One, Winter 2017: The first lesson on stop losses during the 519 crash.
There are still crumbs of chips stuck in the gaps of the keyboard from the liquidation in 2018, and the time displayed in the bottom right corner of the screen shows 03:17—seven years ago at this time, I watched 50,000 in my account evaporate during the BTC crash, and the liquidation alert from the exchange pierced my eyes like an ice pick. At that time, I had just graduated and put all the down payment money given by my parents into some altcoin, clinging to the rumor of 'market makers supporting the price' and holding on, but the coin price fell from 2U to 0.1U, leaving no opportunity to cut losses.
The K-line chart printed on the wall is still there, with the drop column of May 19, 2017 circled in red—this was my first law learned: 'If a short-term coin doesn’t move for three days and drops 5%, cut losses.' Later I learned that if I had sold just one hour earlier that day, I could have preserved 30,000 of the principal.
Two, 2019 Bear Market: The counterattack script of halved coins.
In the second year of the bear market, I stumbled on a certain public chain coin. When it dropped from 10U to 5U, I consoled myself, 'When it drops enough, it will rebound,' but it fell all the way to 2U. Until one early morning, I saw a whale address suddenly scoop up 5 million U on-chain, recalling what a big player said: 'Nine days of decline is an opportunity.' I decisively went all in at 2.1U with 10,000 U—this trade made me 3 times profit and taught me the second law: 'If it drops from a high point and then falls for nine days, get on decisively.'
In the drawer of the trading desk, I kept the trading records at that time, with the note saying: 'July 23, 2019, on the 9th day, it couldn't drop anymore; I watched the K-line for 15 minutes before going all in.' Looking back, the success of that trade relied entirely on the iron rule of 'short-term viewing of 15 minutes and the daily line.'
Three, 2021 Bull Market: The life-and-death speed of chasing the leader.
At the peak of the bull market, I made my first pot of gold with SOL. When it rose from 50U to 100U, everyone in the group was shouting 'Sky-high price', but I was focused on the weekly trend—this is the 'Mid-term focus on the daily line' rule I learned from the big players. Later, when SOL rose to 260U, I took profits in batches at 200U and avoided the subsequent crash.
The trading room has a roller coaster K-line chart of SOL on the wall, with the note: 'Leading coins should chase the rise and cut losses, but don't catch flying knives.' Last month, a friend who got out at 100U came to borrow money; he had just lost his principal on some altcoin. I pointed to the chart on the wall: 'Do you remember SOL? The leader is resilient; when it dropped from 260 to 8U, it survived three months longer than the altcoins.'
Four, 2022 Rate Hike: Redemption of three months in cash.
Before the Fed announced the rate hike, I stayed in cash for 180 days. During that time, I watched a certain AI coin surge by 300%; I wanted to jump in countless times but was held back by the rule 'stay in cash if uncertain'. Later, when this coin dropped from 3U to 0.5U, I bought the bottom at 1U and made 2 times profit—this understanding came from the 200,000 tuition fee I paid for my liquidation in 2021: 'Staying in cash is not shameful; losing money is.'
Now, I have saved the chat records from that time on my phone; when a certain influencer was calling trades in the group, I replied, 'I don’t understand, let’s wait.' Later he got banned for leading trades, while I survived the massacre by staying in cash.
Five, 2023 Recovery: The survivor in the trap of new coins.
When a new coin launched, the community was hyped, but I found that the top 10 addresses held 80%. Remembering the rule 'be cautious of new coin inflows', I decisively abandoned it. Three days later, it dropped from 5U to 1U, and retail investors who caught the falling knife cried bitterly—this reminded me of how foolish I was in 2018 when I caught a new coin.
There is a 'Blood and Tears Notebook' in the drawer of my trading desk, with the first page saying: 'Consensus is a double-edged sword; coins without fundamentals will go to zero when the hype fades.' Last week, my cousin wanted to invest in a new coin; I tossed him my notebook: 'Take a look; seven years ago, I was as foolish as you, now I understand that the crypto world isn't about dreaming through consensus, it's about surviving through discipline.'
Six, Now I: Daily life sustained by trading.
Every morning at 6 a.m., I religiously watch the 15-minute K-line, then transfer last week's profits to my wife. On the dining table, there is a drawing by my son, where dad is sitting in front of the computer, with the caption 'Dad is earning milk powder money.'
On the wall of the trading room, there are ten notes corresponding to ten laws:
Coin Identification Method: During the 2022 BTC crash, a certain coin went sideways against the trend, later rising 5 times.
Moving Average Iron Rule: Run when the 15-minute line breaks; in 2021, this trick helped me avoid 90% of the crashes.
Nine-Day Rebound Rule: After a certain DeFi coin fell for nine days, I made 3 times profit at the bottom.
Faith in Leaders: BTC rebounds faster than altcoins after each major drop.
Stop Loss Lifeline: Now I set a 5% stop loss on every trade, saving me 17 times in 2023.
Cash Position Philosophy: I stayed in cash for 180 days in 2022 but earned 70% profit for the year.
New Coins Three No-Touch Rule: Don't touch coins with >50% held by the top 10 addresses, no products, and excessive community hype.
Profit Reflection: After every profit, I have to write 'Is it luck or skill?'
Trend is King: Don't catch falling knives; in 2021, I tried to catch the bottom three times and got liquidated three times.
Consensus Truth: True consensus is about product implementation, not community hype.
Epilogue: Written for all traders on the journey.
Last night, my son asked me, 'Dad, is the crypto world fun?' I patted his head and said, 'Not fun, but it can teach a lot of lessons.' The moonlight outside shone on the trading desk, and the scars engraved over the years glimmered—seven years in the crypto world wasn't about how much money I made, but finally understanding to replace greed with discipline and to combat human nature with rules. These ten laws are survival guides forged with real money.
Now, I always keep 30% cash in my account, and my phone only has on-chain data tools. Occasionally, when passing by the café where I was liquidated back then, I think of that young man crying in the corner—opportunities are never lacking in the market; what’s lacking is a mindset that can take responsibility. And once you engrave these ten laws into your bones, it's hard to lose.
