Entering the market from 50,000 to 100,000 to 302,000, the third year reached 590,000, in August of the fourth year it reached 3.78 million, and in November it reached more than 7 million until a few years ago, when I could easily withdraw 30 million from the cryptocurrency market. During this period, I fell to rock bottom, when I once reached around 4 million, at that moment, I thought I could be considered a big player in the crypto world. I resolutely quit my job to focus on trading coins, even borrowing money to trade coins. However, reality gave me a harsh slap in the face; the financial crisis caused me not only to lose all my profits but also to fall into a mountain of debt, and in the end, I had to sell my house, and my husband almost left me.
That period was my darkest moment; in just a few months, I experienced a fall from the peak to the bottom. But it also made me realize that the previous smooth sailing was not without luck. Therefore, I felt that if I really wanted to continue on the trading path, I needed to study diligently. I should not only understand the basic knowledge but also analyze news and study technical indicators. If I do not conduct in-depth research and reasonably plan my finances, my funds will only be depleted. In the end, as a retail investor without a foundation, I would only be happy to enter the market and leave in despair.
In the following three years, I cut off all contact with classmates and friends, stayed at home, and worked tirelessly day and night on reviews. When tired, I would just rest my head on the keyboard and sleep. This hard work finally led to achieving financial freedom through trading coins.
In short-term trading of coins, you must remember the three iron rules!
First, when you make money, you need to protect your profits. For example, if you buy a coin and it rises by more than 10%, you need to be careful. If it falls back to your buying price, sell it immediately without hesitation. If you've made a 20% profit, then you should set a rule for yourself that you won't sell unless you can secure at least a 10% profit, unless you're sure it's a local high point; otherwise, don't sell easily. The same goes if you've made a 30% profit; you should at least protect 15% of that profit before selling. This way, even if you can't technically judge the high point, you can let your profits roll.
Second, if you lose money, you must decisively cut losses. If you buy a coin and it drops by 15% (this number can be set by yourself, but 15% is a suitable reference), then you must quickly sell it to stop the loss. This is to stop the loss in time and not let yourself sink deeper. If it rises afterward, that's okay; it means you chose the wrong entry point, which was a mistaken trade. Mistakes come with costs, and that is the loss. You must remember to set a stop-loss for every trade; this is an essential condition for trading coins.
Third, if the coin you sold drops, buy it back at the original price. If you sell a coin and it drops, but you still have confidence in it, then buy back the same amount of coins. This way, your number of coins remains unchanged, but you have more funds in hand. If it doesn't drop much after selling and you didn't buy it back, and it later rises back to your selling price, you must unconditionally buy it back.
Although this approach may waste some fees, it can avoid many risks of missing opportunities. This principle can be combined with the stop-loss principle: buy back when the price rises to the original price, and stop-loss if it drops again. If you find that the price of this coin is always unstable after multiple operations, then you need to choose a new entry point. In short, trading and short-term operations must adhere to principles; quick in and out does not mean aimless fidgeting, chasing hot spots does not mean blindly crashing, taking profits does not mean being timid, and staying in cash does not mean exiting the market. Don't get too caught up in finding the lowest and highest prices; just getting close is fine.
The way of trading is to defend an undefeated position and attack a winning enemy: many people perform very well in simulations, even doubling their results in a few weeks, but once they start real trading, they often lose money. At this point, their most common behavior is to continue researching technical analysis methods, constantly trying to improve their success rate, hoping to make money in actual operations. In fact, this approach is a detour and unnecessary. Because, in general, technical analysis accounts for only about 20% of the entire trading level, its importance is not great. Many experts have a low success rate but can still make continuous profits. If you perform very well in simulations, it means your skills are excellent, and you don't need to study further. Instead, you should focus your energy on other aspects, such as capital management, increasing positions, grasping long-term trends, etc. Don't let the joy of profit cloud your judgment; remember that the hardest thing in the world is to sustain profits. Once you make money, you'll want to make even more, and in doing so, you'll forget about risks and stop questioning the correctness of your established trading principles. This can lead to self-destruction. Therefore, you must always remain cautious: be very careful when losing money, and be even more cautious when making money.
Still the same saying.
Shendan is still laying out plans every day!
Comment section, hit 9!
No more long rides!
