$BROCCOLI714 reminds everyone of a reality: don't deceive yourself into pretending to work hard, because the results won't cooperate with your acting.
He shared a painful lesson. There was a deal that could have earned over $10,000 in profit, but in the end, he only got a little over $10,000. Where did the loss come from? Drinking and messing things up. In a moment of unclear thinking, he opened an ant-sized position and directly ate up more than half of the profit. That was a pretty painful pit.
But today, I want to discuss a more critical issue: if you make 1 million in the crypto world, how should you allocate this money?
Last month, a long-term fan came to consult him, saying: "Bro, I now have 1 million idle cash earning interest, but the returns are too slow. How do you usually operate?"
He asked the other person to send a screenshot of their account to check the position allocation, and he immediately had a clear idea. For a scale like 1 million, there's no need to operate all in at once, nor should all of it just sit and earn interest. The truly prudent approach is to divide the funds into three levels of operation.
**Level 1: 20% for stable income**
This part includes earning platform interest, staking nodes, participating in exchange activities, etc. This isn't about chasing huge profits but serving as a stepping stone for the principal. With this 20% secured, you'll never fall into excessive tension, and the basic health of the entire fund pool remains stable. Mentally, it also feels reassuring because at least this part of the money keeps providing continuous feedback.
**Level 2: 50% for low-risk swing arbitrage**
This is the main force that actually moves. But remember, it's not about blindly chasing rallies or panic selling. Instead, be patient and wait for clear market conditions and precisely controllable risks. For example, looking at Ethereum's recent trend: dropping from 3435 to 3160, such a clear trend and support level make a swing trade with 50% of the capital enough. As long as you stick to your trading discipline, the returns from such opportunities are usually quite stable.
**Level 3: 30% reserved for sudden opportunities**
This part is the most vital in the entire allocation. No one can predict when the market will give you big gains. But you must always keep your ammunition ready, ensuring this 30% of funds is always in a state of readiness. Once an opportunity arises, a small move can bring substantial gains.
Using this method to activate your funds makes a huge difference. You can steadily earn interest as a foundation while quickly amplifying gains when the market hits the right conditions. This is the strategy that large funds should follow, rather than locking all money in interest and slowly wasting away.
Many people's misconception is that the market hasn't given them opportunities. Wrong. Essentially, it's because they haven't kept their funds flexible enough to strike at any moment. When all your money is earning interest somewhere, a sudden big trend comes, and you can only watch helplessly.
This approach sounds simple but is counterintuitive to human nature. But this is what the market teaches experienced traders: remember, the money in your hands is working. If the market next week is working for exchanges, you can also rely on clear spot and futures strategies to earn 1-3 certain trades daily. Most importantly, build a complete profit system of your own, with the three pillars indispensable.
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He shared a painful lesson. There was a deal that could have earned over $10,000 in profit, but in the end, he only got a little over $10,000. Where did the loss come from? Drinking and messing things up. In a moment of unclear thinking, he opened an ant-sized position and directly ate up more than half of the profit. That was a pretty painful pit.
But today, I want to discuss a more critical issue: if you make 1 million in the crypto world, how should you allocate this money?
Last month, a long-term fan came to consult him, saying: "Bro, I now have 1 million idle cash earning interest, but the returns are too slow. How do you usually operate?"
He asked the other person to send a screenshot of their account to check the position allocation, and he immediately had a clear idea. For a scale like 1 million, there's no need to operate all in at once, nor should all of it just sit and earn interest. The truly prudent approach is to divide the funds into three levels of operation.
**Level 1: 20% for stable income**
This part includes earning platform interest, staking nodes, participating in exchange activities, etc. This isn't about chasing huge profits but serving as a stepping stone for the principal. With this 20% secured, you'll never fall into excessive tension, and the basic health of the entire fund pool remains stable. Mentally, it also feels reassuring because at least this part of the money keeps providing continuous feedback.
**Level 2: 50% for low-risk swing arbitrage**
This is the main force that actually moves. But remember, it's not about blindly chasing rallies or panic selling. Instead, be patient and wait for clear market conditions and precisely controllable risks. For example, looking at Ethereum's recent trend: dropping from 3435 to 3160, such a clear trend and support level make a swing trade with 50% of the capital enough. As long as you stick to your trading discipline, the returns from such opportunities are usually quite stable.
**Level 3: 30% reserved for sudden opportunities**
This part is the most vital in the entire allocation. No one can predict when the market will give you big gains. But you must always keep your ammunition ready, ensuring this 30% of funds is always in a state of readiness. Once an opportunity arises, a small move can bring substantial gains.
Using this method to activate your funds makes a huge difference. You can steadily earn interest as a foundation while quickly amplifying gains when the market hits the right conditions. This is the strategy that large funds should follow, rather than locking all money in interest and slowly wasting away.
Many people's misconception is that the market hasn't given them opportunities. Wrong. Essentially, it's because they haven't kept their funds flexible enough to strike at any moment. When all your money is earning interest somewhere, a sudden big trend comes, and you can only watch helplessly.
This approach sounds simple but is counterintuitive to human nature. But this is what the market teaches experienced traders: remember, the money in your hands is working. If the market next week is working for exchanges, you can also rely on clear spot and futures strategies to earn 1-3 certain trades daily. Most importantly, build a complete profit system of your own, with the three pillars indispensable.