It's strange that often the more conviction someone has about a trade or a coin, the less money they make on it.
What typically happens is that you identify a trade, or an opportunity in the market and decide that it looks incredibly good.
You then begin to focus on this coin, you check the chart more often, you fine tune, you engage more with the price action.
Unfortunately this leads to overtrading, trying to use too much leverage (because in your mind it's a huge winner) and spending too much time getting chopped around.
The thing about conviction doesn't always have to translate to oversizing. Sure, we may want to keep a stronger % of a portfolio against that market, but what we don't want to do is to spend too long micro-analysing and trying to get the most optimal entry possible.
You don't want to sit there and babysit your position watching a 5m chart. The emotion of moving price action is hugely disruptive to the majority of traders.
With your conviction bets, make sure you give yourself the breathing room. You have conviction for a reason, don't let your overanalysis and leverage use drag you down. We think we're actually making ourselves more informed when we study the chart for longer, but usually we're just adding doubt, fear and other negative emotions alter the way our investment/trade plays out.
Don't let the lure of leverage get in the way of your position. I understand it's really tempting, especially with strong feelings about the success of a market, to slide up the leverage. As I've covered many times before our minds actually always paint the positive outcome first which in this case is "damn I'm going to be so rich if I hit this at 50x lev" - your mind isn't as good at letting you understand that if you get chopped up 5-6 times before the position runs that you're actually now working from a negative position and require the market to move higher before you're even breakeven again. A core reason why the increase in conviction often leads to a smaller % of returns.
If you have conviction, size up into it, make sure you have the room to survive chop, make sure you're happy with your risk in case you're wrong, then walk away.
You've done your part, and your positions will be far more successful without you looking over their shoulder constantly.
Don’t try to rotate too quickly, don’t forever chase the hot market.
Sometimes your bags will be red on a green day, that’s fine.
Sometimes your chart might be consolidating while others are going up, that’s fine.
Don’t convince yourself you need to continuously swap markets.
If your market is flat, or has been flat, there’s a good chance it’s probably just done a 100% move and is pausing for some rest.
Awareness and time horizons importance.
Patience.