Many beginners enter the market with just a thousand or two thousand yuan, and the biggest misconception is thinking about getting rich overnight. In reality, the first lesson for small funds is not how to multiply hundreds of times, but how to survive in the market.

Once in the market, there are basically two paths. One is to select projects with good fundamentals and valuations that haven't been inflated yet, and focus on deploying capital once the logic matures; the other is to split funds into two or three parts and allocate to multiple relatively high-probability targets, giving yourself more room to maneuver.

But no matter which path you choose, there is one rule you must stick to: as soon as you start making money, withdraw your principal immediately. Let the remaining profits continue to operate in the market; this will greatly reduce your psychological pressure. In the end, you'll find that most small fund players who actually make money are in a zero-cost holding state.

Spot trading has a characteristic—slow gains and easy to get trapped, often entering long-term sideways movement after just a few days of rise. Many people are not bad at selecting coins, but simply lack the patience to grind through this rhythm. The biggest challenge for small funds is not in choosing the right targets, but in resisting the impulse to hold heavy positions and go all-in.

High returns often come with high risks, and a small loss can crush the mentality of small funds. Chasing highs frequently and going all-in is never the game for retail investors. What small funds need is the opposite—low drawdowns and a steady pace that can compound.

Don’t think about waiting until your principal grows larger to operate more properly. If you can't manage your position and mindset with just a few thousand now, even if you have a million in the future, the market will still gradually take it back. The only right way for small funds to grow into large ones is to make fewer mistakes, accumulate slowly, and stay patient. In the crypto world, slow is truly fast.

One last point—personal exploration is very easy to go off track. Lack of information, poor timing of entry, and insufficient cognitive upgrades—missing any one of these makes it hard to go far. If you want to avoid detours and achieve stable profits, it’s best to find reliable references and guidance instead of wandering in the dark alone in the crypto space.