Recently, I've encountered many traders who are new to contracts, holding around a few hundred to a thousand USD. The first question they ask is: "How exactly should I operate? I’m afraid that entering the market might lead to a sudden stop-loss and liquidation."

This concern is actually very normal—small funds and large funds have different strategies. Over the years, I’ve seen small fund traders who manage to survive, and none of them made money by rushing in recklessly and holding on stubbornly.

Many people overcomplicate things. In fact, the first step doesn’t require choosing which coin to trade or reading complex indicators. The most important thing is to establish a fundamental principle: never gamble all your funds in one shot.

How do I usually advise beginners? Simply and straightforwardly—divide 1000U into 5 parts, and enter the market with 200U each time. Don’t think about using extremely high leverage; a range of 3 to 8 times is enough. Those who go in with 50x or 100x leverage are not really trading—they’re gambling on when the market will suddenly spike and wipe them out. The remaining four parts of your funds should be kept safe and steady. If you lose one part of 200U, don’t add more to your position or chase after losses. Stay calm—that’s more important than anything.

I learned this lesson the hard way early on. After losing a trade, I was unwilling to accept it and thought that adding more would recover the losses. The result was digging myself deeper and deeper, eventually reaching a dead end. Later, I realized that the market offers opportunities every day; it’s not that the chance is gone once a trade fails. Instead of forcing yourself to keep trading, it’s better to pause for half a day or a day, reflect on why you lost, and only after your mindset is fully calm should you continue trading with the remaining funds, breaking them into smaller parts to start over. This slow process helps develop a rhythm—don’t expect to turn things around in one shot.

Another equally important habit is to take profits promptly. If your account has a floating profit of 500U, don’t be greedy and leave it all in the account. You should withdraw 300U to lock in gains, leaving only 200U to continue trading. Having real profits in hand makes it less likely to go off track in subsequent trades. I’ve seen too many traders who refuse to withdraw a few hundred dollars of floating profit, only to lose everything on a single bearish candle and have to start from zero again. That feeling is really unpleasant.

To be blunt: trading with 10x leverage, a 10% wrong move can wipe you out. Is a 10% daily fluctuation in BTC normal? Absolutely. Even professional traders with a 60% win rate are considered experts. So, what truly determines whether you survive is not how accurate your judgment is, but whether your position size is small enough and whether you can decisively exit when it’s time.

My own risk control line is set like this: if a single-day loss reaches 2% of total funds, I immediately sound an alarm. If it hits 6%, I shut down the software and stop trading. Profitable trades should first protect the principal, then let the profits run freely. Never let a big win turn into a pointless loss.

Finally, a few words for beginners: don’t rush in with small funds, start with low leverage, set stop-losses in advance, and take profits when you can. The money in your account grows gradually, never through reckless all-in bets.