The biological mechanism of winning is almost etched into the genes of almost all living beings.
Written by: VKTR
Translated by: Luffy, Foresight News
After resting for a long time, I recently started actively trading perpetual options again. This reminded me of the scene when I first started trading in 2018. At that time, some of my favorite traders shared knowledge that forever changed the way I viewed the market. I'm not good at writing, but I've always been grateful to the veterans and hope to pass on this knowledge. So let's try.
There's a principle I've remembered to this day: the biological mechanism of winning is almost etched into the genes of almost all living beings.
When two lobsters fight, the winner's hormones will surge. He will be filled with serotonin and testosterone, standing tall and proud like a "Lobster Alpha Male"; while the loser will curl up, sulking, entering the "Beta Lobster" self-consolation mode.
This is not some random nature documentary nonsense. Jordan Peterson, though slightly schizophrenic, is basically correct. He talks about this for a reason. Victory truly reshapes your brain, changing your posture, boosting confidence, seeing opportunities instead of threats. This is an evolutionary program of millions of years, and your brain doesn't care whether you're fighting for territory or competing in the market.
This is the logic of trading.
Every small profit will excite you. Every profitable trade will make you more sharp, preparing you for the next win. But in my experience, most novice traders do the exact opposite.
They chase "instant success" instead of accumulating boring profits; they show off screenshots instead of earning actual profits; they hold onto 80% drawdowns in the name of "conviction"; they make revenge trades after losses instead of thinking calmly; they compare their meager 2% unrealized P&L with some KOL's 10x insider trading.
True winners are quietly accumulating boring profits and letting time do the repetitive work.
Why Your Brain Wants You to Go Bankrupt
When you fail, your serotonin plummets, your shoulders droop, and you see danger everywhere. Your risk assessment completely fails because your brain thinks you're now at the bottom of the dominance hierarchy.
So, what do bankrupt traders do? They try to win back all their losses in one trade. They increase their position, chase the next shit coin worth less than $60,000. They listen to signals from a former Fortnite scammer on Telegram.
Excellent traders do the exact opposite. They accept losses, maybe spend five minutes understanding what went wrong, and then move forward. They know that one down day in twenty up days is just noise. They protect their psychology more actively than their portfolio.
I often see this scenario. Someone loses money and immediately All In a bunch of shit coins with 20% of their principal, like watching someone constantly slap themselves without knowing why their nose hurts.
Compound Interest Is Always Underestimated
Most people can't understand compound interest because it starts slowly and is boring. Earning $50 on a $10,000 account, you'll think "what's the point". But that's precisely why it works: boredom makes money, excitement comes at a high cost.
Einstein called compound interest the "eighth wonder of the world" - imagine the person who proposed the theory of relativity being so impressed by basic mathematics.
You don't need to make big money every day; that's not how the market works. Sometimes you earn 1%, sometimes you earn nothing, sometimes you lose a bit. The key is that over time, your net gains will be more than net losses.
Take @gametheorizing as an example. I remember reading in @thiccyth0t's blog that he keeps his net asset growth around 2x each year, and then remains "zen" the rest of the time. He ensures he doesn't over-trade or reach a "peak". Those who earn 100x usually can't keep the money, just like lottery and casino winners who don't know how to handle wealth.
What Is an Effective Strategy
Take profits early, stop thinking about diamond hands. The market doesn't care about your conviction, it cares about supply and demand. Always take profits when profitable, at least a little each time.
Record your victories. Take screenshots of each win, create a folder to look at when you're feeling down. Your brain needs evidence that you're a winner, not just abstractly remembering the moment you made money. Showing realized P&L is okay, showing unrealized P&L is usually a bad idea - ask any veteran.
Control your leverage. Start with 1x or 2x. Only increase leverage after proving you can profit even without it. Leverage amplifies everything - including your stupidity.
Set daily goals, but be realistic. Don't trade just to trade. Trading is to achieve goals, then exit. Go out, connect with nature. The market will be there tomorrow, and it might look completely different.
Track your win rate. Prepare a simple spreadsheet or use platforms like @CoinMarketMan, @tradestream_xyz, or @AxiomExchange. If your win rate is below 60%, your strategy has problems, fix it quickly.
Build a ritual. Same setup, same time, same process. Your brain likes patterns. Create a pre-trading ritual that puts you in winning mode, it could be drinking coffee, reviewing your rules, or doing push-ups.
The Hardest Part of Small Wins
Most people make mistakes when starting to accumulate small wins: you must ensure your losses are small. Small wins mean you must also control losses.
I struggled with this initially. My capital curve looked like a Thanksgiving turkey chart - small rises, then a massive red candle erasing weeks of gains. This might be the hardest part of the entire strategy, but it's non-negotiable. A strategy of small wins and big losses will slowly destroy your account.
Losers do this: they blame others for market manipulation. They change strategies every week. They join Discord servers looking for "alpha". They're addicted to gambling, not treating it like a business.
Winners do this: they accept losses, learn every lesson, and prepare for tomorrow. They understand trading is a marathon, not a sprint. They know persistence matters more than excitement.
One failure in dozens of victories will hardly impact the result.
The Real Path to Success
While others are betting on the next L1 dog coin, you might be building a truly effective strategy. While they stare at open positions all day, you might be working towards goals and then going to the gym.
The real advantage isn't in some secret trading strategy, but in self-discipline. In treating trading like a business, not a casino. In understanding that the goal isn't to be right, but to be profitable.
Most traders trade to be right; winners trade to make money - there's a huge difference.
Getting rich slowly is boring and not cool. Your trash posts won't go viral because of stable profits. But you know what's even less interesting? What's even less cool: being poor at 30 because you chased 100x "conviction positions" in your 20s.
Most people who show off Lamborghinis on social media accounts are very poor. They try to show off on social media with a single "moon landing", and then lose everything with interest.
Of course, there are many exceptions, but in most cases, the real winners are those you can't see.
Just Win
Small victories accumulate momentum, and momentum puts you in a flow state. Lock in profits, boost confidence, and become a rock-controlling lobster.
Stop trying to prove how smart you are, and start proving how disciplined you are. Either win or be poor.
