Let me be honest with everyone: 7 years ago, I jumped into the cryptocurrency market with only 800 in my pocket. At that time, I understood nothing, couldn't recognize all the candlestick patterns, and relied entirely on random guesses to buy, losing so much that I considered closing my account several times. But now, my account is stable at over 30000000.
Don't blame me for flaunting wealth; I just want to tear off the veil of the cryptocurrency market — this has never been a casino, and those who make quick money by luck will eventually lose it back through skill. Last year, I mentored a complete beginner who stubbornly followed my logic, and within 3 months, he doubled his capital. Today, I am revealing all my core insights without any fluff; it's all real combat experience, and those who understand can at least save 3 years of detours.
First, draw a hard rule: position size is life, something I summarized with blood and tears after losing my principal twice. I strictly split all funds into 5 equal parts, using only 1 part each time to test the waters — no matter how certain the market looks, I never go all-in. Set a stop-loss line at 10 points; even if you misjudge, a single loss will only account for 2% of the total funds. Even if I’m unlucky and get it wrong 5 times, the total loss is only 10%, and the foundation is still there, leaving room for recovery.
I don't set a fixed profit-taking number, but I have a hard rule: I must wait for profits above 10 points. That way, even if the market turns, it's hard to get stuck. I've seen too many people panic and run after making 3 points, yet stubbornly hold on after losing 20 points; that's not trading, it's just giving money to the market!
The core of improving win rates is two words: follow the trend. These two words have been overused, but 90% of people still can't resist acting against the trend. How tempting does a rebound look in a downtrend? Let me tell you, it's all 'bait' set by the main forces; it seems like a reversal, but it's actually a trap to lure in buyers, and entering will get you stuck. Conversely, the pullback in an uptrend presents the real 'bargain' opportunity — just like resting while climbing a mountain, you still need to keep going up.
Remember my words: buying low is always 10 times more reliable than bottom fishing. Bottom fishing is just guessing where the bottom is, and 8 out of 10 times you catch it halfway up the mountain; buying low means waiting for the bottom to be confirmed and following the capital, which is much more reliable.
Here’s another piece of counter-intuitive advice: don’t touch varieties that surge in the short term, no matter how tempting they seem. Whether it's a hot mainstream stock or a suddenly emerged small-cap variety, a price increase several times within days likely means capital is pulling out. During the days of high stagnation at elevated prices, the candlestick looks quite 'strong,' but it's actually the main force looking for a buyer. I've seen too many people rush in with a gambler's mentality of 'I'll sell if it rises another 10 points,' only to get stuck at the top of the mountain cursing — this loss is truly unnecessary.
Technical analysis doesn't need a bunch of flashy indicators; I focus on three core ones, which is enough:
MACD: A golden cross breaking the 0 axis is the most reliable entry signal; the traces of capital entering cannot be deceived. If a death cross appears above the 0 axis, don't hesitate; reduce positions and exit, as this is a warning of a trend reversal;
Volume: This is the market's 'barometer.' A breakout on low volume indicates that real capital is entering, so it's safe to follow; high volume without price increase means capital is quietly escaping, so withdraw quickly;
Moving Averages: I only look at 4, any more is just annoying. The 3-day line focuses on short-term fluctuations, the 30-day line determines the mid-term direction, the 84-day line captures main upward trends, and the 120-day line anchors long-term trends. I only trade varieties where all moving averages are rising; if the trend is wrong, I directly pass.
The last two iron rules can help you avoid 80% of fatal mistakes; you must engrave them in your mind:
First, never average down when in loss! I've seen too many people keep averaging down, turning small losses into large ones, ultimately losing even their principal. Instead, be bold in adding positions when in profit — once the trend is confirmed, let the profits roll, don’t be petty;
Second, you must review every trade after completion! Spend 20 minutes at night to verify your holding logic and check the weekly candlestick to see if the trend has changed. If wrong, quickly adjust your strategy; if right, summarize your experience, and over time, your win rate will naturally go up.
To be honest, there is no myth of 'getting rich overnight' in the crypto market, only survivors who 'proceed steadily.' The pitfalls I've encountered and the tuition I've paid over the past 7 years exceed the money I've made, and now all of it is condensed into these few practical tips.
If you find this useful, give a follow! In the future, I will break down my real trading cases, teaching you how to seize opportunities in volatile markets and how to earn enough in bull markets without losing in bear markets. Follow me, and next time the market moves, we can steadily profit together~#加密市场回调