In the crypto world, 90% of retail investors lose money due to 'counter-trend operations' and 'lack of understanding of the rules'. I have seen people holding Bitcoin as it fell from 30,000 to 10,000, firmly believing 'it will bounce back soon'; I have also seen those frequently switching coins in a bull market miss out on tenfold opportunities. Today, I will share 13 'survival rules' that I have learned after many pitfalls. Understanding each one could help you avoid losing at least 500,000.
First, let’s look at the most painful 'truth about bulls and bears':
In a bull market, don’t blindly switch coins! Last year in the bull market, some followers held Ethereum from 2,000 to 3,000 but switched to altcoins because they heard 'XX coin could rise 10 times'. As a result, Ethereum rose to 4,000, while the altcoins dropped by 30%. The core of a bull market is 'holding onto the main trend'. Frequently switching coins will only make you miss the most profitable opportunities.
In a bear market, holding onto coins tightly is even more painful! In the bear market of 2018, some people held EOS as it fell from 100 to 5, stubbornly refusing to sell, reasoning it was 'value investing'. However, when the bull market started, they sold EOS at 15, missing out on the later rise to 50. Holding onto coins in a bear market should depend on whether the coin has value; worthless coins will lose more the longer you hold them, while quality coins should be held until the bull market starts.
Next, I will break down the practical application of the 13 rules, each corresponding to specific operations:
'When there is a huge volume, there is a sky-high price; when there is low volume, there is no price.':
Last year, when Bitcoin rose to 69,000, the trading volume hit an all-time high. I immediately reminded my followers to reduce their positions. The huge volume indicated that 'the last batch of latecomers had entered the market', and as expected, it later plummeted to 30,000. Conversely, when Bitcoin dropped to 15,000 in 2023, the trading volume was sluggish, but at that time, don’t rush to cut losses. 'Low volume' is often the darkness before dawn, and after that, a rebound followed.'In a bull market, do not call the top; in a bear market, do not call the bottom.':
In the bull market of 2021, Ethereum rose from 1,000 to 4,000, and some people shouted 'it can reach 10,000'. In the end, it really rose to 4,800—don’t easily guess the top in a bull market; as long as the trend is there, just hold on. In the bear market, Bitcoin dropped from 69,000 to 30,000, and some people shouted 'it will drop to 10,000', but it fell to 15,000 and then rebounded. So in a bear market, don't easily try to catch the bottom; the bottom is revealed through movement, not guesswork.'Don’t chase after a big rise for three days, and don’t sell after a big drop for three days.':
For example, if a certain coin rises 20% for three consecutive days, chasing in at that moment is likely to end up with a bad deal. After a big rise, there is often a correction. Conversely, if it falls 15% for three consecutive days, don’t rush to cut losses; it may be the last drop, wait until it stabilizes before making a move.'Pay special attention to coins that show a large rise from a low volume.':
At the beginning of this year, SOL rose from 10 dollars to 15 dollars with trading volume tripling. I reminded my followers to pay attention, and then it rose to 30 dollars—an increase in volume at the bottom indicates funds have entered, which may be a signal to start.'Be cautious when there is a huge volume at relatively high levels.':
Last year, when BNB rose to 600 dollars, the trading volume suddenly surged. I advised my followers to reduce their positions, and it later dropped to 200 dollars. A huge volume at high levels means either the big players are distributing their holdings or retail investors are chasing the highs. In either case, it's best to exit first.
These rules are not just inspirational sayings; they are 'guides to avoid pitfalls' that I have verified with real money. The core of making money in crypto is 'following the trend + maintaining discipline'. When the trend is present, use the rules to secure profits; when the trend is gone, use the rules to avoid risks.
If you are always losing money while 'chasing highs and cutting lows' or 'frequently switching coins', you might want to write down these 13 rules and compare them before each operation. Follow me, as I will break down more 'bull-bear transition signals' and 'main force trading techniques' to help you transform from 'the harvested leeks' into 'the hunters who feast on meat'!#RWA热潮 #BNB创新高