Position sizing is like separating eggs; don't put all your money on one order. Newbies should ideally divide their capital into ten parts and only use one-tenth each time. Once you get the hang of it, gradually increase your position. It's like learning to drive; first, get familiar with the road at low speed, so you have room to brake when unexpected situations arise.
Buckle your 'seatbelt' before placing an order. I know many seasoned traders who are all about stop-losses. When opening a position, you must think clearly: if the market reverses, where will you run? It's like checking navigation before taking a taxi; if there's traffic, it's better to change routes early. Those who always think 'I'll stop once I break even' often end up losing everything.
Don't be a 'trading workaholic'. Some traders want to place 20 orders a day; this isn't trading, it's an addiction. True experts understand 'less is more.' Instead of blindly messing around, it's better to set up an automatic trading program. Remember: money made from frequent trading isn't enough to cover transaction fees.
Turning unrealized gains into losses is the most painful. If you earn 5% and wait for it to double, but it retraces to your cost price, experiencing that roller coaster once is enough. It’s recommended to set a stop-loss order once you earn 3%, and in a bear market, you should harvest more frequently. It's like picking fruit; pick a few ripe ones to fill your stomach first, and then slowly collect the rest when there's a bumper harvest.
Go with the flow, don't force it. If you can't understand the trend, just stay in cash and sip tea. If you insist on going against the market, you'll eventually become cannon fodder. Last year, when Dogecoin skyrocketed, how many people ended up buying high? When the trend comes, have the courage to get in; if you're unsure, just be a bystander.
If you're not sure, then wash your hands and go to sleep. The market has opportunities every day; if you miss this wave, there will be another one. If you keep thinking 'what if it goes up,' in the end, you’re likely to say 'I knew it would lose.' It’s like buying a lottery ticket; winning relies on luck, but losing money is the norm.
Only trade active coins. If the trading volume of a coin is less than your salary for the day, you’re just helping someone else. Focus on established coins like Bitcoin and Ethereum; altcoins are like lotteries, you’ll lose nine out of ten times.
Don't put all your eggs in one basket. Don't bet all your money on a single coin; diversify into several mainstream coins to spread risk. Last year, ETH increased by 60%, but many small coins went to zero. Those who understand allocation ended up earning steadily.
Be decisive when it's time to act. When breaking through key price levels, act quickly like you're trying to grab limited edition sneakers; hesitate for two seconds and they're gone. Last year, when BTC broke through $60,000, those who reacted quickly got in early, while those who hesitated could only regret.
Don't make excuses for spending money. Eating hotpot today and partying tomorrow should not be reasons for trading. True experts only look at K-lines and trends; they won't let trivial matters interfere with their judgment.
Lock in profits and keep a reserve. When you make money, remember to transfer it to a 'retirement account.' Last year, some made 500,000 and invested it all, only to cry poor after the bear market halved their value. Smart people always keep a 'coffin fund' for emergencies.
Don't let airdrops fool you. Some project teams give out 'tokens' for free, but when the lock-up period ends, they go to zero. Last year, some big shots were tricked by airdrops to stand in for projects and ended up losing both their principal and profits.
Stubbornly holding is the biggest blunder. If a coin you bought for 500 drops to 20, thinking 'it will definitely rebound this time' will only lead to greater losses. It's better to cut losses and change your battlefield than to become a shareholder through trading.
Don't be impatient. If there are no opportunities, just wait; like hunting, you need to wait for the prey to get close before pulling the trigger. Last year, some people watched the market until they couldn't sleep, and then made random trades that lost them half a year's profits.
Small profits and large losses are the most fatal. If you earn 5%, run; if you lose 10%, stubbornly hold; this kind of operation will eventually lead to bankruptcy. It's like eating hotpot; dip the meat first before drinking the soup; if the order is wrong, the taste gets ruined.
Stop-loss orders cannot be canceled casually. Last year, someone set a 3% stop-loss, but canceled it manually just as it was triggered, resulting in a halving in one day. It’s like complaining about the inconvenience of buckling your seatbelt; if an accident happens, you won't have anywhere to cry.
Be bold in both long and short positions. If you see a trend, short when you should; last year, when ETH broke down, shorts made a killing. Don't always think 'only rising prices make money'; you can still make a meal in a bear market.
Don't trade based on price alone. The $100 DOGE and the $60,000 BTC have completely different value logic. It's like buying a phone; a $3,000 iPhone and a $300 knockoff, price doesn't equate to quality.
If you're wrong, you have to admit it. If you're stuck, cut losses and switch positions; constantly thinking 'I'll lower my cost' will lead to a game of Russian roulette. Last year, someone kept averaging down on ICP from 500 to 20, only to end up liquidated.
Don't let profits turn into bubbles. If you earn 20% and wait for it to double, only to retrace 10% and lose all your profits. It’s like taking the elevator; going up ten floors and then falling back eight is worse than steadily climbing the stairs.
When plans can't keep up with changes, stick to discipline. If the market suddenly changes, decisively execute your original plan; don’t act impulsively at the last moment. It’s like driving on a road trip; if you encounter a roadblock, you have to follow your backup route, not just abandon the car on the highway.
Don’t increase your position just because you’re making money. Newbies often lose back money they earned by luck. Last year, some people got rich from altcoins, but after leveraging, their principal went to zero in three months.
The market never misses opportunities; the question is whether you can seize them. By following experienced people, we can earn more! Keep up the speed!
Daily Focus: OM SUI SOL FUN BTC
