1. The High-Following Equals Picking Up the Bill Theorem
Do you get nervous when you see a cryptocurrency surge? Remember: all sudden spikes are just smoke bombs before the major players unload. In 2024, when SHIB surged 300% in one day, I followed the trend and got stuck at 0.00008 USD; in the end, my account shrank by 60% when I cut losses. Now my principle is: any coin that rises over 20% automatically goes on the 'blacklist'; let the bullets fly for three days before reevaluating.
2. The Principle of Buying Points Above All
There are no good or bad coins in the crypto world, only correct or incorrect buying points. When BTC fell below 16,000 USD in 2023, everyone was shouting 'zero', but I used a dollar-cost averaging strategy to build positions, later making 3 times when it rebounded to 60,000 USD. Remember: when a major buying point appears, even junk coins can turn into gold; when it's not a buying point, BTC is just a hot potato.
3. The Mentality Bankruptcy Law
During the LUNA crash in 2022, I stubbornly held on, thinking 'there will always be a rebound', and ended up losing from 100 U to 3 U. Later, I summarized the 'three no-operations': don't trade when emotionally excited, don't trade when staying up late to watch the market, don't trade after consecutive losses—no matter how good the skills, if the mentality collapses, it's just giving money to the market.
4. Emotionless Trading
I once had 'faith' in a certain DeFi coin, going from a 200% profit to an 80% loss. Now I only trust signals: sell if the 30-minute candlestick breaks, only buy on MACD golden crosses. Last week when SOL rose to 200 USD, although I regretted not making more, I followed the signal to take profits at 190 USD, avoiding a subsequent 30% pullback.
5. The Self-Attribution Law
After every loss, I must conduct a 'three-question review':
- Did I place the order too early?
- Did I set stop-loss and take-profit?
- Did I follow the crowd?
Before the FTX crash in 2023, I lost 20,000 U because I blindly trusted 'inside information' and didn't set a stop-loss. Since then, I have recorded a review diary for every trade, and my win rate has increased from 30% to 60%.
6. The Greed Leads to Death Effect
In 2024, when PEPE surged 10 times, I didn't take profits at 5 times and eventually gave back all my profits. Now I use the '50% profit-taking method': withdraw half when profits reach 50% of the principal, and set a trailing stop for the remaining. This method allowed me to earn 4 times on UNI, while avoiding multiple crashes.
7. The Long-Termism Rule
In 2021, I frequently switched positions on DOT and ended up making only 20%, while my friend held for a year and earned 10 times. Now I understand: trading cryptocurrencies is a marathon, not a sprint. Checking my account only once a week actually earns me more—RNDR, which I invested in 2023, increased 15 times in 8 months.
8. The Currency Switching Loss Law
I tracked my trading records for 2022: I switched currencies 37 times, spent 1200 U in fees, and ultimately lost 3000 U. Later, I fixed my focus to just 3 currencies, and my return rate reached 280% in 2023. Remember: good currencies are 'nurtured', not 'swapped'.
9. The Market Rhythm Code
During the bull market in 2024, I discovered a pattern: when someone in the WeChat group shows off their sports car order, a crash is guaranteed within 72 hours. Now I use the 'emotional contrarian indicator':
- The more frantic the calls in the group, the more I reduce my position
- If the exchange app freezes, I immediately place a sell order
- When even my mom asks about the price, I clear my position and take a break
10. The Compound Snowball Effect
With a principal of 10,000 U, earning 1% daily becomes 33,000 U after one year; earning 2% daily becomes 120,000 U. In 2023, I used the '1% strategy': I don't chase high profits in single trades; as long as I earn a stable 1% daily, I stop. With this simple method, my account grew from 5,000 U to 38,000 U.
Final advice: I paid 500,000 in tuition for these 10 iron rules, each engraved with the tears of liquidation. The cryptocurrency circle is not a casino, but a training ground—only those who can control their hands, withstand temptation, and endure loneliness can survive to enjoy the big rewards.