Short-term cryptocurrency trading requires you to remember three key rules:

First, when you make a profit, you must protect it. For example, if you buy a coin and it rises more than 10%, you need to be careful. If it drops back to your purchase price, sell it immediately without hesitation. If you make a 20% profit, set a rule for yourself that you cannot sell unless the profit is at least 10%, unless you are certain this is a temporary peak; otherwise, do not sell easily. Similarly, if you make a 30% profit, you must at least hold on to 15% profit before selling. This way, even if you don't technically judge the peak, you can let the profits roll.

Second, if you are losing money, you must decisively cut your losses. If you buy a coin and it drops by 15% (you can set this number yourself, but 15% is a suitable reference), you need to quickly cut your losses and exit. This is to stop the loss in time and prevent yourself from sinking deeper. If it goes up afterward, it doesn't matter; it means your entry point was incorrect, and that was a wrong trade. Mistakes come at a cost, which is a loss. Remember, every time you enter a trade, you must set a stop-loss; this is essential for cryptocurrency trading.

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 a good outlook on it, buy back the same amount of coins. This way, your number of coins remains unchanged, but you have more funds on hand. If it doesn't drop much after you sell and you don't buy it back, and later it rises back to your selling price, then you must unconditionally buy it back.

While this may waste some transaction fees, it can avoid a lot of risks of missing out. This principle can be combined with the stop-loss principle: buy back when it returns to the original price, and if it drops again, cut your losses. If you operate this way multiple times and find that the price of this coin is consistently unstable, then you need to choose a new entry point.

In summary, short-term cryptocurrency trading requires principles. Quick entry and exit do not mean reckless maneuvering, chasing hot trends does not mean random crashing, taking profits does not mean being timid, and staying in cash to observe does not mean exiting the crypto circle. Do not get too caught up in finding the lowest or highest price; being close enough is sufficient.