Hacker Noon contributor The Crypto Cactus has shared their personal journey from $2,000 to more than $2 million over the course of just under a year and a half – 16 months, to be exact.
If you haven’t heard of The Crypto Cactus, it might be because they go by this pseudonym for their online tech writing. However, don’t let that deter you from the story.
Crypto Cactus has earned a huge reputation for growing capital the smart way.
So how did Crypto Cactus transform $2,000 to $2M?
Play to Your Strengths
The first big piece of investment advice given is to play to your strengths. Starting with $10,000 in Bali, this investor returned home with nothing left in the bank.
They learned the hard way that everyone has to struggle to find their path to success when it comes to profiting in the market. In this way, you can learn to play into your strengths.
For example, Crypto Cactus found that day trading wasn’t the best way to earn a living based on their strengths.
Instead, they started their own little side hustle writing one-page summaries and whitepapers for various cryptocurrency projects. They were already doing the research on how to break into the market and poured all of their extra money into ETH back when the price was just $104.
Crypto Cactus took this opportunity to learn more about crypto and invested in several other big-name projects like THETA, DOGE, and UTK. They spent another three years learning technical analysis without success and instead decided to pivot in their brand.
Starting The White Palm
According to the Twitter thread from the same user, they decided to expand their interests in the market beyond crypto and day trading. They capitalized on a trend of investing in IDO projects and started allocating capital into Polkastarter.
This early-stage investing sparked the interest in starting The White Palm where they surrounded themselves with other like-minded people.
Sell When Necessary
One tip that Crypto Cactus gives followers is to remember to sell investments or trades if you want to convert your trades into cold hard cash.
People tend to buy in and enjoy the long-term success of watching the portfolio grow over time. However, they estimate that 70 percent of all traders will both rise and fall with the portfolio.
In other words, you won’t be able to cash in if you wait too long.
The Crypto Cactus Investing Tips
The Crypto Cactus gives readers some food for thought when it comes to tips to succeed in the market and transform $2,000 to $2M. Here are some of the key takeaways from their success:
- Maximum leverage used is 3X.
- Stop trading leverage when you reach $100,000 and pour everything you can into ETH.
- Capital preservation is key. Always diversify into other assets when you can.
- Never trade with a SL or TP.
- Scale in and scale out manually.
Last but not least, the final piece of advice that Crypto Cactus has for investors who want to transform their own small investment into millions of dollars: stick around. The market comes and goes with new trends taking their place all of the time. Find a loyal tribe of like-minded people and enjoy the journey!