When your account balance is not much, your mindset is most prone to problems. Last year, a friend's experience left a deep impression on me—his account had only 500U, and every time he placed an order, his hands trembled, repeatedly pondering how to quickly double his funds. My advice at the time was straightforward: with small capital, playing in the crypto space, the first goal is not to make a profit, but to learn how to avoid liquidation.

Three months later? His account grew from 500U to 18,000U. The entire process involved zero liquidation records. This is not luck; frankly, it’s about executing discipline properly.

If your current account size is still below a thousand dollars, my advice is: don’t rush to open trades frequently.

**Diversify Your Eggs into Different Baskets**

The most common death trap for small funds is one big bet—going all-in. Always hoping for a big win to turn things around, but the crypto market specifically discourages this "all or nothing" mentality. Those who survive rely on the methodology of position sizing and risk management.

My own allocation method is like this: divide the total funds into three parts, each with a clear purpose.

First is the short-term position, accounting for 30% of the total funds. This part only focuses on Bitcoin and Ethereum, the two most liquid assets. The rule is to take profits quickly—once profits exceed 3%, consider partial profit-taking, avoiding emotional attachment to the trade.

Next is the swing position, also 30%. This requires waiting for clear technical signals on the daily chart—such as volume spikes combined with key level breakouts. Once entered, the position is held no longer than 5 days; the limited time window is to control risk exposure.

Finally, the lifesaver position, the most important, accounts for 40%. This money is for safety net purposes; no matter how big or tempting the market looks, it’s not to be touched. You’ll find that many people get wiped out by black swan events when they go all-in, but those who leave room to retreat often manage to recover.

The core logic of position sizing is simple: admit that you can be wrong about the market. Mistakes are normal, but having no backup plan is truly deadly.

**Only Take Trades You Are Confident In**

What is the market rhythm? Most of the time (about 70%) it’s oscillating sideways. In this environment, small funds trade frequently—roughly speaking, it’s like working for the exchange. My trading philosophy is just one sentence: better to miss an opportunity than to make a losing trade.

To find effective entry points, technical resonance is necessary. Simply watching 15-minute volume spikes isn’t enough; you must also confirm daily chart signals like MACD bullish cross or other validation signals. Only when these signals align is it a genuine entry window.

Small account funds can’t afford frequent "trial and error," so before entering a trade, ask yourself: is the risk-reward ratio worth it? Are the stop-loss and take-profit levels set reasonably? If you can’t answer these questions, don’t open the trade.

Control your emotions and stick to discipline—these are more important for small accounts than any complex technical analysis. The story of going from 500U to 18,000U isn’t a legend; it’s the natural result of strictly following these basic principles.