What should newcomers in the crypto world pay attention to?
7 Iron Rules for Beginners
Leverage Control
In the initial stage, it is recommended to use ≤3x leverage, and gradually increase after becoming proficient
Warning from the opposite example: The webpage mentioned that some investors used 5x leverage for 4-hour level trading, resulting in a single transaction risk of 25% leading to liquidation
Position Management
Single transaction funds ≤ 10% of total position, reduced to 5% in extreme markets
Pyramid Adding Method: Initial position 3%, add in batches after reaching profit target
Mandatory Stop Loss and Take Profit Settings
Stop Loss Line: Must exit with a loss of 2-5% of the principal (e.g.: 10,000 yuan principal, single stop loss 200-500 yuan)
Take Profit Line: Close 50% of the position when profit reaches 3%, track remaining position to take profit
Basic Tools for Technical Analysis
Trend Judgment: MA30 and Bollinger Bands middle track at 4-hour/daily level
Buy/Sell Signals: RSI overbought (≥70)/oversold (≤30) + MACD golden cross/death cross resonance
Platform Selection Criteria
Prioritize the three major exchanges: Binance (best liquidity), OKX (perfect Web3 ecosystem), Bybit (strong system stability)
Verification Elements: Transparency of funding rates, explanation of forced liquidation mechanisms, reserve amount of insurance fund
Emotional Management Taboo
Prohibit "Counter-Trend Averaging Down": 90% of those who bought the dip during the Luna crash faced liquidation
Prohibit "Revenge Trading": Mandatory stop for 24 hours after two consecutive losses
Black Swan Response Plan
Sudden Policy Risk (e.g., new US SEC regulations): Immediately close positions and buy put options to hedge
Exchange Risk (e.g., USDT de-pegging): Keep 50% of funds in cold storage
Cognitive Misconceptions
❌ "Contracts = Quick Wealth": In reality, 90% of newcomers lose money and leave within three years
❌ "Technical Analysis is Omnipotent": During the 2024 519 incident, purely technical investors lost over 60% in a single day due to not predicting policy risks
