I have been in the crypto space for many years, experienced the dark days when Bitcoin dropped to $3,000, and also enjoyed the thrill of assets multiplying dozens of times during the bull market. Instead of discussing some vague theories, let’s talk about practical, real-money strategies—how a beginner with only 5000 yuan can survive and even grow their position.

**Key Point 1: 5000 yuan is a "seed," not a betting fund**

Too many people jump into the market hoping to double their money with a all-in bet, only to end up on the liquidation leaderboard. My approach is simple: divide the 5000 yuan into 7 parts, each 700 yuan. Use about $100 (roughly 700 yuan) to open a position, starting with at least 3x leverage.

Why stick to 3x leverage? 10x leverage may seem to offer sky-high returns, but when the market fluctuates, liquidation can happen faster than ordering takeout. 3x leverage can boost gains while leaving enough buffer—if the coin price drops 30%, you can still hold on.

The ironclad rule: never risk more than one-fifth of your total funds on a single trade; cut losses at 10% immediately—never hold onto a losing position; and as soon as you profit, withdraw the principal first. The remaining funds are for rolling into the next round.

**Key Point 2: The secret to rolling positions is letting profits run, securing the principal**

A recent example of mine was a ZEC trade:

I opened a $100 position with over 3x leverage, entering when the 4-hour MACD golden cross appeared at a bottom signal. The coin rebounded 30%, and my floating profit was $90. But I didn’t rush to add more leverage chasing the rally—instead, I waited for a pullback to confirm support before adding a second position. In the end, I closed with a profit of $300, but I had already safely withdrawn the initial $100 principal. The remaining funds were all profit used to increase the position.

This is the key—separate the principal from the profits. The principal is your safety net; profits are what you can confidently gamble with.