned in the past two years is that seemingly simple rules are the easiest to break during market fluctuations. One moment of luck can wipe out a month’s gains, which is really heartbreaking.
View OriginalReply0
BlockchainFoodievip
· 15h ago
ngl this is giving me "farm-to-fork verification meets trading discipline" vibes... like imagine if we applied this same ruthless rule-following to supply chain audits? the 20-day average line thing actually sounds like a proof-of-freshness standard for market conditions lol
Reply0
  • Pin
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)