Most people shy away from the Martingale strategy, especially in the unpredictable world of crypto. The traditional approach, where you double your position size after every loss, is risky—especially when you’re dealing with assets as volatile as Bitcoin or Ethereum. But with a few adjustments, I’ve found a way to make the Martingale strategy work for me.
Here’s my approach to using a modified Martingale strategy for crypto perpetuals, dialing in on safety and consistent growth.
The Martingale strategy appeals because it’s simple and, in theory, foolproof: double down until you win, and the win will cover all prior losses. In reality, though, doubling down after every loss quickly spirals into huge positions, which is a sure path to disaster in the volatile crypto market. But crypto perpetuals offer unique opportunities: they allow leveraged positions, meaning I can trade with smaller capital but potentially high returns, and they let me trade both directions, making them ideal for an adjusted Martingale approach.
