In my early years, I was messing around in the crypto circle, losing so much that I could only afford to order takeaway with a shared meal, until I engraved "All in = zero" into my DNA, finally crawling out of the "scallion pool" into the "steady zone." Today, I won't talk about vague market predictions; I’ll only share the life-saving secrets I summarized after stepping into over 20 pits that new players can at least avoid losing 20,000, and maybe old players can also fill in some cognitive gaps!
1. I never use "gamble once" to make money — the "three-thirds" funding method saved me 3 times
When I first entered the scene, I also floated around, always feeling that "a big gamble could lead to lying flat," but one time I threw in half a month's salary, and in 3 days, I was left with only money for milk tea. Later, I stubbornly divided the money into three piles:
Emergency funds: rent and food expenses are 'necessary funds'; even if I see opportunities for 'doubling in a day', I absolutely won’t touch them. This is our 'retreat' in the circle.
Stable position: account for 50% of total capital, only invest in those mainstream targets that have been in operation for many years and have practical applications, just like buying rice instead of niche snacks; you won’t go hungry.
Speculative position: leave a maximum of 30% to play with new targets. If I lose, I treat it as a lesson; I will never add more money just because I'm 'unwilling' — last year, a certain altcoin lost 15%, and I immediately cut my position. Later, it fell by 80%, and I still smiled and sent my friend a screenshot: 'Look, this is the joy of not being greedy!'
2. Bottom fishing? I’ve long scratched these two words from my dictionary — only eating the 'fish body' is delicious.
Before, I always compared with friends on 'who can buy lower', but several times I ended up halfway up the mountain, doubting life after being cut off. Now I’ve completely given up on 'precise bottom fishing': when the trend isn’t stable, even if others shout 'the bottom has arrived', I dodge like avoiding food delivery delays; I wait until the target pulls back to a key support level (like the 200-day moving average) and doesn’t make new lows for 3 consecutive days before buying in batches — although I can’t buy the 'fish head', the 'fish body' is the thickest. Last year, I operated this way on a certain mainstream target and made 35%, much more comfortable than those friends who got stuck trying to catch the bottom.
By the way, don't chase highs! If there’s a surge of over 20% and it keeps going, it’s like running out in the rain without an umbrella; you’re very likely to get soaked.
3. Coins that double in a day? I dodge faster than my boss checking in.
Every time I see someone in the group flaunting that a certain coin has risen by 150% in a day, I quietly fold the chat box — these kinds of coins are like festive fireworks; the louder they explode, the quicker they extinguish. Last year, a friend chased a 'surging coin' and is now stuck at a 90% loss, complaining to me every day, 'Why didn’t I listen to you back then?'
I prefer to find targets that are 'quietly working': for example, those that can solve cross-border payment issues or have partnerships with real enterprises. These targets rise slowly but steadily, just like an old hen laying eggs; although slow, there’s always a harvest. A small target I invested in a while ago rose by 60% in 3 months, much more stable than chasing surging coins.
4. You don’t need too many indicators; 1 MACD is enough — all the flashy ones are traps.
In the past, I was obsessed with studying various indicators, looking at moving averages, RSI, KDJ together, but the more I looked, the more chaotic it became. When I bought wrong, I blamed 'the indicators were inaccurate'. Now I only focus on MACD, with one simple rule:
When there's a golden cross below the zero axis, you have to look at the volume — if the volume is more than double compared to before, only then consider entering with a small position; this is called 'capital following the signal'.
When there’s a dead cross above the zero axis, no matter what others say about 'it can still rise', I first reduce my position by 70% — last year, a certain target had a dead cross above the zero axis, and after I reduced my position, it fell by 40%. I even sent a screenshot to my fan group: 'Look, this is the benefit of not being greedy!'
Don’t trust those 'gods who can accurately predict with 10 indicators'; having too many indicators is like opening 10 live streams at the same time — you can’t keep up.
5. Lost and added to the position? I used to be foolish in my early years, but now I’m smart.
I used to think that 'averaging down can lower the cost', but a certain target fell from 100 to 50, and I added 3 times, ultimately losing 70% — now I have a strict rule: as long as a single loss exceeds 5%, I immediately cut the position and will never 'date' a loss; but when making money, I can add more, for example, if a certain target rises by 10%, I’ll add 20% to my position and let the profits 'run themselves'.
Remember: adding to a losing position is not 'saving the situation', it’s giving the losses a 'knife'. Let’s not do that silly thing.
6. Trading volume is the 'footsteps of capital' — any rise without volume is just 'false fat'.
Every day, the first thing I do when the market opens is to check the trading volume of the target: if a certain target has been flat for 3 months and suddenly surges by 15% on a particular day with volume more than 3 times before, it’s like a pressure cooker that has been simmering for a long time finally releasing steam; it’s very likely a real opportunity. Last year, I used this trick to catch a 40% wave, and many people in my fan group made money following my lead.
But if there’s no volume and it still rises, for example, if a certain target rises by 10% but the volume is even smaller than before, this is 'false fat'; who knows, it might fall back one day, and we shouldn’t be the ones picking up the pieces.
Actually, there aren’t so many 'myths' in the crypto circle; it’s just 'don’t be reckless, don’t be greedy, survive'. Now I earn a little money every day, don’t have to stay up late watching the market, and don’t lose sleep over losses. It’s much more comfortable than the 'gambler's mentality' of early years.
