Woken up at 2 AM by a liquidation message, watching my account balance drop from six digits to three.
This is my daily life in the first year of entering the circle. Every time we talk about the embarrassing moments of being a newbie in the community, there are always a bunch of people chasing after me asking: 'Bro, how did you survive?' Today, I will reveal my survival rules, all of which are lessons learned the hard way. Newbie friends, don't be the 'ATM' of the market anymore!
As a cryptocurrency analyst who has been watching the market for 3 years, I've seen too many magical scenes: some people make money by luck, only to lose it all by skill; some treat the 'big shots' calls as divine orders, and in the end, they have nothing left of their principal. In fact, the market is never short of opportunities; what it lacks is the brains to avoid pitfalls. These four iron laws helped me survive 3 rounds of bull and bear markets, and I now pass them on to you unchanged.
1. Don't 'all-in' on positions; leave a way out to survive.
During the height of the bull market in 2021, I watched the K-line soar in red, and on a whim, I invested the entire down payment for my wedding house. At that time, my mind was filled with 'if it rises another 10%, I'll sell', but that night, a waterfall-style drop occurred, and within two hours, my account was 'cleared'. That night, I sat on the balcony all night, only to realize one truth: your position is your lifebuoy; the moment you go all in, you have given up the chance to swim.
Now I have set a strict rule for myself: the amount of capital for a single entry must not exceed 10% of the total principal. Even in the most certain market conditions, I must leave enough 'margin for error'. Newbies always think 'only by going heavy can you win', but the temperament of the crypto market is harder to predict than a girlfriend; today's 'sure rise signal' could be tomorrow's 'liquidation trap'. Keeping the principal is the capital for turning things around; this is not being conservative, it's about survival.
2. Don't 'argue with the market'; going with the trend allows you to reap the benefits.
I have an old fan who used to brag about 'precise bottom-fishing', saying he could predict market trends. But last year in the bear market, he was certain that a certain coin had 'hit the bottom', and he started averaging down from 20 yuan, but when it dropped to 5 yuan, he ran out of funds and watched helplessly as it fell to 1 yuan. When he came to ask me, I simply said, 'The market is not your family business; it won't rise just because you bought it.'
Many newbies have an obsession with 'catching bottoms and escaping tops', always thinking they are smarter than the market. But in reality, trends are like floods; going with the flow allows you to sail smoothly, while resisting will only lead to disaster. My judgment criterion is simple: if the daily trend hasn't broken, I trade in that direction; once the trend reverses, I immediately cut losses and exit. Don't compete with the market; it is always right.
3. Taking profits and cutting losses is a 'protective amulet'; don't be greedy or stubborn.
When I first started trading, I also suffered from 'greed': once I had a profit of 15%, I kept thinking 'if it rises a bit more, I'll sell', but then the market suddenly reversed, and not only did I lose all my profits, but I also lost 8%. Since then, I set a strict rule: if a single trade loses 3%, I cut losses immediately; if it profits 5%, I take half off the table and leave the rest to ride the market.
Newbies often make two mistakes: the first is holding onto losses, always hoping for a 'rebound to break even', and end up deeper in trouble; the second is being reluctant to sell when in profit, always thinking about 'maximizing profits', resulting in a wasted effort. Remember, there are no 'gods' who can 'sell at the highest point and buy at the lowest point' in the crypto market, only winners who know how to 'take profits off the table'. Taking profits and cutting losses is not a constraint, but a protective amulet for your account.
4. Less action means being a 'master'; frequent trading is a 'trap'.
In newbie groups, there are always people sharing trading records, opening seven or eight positions a day, looking busy and lively, but when the month ends, they find that the fees are higher than the profits. When I first entered the circle, I thought, 'not trading means missing opportunities', but later I realized there are countless opportunities in the market, but the ones that can make money are few and far between.
Now I only open a maximum of 3 positions a week, and sometimes when the market is bad, I simply stay on the sidelines. Trading is like fishing; if you keep casting your line frantically from the shore, you'll never catch the big fish; by being patient and waiting for the fish to bite, you will have a harvest. Newbies should remember: transaction fees are the broker's 'salary'; the more frequently you trade, the more it feels like you're working for them. Controlling your hands is more important than anything else.
After all this, the core of crypto trading can be summed up in four words: 'stay alive'. I've seen too many people make quick money through luck, only to lose it all through skill; the only way to make a long-term profit in this market is to protect your principal and maintain a stable mindset.
Welcome to follow the Coin Study Research Society, where you can watch real-time trading for learning and communication. You can also gain a clear understanding of market direction and strategies. No matter what style the market has, knowing it in advance allows you to better grasp it, and the team still has positions available for you to jump in quickly!#巨鲸动向 $ETH
