For beginners looking to avoid pitfalls in the crypto world, the first thing to master is not techniques, but the iron rule of 'surviving'. I have summarized five hard-earned experiences, and if you can genuinely stick to them for three months, even if you start from scratch, you can avoid 90% of the traps.
Position management is the most easily overlooked fatal blind spot. Always keep 30% of your USDT untouched; this is not being conservative, but rather ensuring that when the bull market pulls back by 50%, you still have the 'option to add positions'. In terms of fund allocation, always reserve 60% of your position for BTC and ETH, which are the basic assets; new coins are merely seasoning, at most take out 5% to gamble, and reserve some for opportunities in new listings on exchanges. But the truly critical action is to immediately transfer 10% of your floating profits into a cold wallet the moment Bitcoin breaks its historical high—this step determines whether you can laugh from the bull market to the bear market.
Taking profits and cutting losses is the bottom line for protecting your principal. When the profits from your altcoins exceed 50%, you should immediately withdraw your principal, and the remaining profit can be gambled freely. But once the price falls below the 7-day moving average, regardless of how optimistic you are about the project or how much 'value investing' nonsense you've heard, you must decisively cut your losses. A second of hesitation could mean losing half.
What often drives people to despair is not the bear market, but rather the end of the bull market. Many rush into the tail end of the bull market, ignoring several clear warning signals: USDT exhibiting a negative premium for three consecutive days, a sudden drop in the overall Bitcoin hash rate, and on-chain monitoring platforms showing a large influx of BTC into exchanges. When these three signals appear simultaneously, the market is already teetering on the edge of a cliff; not running means going to the grave.
As for meme coins and low-quality projects, it might be worth changing your approach. Don’t choose coins based on feelings; instead, establish a standardized screening mechanism. Projects with a market cap that is too small are easily manipulated by major players; if the number of holding addresses is fewer than 2,000, it's a centralized landmine; social platform popularity must be checked—LunarCrush can reveal the truth; additionally, newly launched coins are usually extremely risky, at least wait for them to survive in the market for a week before considering involvement.
Finally, the hardest thing to master is psychological warfare. After setting your alert price, immediately clear your watchlist so that you won't be disturbed by short-term fluctuations. Whenever you make a profit, it's worth asking yourself, 'If this was my last BTC, would I sell now?' This question often gets closer to the truth than technical indicators.
Ultimately, the crypto world has never been about who can make money the fastest; it's about who can last the longest. I have seen too many genius traders blow up overnight, while those who adhere to their principles and tread steadily have survived through three cycles of bull and bear markets.
So now, please do three things immediately: prepare a hardware wallet and transfer your large assets out; write down your liquidation conditions and stick them next to your computer; bookmark this article and read it again before every trade. If you can truly stick to this for three months, I believe that when you return, your account numbers will have quietly changed.
Because in the cryptocurrency world, after realizing the truth, turning 10,000 into 1,000,000 has never been a myth, but rather a carnival that you ignite yourself.
