Crocodile Rule: The iron law of tyrants in the crypto world, 4321 strategy doubles in 3 months
One, Core of Crocodile Rule: Cut Tail to Survive
Deadly Logic: Not cutting losses when trapped = actively feeding the crocodile (losses expand 300%)
Operational Iron Rule: Unconditionally cut losses when breaking key support levels (like the 20-day moving average)
Two, Crocodile 4321 Strategy: Capital Allocation Nuclear Weapon
Proportion Strategy Case 40% Long-term Averaging (Add 10% for every 10% drop) BTC plan to invest 400,000 → drop 10% add 40,000 30% Long-term Hold (only average down, no panic selling) ETH/BNB each allocate 90,000 → withstand sharp declines 20% Medium-term Swing (20% take profit/take loss) stealth altcoins → run after earning 20% 10% Short-term Harvest (5%-10% quick entry and exit) secondary coins intra-day T+0
Three Major Wealth Discipline
Spare Money Principle: Only use money that won't be needed within a year (avoid leverage liquidation)
Phased Position Building: 50% drop divides into 3 buys (don’t go all in!)
Dynamic Adjustment of Positions:
Bull Market Peak → Reduce position to 50%
Bear Market Crash → Increase position to 80%
Four, Volume Code: Crocodile Hunting Signal
Low Position Volume Increase: Main force accumulating → bottom signal (e.g., BTC volume shrinking then surging 10 times in one day)
High Position Volume Shrink: Signal of Selling Out → Clear Inventory and Run (e.g., SHIB surging then volume slashing)
Abnormal RVOL: RVOL > 2 = Main force frantically buying → follow the lead to profit (e.g., DOGE breaking previous highs with volume)
Five, Crocodile's Blood and Tears History: 90% of people die in these three traps
Fantasy of Breaking Even: Adding position while down 30% → ultimately blown up (case: LTC halved in 2024)
Frequent Operations: Daily average trading > 5 times → annual loss of 79.2% (data: retail statistics 2024)
Against the Trend Holding: ‘Lowering cost’ in a downturn → losses expand 3 times
Ultimatum:
“There is no technical myth in the crypto world, only discipline and patience! Remember — when the crocodile bites your foot, breaking your leg is the only way to survive!”
2600 Days of Financial Journey, Exclusive Secret of Pioneers in the Crypto World: Insight into the market, steady progress, follow the captain to learn how to steadily increase value, risk and opportunity coexist in investment, blind operation is a big taboo in the crypto world!
