Many people enter the crypto space thinking about getting rich overnight, but I believe it's better to change your mindset.
Set a realistic small goal: for example, using 500 yuan as principal, consistently earning 50 to 100 yuan daily. Sounds small? But this is the true compound interest logic that can grow into big money.
Just look at mature financial markets and you'll understand that traders who can maintain a monthly return of 20%-40% are already top-tier. Those who aim to double their money every day often end up losing their principal.
Many blame leverage for their losses, but honestly, leverage is just a magnifying glass. It amplifies not only gains but also your greed, emotional fluctuations, and lack of discipline—these are deadly weaknesses. Experienced traders know that a margin call is rarely caused by market moves; it's usually because of a mental breakdown.
Those who can control their losses, even with 100x leverage, are more stable than those undisciplined traders using 5x leverage and randomly adding positions. So instead of worrying about "what leverage is safest," ask yourself whether your knowledge and ability match that leverage.
In crypto trading, leverage is never the devil; the real devil is greed. Your goal shouldn't be to multiply your money tenfold in a year, but to ensure you can stay at the table every day. Live long enough, and compound interest will naturally help you make money.
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BrokenRugs
· 6h ago
That's so true. The hardest part is mindset; most people simply can't control their greed.
That said, I still think achieving a monthly stable return of 20-40% is too easy to say. How many can really do it?
This theory sounds flawless, but I'm just worried that when it comes to execution, people might start to dreamwalk again.
Compound interest is just like compound interest... living is much harder than getting rich quickly.
Only when the margin call happens do you realize that leverage is not the problem; you are.
Earning 50 yuan daily with stability, honestly, surpasses what most people achieve in a year.
Cognition and ability really need to match the leverage multiplier; this hits the nail on the head.
Living long enough is truly profound; the biggest enemies in the crypto world are actually your own greed and impatience.
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LostBetweenChains
· 6h ago
Exactly right, if your mindset collapses, lowering leverage is useless.
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DataOnlooker
· 6h ago
That's right, but the hardest part is maintaining the right mindset. Many people initially understand the principle of compound interest, but after a market swing, they forget everything and feel compelled to gamble for a double.
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DefiPlaybook
· 6h ago
Honestly, I agree with this compound interest logic, but making 50-100 dollars daily on 500 bucks is just a joke in the crypto world [dog head].
Traders who make 20-40% per month are indeed top-tier, but you have to survive two bear markets first before saying that.
The part about leverage amplification is correct, but the problem is most people have no self-awareness and are dreaming of tenfold returns every day.
Emotional breakdown is the main cause of death, no doubt about that, but the environment can also wear you down.
Only by living long enough can you generate compound interest, and that's true — provided you can withstand unpredictable losses.
Many people enter the crypto space thinking about getting rich overnight, but I believe it's better to change your mindset.
Set a realistic small goal: for example, using 500 yuan as principal, consistently earning 50 to 100 yuan daily. Sounds small? But this is the true compound interest logic that can grow into big money.
Just look at mature financial markets and you'll understand that traders who can maintain a monthly return of 20%-40% are already top-tier. Those who aim to double their money every day often end up losing their principal.
Many blame leverage for their losses, but honestly, leverage is just a magnifying glass. It amplifies not only gains but also your greed, emotional fluctuations, and lack of discipline—these are deadly weaknesses. Experienced traders know that a margin call is rarely caused by market moves; it's usually because of a mental breakdown.
Those who can control their losses, even with 100x leverage, are more stable than those undisciplined traders using 5x leverage and randomly adding positions. So instead of worrying about "what leverage is safest," ask yourself whether your knowledge and ability match that leverage.
In crypto trading, leverage is never the devil; the real devil is greed. Your goal shouldn't be to multiply your money tenfold in a year, but to ensure you can stay at the table every day. Live long enough, and compound interest will naturally help you make money.