The 3-4-3 Investment Method: "The Foolish Approach" But with Long-Term Profitability in Crypto

In the cryptocurrency market, most investors lose not because they lack knowledge, but because they cannot control their emotions and do not have a clear investment strategy. One highly regarded method for safety and stability in the long term is the 3-4-3 investment approach. 👉 This is not a miraculous strategy, nor is it a quick-rich scheme, but it helps optimize costs, limit risks, and maintain composure in volatile markets. 🔹 1. Phase 1 – Withdraw 30%: Light Start, Maintain Stable Psychology With a total capital of 120,000 USD (or any capital level), only 30% is used initially to participate in the market. Goals of this phase: Avoid psychological pressure when prices fluctuateHave an early position but still reserve funds to handle situationsMonitor price reactions without fearing excessive risk In volatile environments like crypto, entering trades too aggressively from the beginning can lead investors to stress and make emotional decisions. 🔹 2. Phase 2 – Add 40%: Dollar-Cost Averaging Based on Market Conditions This phase focuses on cost optimization and building a solid position. There are two scenarios: Scenario 1: Price Increase Do not chase the price. Wait for a correction before adding to the position. This helps to: Avoid buying at short-term peaksLimit FOMOMaintain a reasonable risk ratio Scenario 2: Price Decrease Apply the rule: Whenever the price drops 10% → add 10% of the total investment capital. Through this incremental approach, the average cost is significantly lowered. This is a key factor helping investors avoid “portfolio break” during market shakeouts. When Phase 2 is completed, the total position reaches 70% of capital, enough to generate profits but still with reserves for adjustments when needed. 🔹 3. Final Phase 3 – Add 30%: Only When Clear Trends The final phase is only implemented when the market confirms the trend: Price stabilityLiquidity improvesTrend indicators give consensus signalsMacroeconomic news do not cause sudden shocks The last 30% is the “finalization” part, helping to maximize profits when the probability of winning is highest. Advantages of the 3-4-3 Method

  1. Superior Emotional Control Avoid being caught in FOMO during market rises. Stay calm during downturns.
  2. Effective in All Trends Price rising → Have an initial position, add at appropriate points. Price falling → Average cost scientifically, avoid reckless panic selling.
  3. Limit Account Burnout Risks Never go all-in. Always keep reserve funds for subsequent phases.
  4. Discipline → Result-Oriented Decisions A simple method but requires consistency. Impatient traders find it hard to follow, but those who maintain discipline will reap rewards. Why Is This “Naive” Method Effective? Because crypto does not reward the smartest, but rewards those who: Make the fewest mistakesAre not hastyKnow how to diversify funds wiselyAvoid emotional overwhelm While many chase peaks and sell bottoms driven by emotions, the 3-4-3 method helps investors go the distance with stability and less psychological fluctuation. Conclusion The 3-4-3 investment method does not promise quick profits, but it: Is sustainable Less risky Suitable for long-term investors Fits volatile markets Helps optimize costs and maintain psychological stability In crypto, sometimes simple but disciplined methods lead to much better results than complex strategies.
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