There is a heartbreaking saying in the crypto world—90% of people end up losing. I am no exception. Last year, at 2 a.m., I experienced my seventh liquidation. At that moment, I really thought about giving up. Later, a seasoned trader gave me some materials, and the arbitrage system inside completely changed my game approach. Since then, in just half a year, my initial capital of 3,000U has grown to 287,000U.

I will break down this trading strategy into three phases, hoping to inspire friends still stuck in the losing streak.

**Stop-Loss Phase (1-7 days)**

First, survive. Let go of the dream of getting rich with 100x leverage; this path has a 99% chance of failure. I allocate my 3,000U as follows: 2,000U directly into mainstream coins ranked in the top 20 by market cap, but avoid coins in positions 3, 7, and 15 because these are more likely to be manipulated; 800U set aside specifically for arbitrage operations; the remaining 200U as emergency funds, used as the last chip to turn the tide if the account gets liquidated.

There are no high returns expected at this stage—just keep a steady mindset and preserve the principal.

**Bloodsucking Phase (8-30 days)**

This is the key to turning the tide. I focus on two signals: one is when the BTC/USDT price difference on a secondary exchange exceeds 1.5%, and the other is when the funding rate of perpetual contracts is below -0.02% within 12 hours.

Once both conditions occur simultaneously, the operation is simple—buy spot on Exchange A and open an equivalent short position on Exchange B. This allows you to earn triple profits: the price difference between spot and futures, income from funding rates, and profits from volatility. Last month, I netted 4,273U with this approach, which is a stable cash flow.

Many people understand this logic, but two mistakes happen in execution: one is being afraid of trouble, and the other is insufficient risk awareness. In fact, as long as your capital management is proper, this arbitrage has much smaller drawdowns than subjective trading.

**Breakthrough Phase (31-90 days)**

Once the account exceeds 20,000U, it’s time to consider accelerating. The goal at this stage is to target new coins. Not all new coins are profitable; the key is the match between fundamentals and market sentiment. If you pick the right project, doubling your profit is just around the corner.

This phase carries more risk, but the previous two phases have already provided enough buffer and psychological preparation.

**Final Words**

Turning the tide in crypto is never about luck; it’s about mastering the rules and executing step by step with precision. Many lose because they "think too much and do too little," envy others’ profits, but dare not follow their plan.

If you are still losing now, take a moment to calm down and thoroughly understand this logic. Start with small funds and grow step by step—that’s better than anything else.