Remember when you first entered the crypto world, holding $5,000 and staring at the screen, afraid that closing your eyes would cause a liquidation. Seven years have flown by, and I’m still in this space, but from being a frequent liquidation victim back then, I’ve developed a trading habit of not getting liquidated for seven consecutive years.

To be honest, futures trading has never been a gambling game; it’s a battlefield that requires calm calculation. Today, I’ll share the approach I’ve developed over the years, which might help you avoid a few pitfalls.

**Money should be allocated like this to survive longer**

With a $5,000 capital, I never open more than $500 per trade—that’s a strict rule. The remaining $4,500? That’s the reserve team, used specifically to handle market madness.

Many beginners tend to go all-in at once, thinking opportunities are fleeting. But the market has plenty of opportunities; what’s most scarce is the capital to stay alive. My strict rule is simple: never risk more than 7% of total funds on a single position, and if I lose, I don’t add to the position to recover.

I divide my account into three parts, each doing its own thing. 70% of the capital is tightly focused on liquidity monsters like BTC and ETH, with leverage locked between 3x and 5x; 20% of the active funds can explore perpetual contracts of new coins, with a leverage cap of 8x; and the remaining 10%? That’s the absolute safety fund, reserved for surviving black swan events.

**Mainstream coins are always more trustworthy than altcoins**

I’ve seen many people get wrecked on altcoins. Behind those unknown projects are powerful whales, and a single move can wipe out your money instantly. Instead of gambling on uncertain assets, it’s better to focus on truly solid projects. BTC, ETH—these giants may not have the most exaggerated gains like small coins, but they’re stable, highly liquid, and less susceptible to manipulation.