Many people start by making excuses for themselves. The most common one I hear is "With such a small principal, there's no point in messing around." Honestly, when I hear such words, I just want to laugh. If only big players can make money in the crypto world, how do we explain the stories of grassroots traders soaring to success? Today, I will share my practical experience openly, about how small funds can not only survive but also thrive.



When I entered the market, I only had two or three hundred U.S. dollars. I definitely made some foolish mistakes at the beginning: being reluctant to cut losses, always thinking of going all-in for a big turnaround. What was the result? Almost losing everything. Later, I realized that the true advantage of small funds is not reckless trading, but flexibility.

Why are small funds more advantageous? It's simple. Most people in the crypto space are dreaming—"What if this trade yields a hundredfold?" They think about such good opportunities. But the reality is harsh—going all-in on a single trade is basically giving your money directly to the market. Once your judgment is wrong, there's no chance to recover.

In contrast, small funds experience the least pressure. Entering with 100U and entering with 100,000U are two completely different mindsets. Small funds allow you to focus on the strategy itself and the system, rather than being driven by the daily fluctuations in your account balance. This psychological advantage is severely underestimated.

My firm stance is: the smaller the capital, the more you should practice position rolling. Note, rolling positions doesn't mean every trade must be a huge win. It’s like ants moving house—one wave after another to accumulate profits. Gradually, you'll see your account balance steadily grow.

So, what is my practical trading philosophy? I'll be straightforward.

First, set clear goals and rounds. For example, aim to grow 100U to 300U as your first small goal, divided into several rounds to achieve. Each round should have specific take-profit and stop-loss points, with no ambiguity.

Second, strict position management. Even the best-looking trades shouldn't be taken with too large a position. I usually allocate between 5% and 10% of my total funds. This way, even if I lose several times in a row, my account can withstand it, and I still have capital to continue.

Third, maintain a steady mindset. Don't get overly excited when you make profits, and don't rush to recover losses. Small funds are about time for space—patience is key. Stick to your plan for a month, two months, three months, and you'll see changes.

Finally, recording is very important. Keep a record of every trade—when you entered, why you entered, how you exited, and the outcome. Regular review helps you see your trading habits and vulnerabilities clearly. This process itself is the best learning.

Looking back now, that period with small funds actually helped me develop the best trading habits. Because every penny was hard-earned, I was extra cautious. Conversely, when my funds grew larger later, I became more impatient. This is a principle worth pondering.
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
  • 7
  • Repost
  • Share
Comment
0/400
shadowy_supercodervip
· 01-07 06:59
Small capital players must watch out, mindset is the true secret to wealth I've always said this, rolling positions is the way to go, don't always try to go all-in Really, I have a deep understanding of recording every trade, only through review can you improve The most heard phrase is "no money, no meaning," but the reality is that the poor are more likely to survive This guy's summary is quite practical, managing 5-10% of the position indeed doesn't prevent many pitfalls Having a smaller account actually offers more freedom, no need to watch K-line all day and have a mental breakdown That's right, having more money makes it easier to become impatient, this argument hits the point
View OriginalReply0
YieldChaservip
· 01-06 11:42
Small funds are actually about cultivating the right mindset, and this point is spot on. Having less capital can actually help you resist the temptation to go all-in; otherwise, you would have been wiped out ten times already.
View OriginalReply0
ProxyCollectorvip
· 01-04 14:52
Playing with small funds and rolling positions does make sense, but honestly, it still depends on execution. It's really just about steadily progressing within your psychological comfort zone; there's no great wisdom involved. I've seen too many accounts' numbers rise while the people's mentality collapses first... This logic is especially effective in a bear market, much clearer than those who dream of hundredfold gains.
View OriginalReply0
WagmiWarriorvip
· 01-04 14:52
Well said, small funds are indeed the best training ground. Wait, this logic of rolling positions, I feel like it's just a way to cut leeks. Going from 100U to 300U sounds simple, but in reality, one black swan can wipe it all out. The most painful thing is to stay calm—I'm just not capable of that. The ones who always make money are that 1%, everyone else is just data. However, the review method is indeed useful; I need to try it. All-in is really a trap; that 5% or 10% position sounds more reliable. Starting with two or three hundred U, what scale are we at now? Instead of rolling positions, it's better to go all-in and wait for a hundredfold, after all, it's all gambling.
View OriginalReply0
GmGmNoGnvip
· 01-04 14:48
Just saying, small money is actually a sharpening stone.
View OriginalReply0
APY追逐者vip
· 01-04 14:32
Small funds are the true training ground, honest words
View OriginalReply0
YieldHuntervip
· 01-04 14:24
honestly the 5-10% position sizing hits different... most degens just yolo and wonder why they're liquidated lmao
Reply0
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • بالعربية
  • Português (Brasil)
  • 简体中文
  • English
  • Español
  • Français (Afrique)
  • Bahasa Indonesia
  • 日本語
  • Português (Portugal)
  • Русский
  • 繁體中文
  • Українська
  • Tiếng Việt