Many traders do not buy just a few hundred dollars to change their fate overnight, and they often end up as "victims" of the market. The explosion in accounts has never been a random event, but rather a result of the lack of a clear methodology.

Some use a capital of $1200, go through three weeks to reach $2.5 million, then stabilize above $3.8 million, maintaining a record free of explosions all the time. This example may seem extreme, but at its core, it strictly follows basic risk management logic — if you want to grow a small capital, review this fundamental approach.
**Method One: The Three-Part Rule, Survive First, Then Profit**
Using $1200, risking it all in one go is a deadly risk. The smarter way is to divide it into three parts, each $400, each serving a specific purpose.
The first part is used for day trading. Focus on one trade per day, aiming for a profit between 2% and 4%. When reached, close the trade and stop the program. Don’t think about "reaping benefits again," as greed is the biggest enemy of account explosion.
The second part focuses on wave trading. Wait until the daily trend clearly surpasses the resistance level or breaks the support level, then enter with a stop-loss in place. Don’t bet on market turning points; instead, enter with high probabilities, aiming to make more than 8% of the market and exit safely.
The third part is the permanent reserve. Regardless of how crazy the market is, do not trade with this money; consider it "revival currency." The benefit is that even if there is a problem with the first two accounts, you at least have capital to recover.
After dividing the funds into three parts, the worst-case scenario is losing the first two, with total loss within tolerable limits. It also gives you the opportunity to practice different strategies over various timeframes.
**Method Two: Understanding Market Rhythm, 80% of the Market in Fluctuation**
If Bitcoin or any other asset remains in a sideways range for more than three days, close the trading program immediately. It may seem frustrating, but in reality, it helps traders save a lot on fees and psychological stress.
Frequent trading is actually a waste of money on the platform. Real profit opportunities often appear when volume breaks a certain range or when the price stabilizes above the 30-day moving average. When these signals appear, enter with a stop-loss, and it will be easier to make profits.
Once profits exceed 15% of the original capital, withdraw 25% of it to the cold wallet to prevent retracement. This is not caution; it’s turning apparent profits into real profits. Remember the principle: be patient when the market is quiet, and be ready to move when the probability of opportunity is high.
**Method Three: Strict Rules to Kill Emotions, Execution Is More Important Than Prediction**
Before each trade, write down three sentences and apply them precisely as if they were a contract:
First line, set a stop-loss at 1.5%, and upon reaching it, close the trade immediately. Do not expect a rebound, and do not repeat adding guarantees.
Second line, if you achieve more than 3% profit, close half of the position, and place a trailing stop on the rest. This way, you preserve profits and let the market go where it wants.
Third line, completely prohibit increasing size on losing days. Many people get used to adjusting the average price, but the result is accelerating losses. You may have heard before the phrase "dive deeper"; in trading, this is not advice, but reality.
Small capital is not a problem, but greed for quick wealth is the real disease. $1200 can turn into $25,000, not thanks to extraordinary market predictions, but due to unbeatable risk management awareness and patience for high-probability opportunities.
Many still worry about rising or falling by tens of dollars; try to fully understand these three methods. In the trading world, slow is fast, and consistency is profit. Let the small snowball roll gradually to become a big snowball—that is the right way.#Gate2025AnnualReportComing