Seeing people around me fall into traps again and again, I finally understood: the ones who truly make money in this market are not the smartest, but those with the most discipline.
Six years ago, I entered this circle with a few friends. At that time, many of us couldn't even clearly explain what 'blockchain' was; we were just attracted by those wealth stories. The results were predictable: some invested 100,000, and in the end, only had one or two thousand U left, staying up late staring blankly at the K-line chart; others believed in 'expert' recommended projects and ended up losing everything, having to quietly exit.
But one friend left a deep impression on me. He scraped together 5000U at first, staying up late every night to watch the market, getting nervous and sweating when he saw price fluctuations. I told him, 'In this market, surviving is more important than making quick money.'
Six years later, his account grew from 5000 U to 36 million U. There is an element of luck, but more so because he strictly followed the three iron rules that I repeatedly emphasized.
01 Only fight the battles you are prepared for; do not be a slave to your emotions.
At first, like most beginners, he couldn't help but trade frequently, fearing he would miss any opportunity. Every time he saw someone making money on a coin, he hurriedly followed in, often buying at high points and selling at low points.
I told him: when the market is still, consider it a rest; when the market moves, strike with certainty.
In the cryptocurrency market, the hardest part is not finding opportunities, but rejecting the majority of them. I had him set this phrase as his phone wallpaper: 'Not every fluctuation is worth trading; only trade in markets you understand.'
He began to learn to focus on opportunities after clear trends and breakout volumes, rather than chasing every hot topic. He established his own trading checklist and only acted when all conditions were met. This change gradually reduced the volatility of his account and stabilized his mindset.
True trading masters understand the principle of 'less is more.' Staying inactive is often the smartest choice; if the market does not give you clear odds, why force a trade? Would you rather make five mediocre trades or wait for an excellent opportunity?
02 Position management is the art of survival.
He once loved to gamble everything, always thinking about getting rich overnight. The outcome is predictable - a single misjudgment is enough to wipe out all previous profits.
I designed a three-tier position management method for him: Probe, Follow, Confirm. Gradually increase positions to take profits in a trending market, and immediately reduce positions to cut losses in a counter-trend.
"It's better to miss a wave than to be wiped out in a single pitfall." I have repeated this phrase no less than a hundred times.
In the cryptocurrency market, risk management is the cornerstone of survival. I have seen too many people suffer devastating blows to their portfolios due to over-leveraging and a single poor judgment. Proper position sizing should be adjusted based on your risk tolerance and market conditions, not just based on feelings.
After he implemented this strategy, his account curve finally transformed from a rollercoaster to a steadily rising curve. More importantly, he no longer felt anxious or sleepless due to market fluctuations; trading became a disciplined execution rather than an emotional gamble.
03 Actually pocket the profits
When he first started making money, he would always feel elated, thinking he was a trading genius, only to give all the profits back to the market. This is a common issue for most traders - the inability to lock in profits.
I set a rule for him: every time he makes 30%, immediately withdraw half and lock it in a cold wallet, never to replenish. I told him: 'What you have earned is called money; what you haven't withdrawn is just an illusion.'
In a bull market, taking profits is often more difficult than buying the dip. Many people regret 'selling too early,' but I can assure you that in the future, you will be grateful for your rational decision at the time. The market is not lacking in opportunities; what it lacks is the wisdom to keep profits.
This strategy allowed his mindset to stabilize completely. He knew that regardless of how the market fluctuated, the locked-in profits were safe. This enabled him to face market fluctuations more calmly and make more rational decisions.
Written at the end
He has long achieved financial freedom; his income from a few trades each month exceeds what many people make in a year. But the phrase he often tells newcomers remains: 'Three iron rules, simple but most useful.'
The cryptocurrency market seems chaotic and disordered, but in fact, it has its own rules to follow. Maintain discipline, control positions, emphasize execution, do not blindly chase prices, do not gamble impulsively, do not be greedy; after a few years, you will naturally find yourself in a position others look up to.
In this market, going it alone is very difficult. We all need some trustworthy partners to share insights and remind each other of risks. After all, in this zero-sum game, surviving is the true victory.
Eight years have passed, and I still remain in this market, and I still believe: disciplined traders will always reach the end.
If you are tired of being harvested by the market and want to build your own trading system, you might as well start with these three simple iron rules. They may not make you rich overnight, but they can help you last long enough in the game to seize some real opportunities.
After all, in the world of cryptocurrency, endurance is the ultimate winning weapon.
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