The phone vibration at 2 AM was the most jarring sound I have ever heard.
The sound of the electric drill from downstairs is only annoying enough to keep people awake, but that day at 2 AM, the vibration of my phone in my pocket made my hair stand on end—sharp like an alarm.
I groggily reached for my phone, and as soon as I put on my headphones, Sister Lin's voice message burst out, trembling with emotion, almost cracking the headphones: 'Old Chen, I’m going in! I’ve put all my emergency funds into it, and I’m losing everything…'
I instantly became alert, and cold sweat broke out on my back.
Sister Lin is not a stranger; she is a childhood friend I have known for over ten years, managing administration and finance at a tech company, holding 520,000 in emergency funds. Recently, she was swept away by the myths of 'doubling in three days' and 'zero-cost wealth,' secretly investing all that money into the crypto market, hoping to make quick money and then stop.
But then came a cliff-like crash in the crypto market, and she watched her account balance plummet, only to find out later that she was left with just 3200 stablecoins.
520,000 turned into 3,200.
This money is the company's lifeline. Once the month-end accounts are checked, there’s no escaping the crime of embezzling public funds. Losing your job is a small matter; facing jail time and affecting your child's education could ruin your life.
Later, she told me that she smoked half a pack on the balcony that day. With the evening breeze blowing, her mind was a mess. If it weren’t for seeing her child's school bag in the living room, she would have really wanted to jump from the building.
I didn’t scold her for being greedy, nor did I offer her the 'everything will be fine' platitudes—saying those things at that moment was useless. I only sent her three messages, which are the trading rules I’ve summarized after ten years of navigating the crypto market, having fallen into countless pits and lost six figures.
No one expected that this nearly extinguished 'flame' would turn into 1,000,000 three months later. Not only did it fill the 520,000 hole, but she also made a profit.
This is not a feel-good story; it’s a real comeback that I personally monitored and witnessed step by step in 2023.
As an experienced analyst who has been in the crypto market for ten years, I have seen too many ordinary people turn 3000 stablecoins into 100,000, and some who lost 200,000 in a single day. Today, I will break down these three lifesaving rules. Whether you are a newcomer or a seasoned trader who has lost faith, remember these three rules; they will at least help you survive in the market and potentially make money.
1. Position Rule: Always leave an 'escape route' for your capital.
Why did Sister Lin lose so badly? The core issue was the gambler's mentality at play—putting all 520,000 into a new coin, thinking 'I’ll run when it doubles,' but when the coin price dropped by 10%, she panicked, sold at the lowest point, and lost everything.
The first strict rule I made her establish was the position red line, with no room for negotiation:
Never invest more than 40% of your total funds in a single transaction; split the remaining 60% into three parts and keep them in stablecoins for fixed deposits. No matter how tempting the market is, this part of 'lifesaving money' must not be touched.
Set a strict 15% stop-loss line; if a single asset loses that much, regardless of how reluctant you are, immediately liquidate your position. No averaging down, no holding on to false hopes.
Don’t think that 'saving money is too conservative.' In the crypto market, 'surviving' is always more important than 'making quick money.'
Last year, a fan didn’t listen to my advice and invested 100,000 in a concept coin. It rose by 20% in the first three days, and she proudly sent me screenshots, saying I was 'too timid.' But on the fifth day, the project team directly fled, the official website was unreachable, and the wallet couldn’t withdraw money. The 100,000 disappeared completely, and she came crying to me for help, but I was powerless.
In contrast, Sister Lin initially followed the rules; her first two short trades incurred small losses, but because she controlled her position well and was decisive in her stop-losses, she didn’t suffer any serious damage. These two 'minor losses' allowed her to preserve her capital and mindset for a comeback.
2. Trend Rule: Don’t act like a 'top-picking expert'; be a 'trend-following slacker.'
Many people lose big money because they fall for the 'bottom fishing and top escaping' trap.
They always think 'it has hit the bottom' and go all in, but they end up buying at the halfway point; they keep thinking 'it has reached the top' and go to cash out, only to escape just before the takeoff. Sister Lin also made this mistake at first; when the coin price dropped by 5%, she panicked and increased her position, and when it rose by 8%, she rushed to liquidate, getting 'cut' back and forth by the market, losing more and more.
I taught her to adopt the simplest mindset: give up 'direction guessing' and just be a 'follower.'
There’s no need to look at those complicated indicators or listen to so-called 'insider news'; just open the market software and check the weekly chart:
When the weekly chart trends upwards, look for pullbacks and enter with light positions; when it reaches the previous high point, sell some, don’t be greedy.
When the weekly chart trends downward, it’s better to stay in cash and wait; even if there are rebounds during this period, don’t get involved; controlling your hands is profit.
Once, when mainstream coins rose for two consecutive weeks, Sister Lin followed this logic and made three short trades, earning 5%-8% each time before immediately exiting, refusing to linger. In this wave, she directly earned 120,000 stablecoins.
There was no complicated analysis, no precise predictions; she just followed the trend closely and avoided all the traps.
3. Cashing Logic: Only when profits are cashed out can they be considered yours.
This is the easiest rule to overlook, but it’s also the most critical one.
Many people get carried away after making money, thinking 'it can go up more,' only to end up giving back their profits or even losing their capital. When Sister Lin first earned 50,000 from short trading, she got so carried away that she insisted on increasing her position with all her money, thinking she wanted to 'earn enough in one shot.'
I directly called her to wake her up: after each profit, leave at most 30% to continue trading, and the remaining 70% must be converted into stablecoins and withdrawn immediately.
It's like receiving red envelopes during the New Year as a child; first, you give half to your parents to save, and then you spend the rest freely. The profit is the same; it only counts as real earnings when it is turned into “spendable, withdrawable cash.”
Sister Lin strictly followed the rules later on and withdrew over 400,000 in three months. By the time her account total reached 1,000,000, she had actually secured over 700,000. Even if the market suddenly drops later, she wouldn't panic at all—she had already recouped her capital, and the rest was all 'extra money' earned.
Finally, I want to say something heartfelt.
In the crypto market, skills, indicators, and news are all 'the icing on the cake'; the real core is self-management.
I have brought many fans from a few thousand stablecoins to tens of thousands, not through 'insider information' but by ingraining these three rules into their bones and executing them properly.
Now, as the market gradually warms up, many new opportunities are emerging, but I dare say there are still many people who will repeat the same mistakes.
It's not a lack of methods; it's a lack of discipline to 'keep your hands in check.'
If you currently have a few thousand or tens of thousands of stablecoins and don’t know what to do, it’s better to write down these three strict rules first, learn to 'survive' before thinking about making money.
The market never lacks opportunities; what it lacks are people who can endure until the opportunity arises.
