From liquidation to a 100-fold increase, I have used these 9 principles to navigate through bull and bear markets. This is my 8 years of practical experience in the cryptocurrency world, every word is a truth, every sentence resonates! All are sincere words (recommended to save).
1. Accurately predicting the rise and fall of cryptocurrencies is almost impossible. The key to making money is to minimize losses when losing and maximize profits when winning. Be sure to set strict stop-loss limits and strive to expand profit margins, rather than pursuing an extremely high accuracy rate in predictions.
2. Don't always fantasize about getting rich overnight. In the cryptocurrency world, ensuring the safety of your principal is the top priority, and only then consider making a profit. Strong execution and a stable trading rhythm are far more important than unrealistic sentiments; this order must not be mistaken.
3. If you guess the market trend correctly several times in a row, don't get complacent. The market changes rapidly, and blind confidence can often lead you into bigger traps. Staying calm and cautious is the way for the long term.
4. No one can accurately predict the direction of the cryptocurrency market, so what you should do is wait and seize key opportunities to enter the market. If the timing is not right, patiently stay out of the market. Never trade frequently; high-frequency trading often leads to liquidation.
5. Beginners should not be greedy for more; focus on mastering one technical strategy, repeatedly researching and refining it. Perfecting one method to the extreme is far more effective than superficially learning many methods.
6. Recognize your identity as a small retail investor; decisively stop losses when you make mistakes is not shameful. After losing money, never get emotional and double down. Utilize the flexibility of retail funds well; this is key to competing with the main players.
7. When encountering experts in the cryptocurrency world, don't be afraid of losing face; boldly ask for advice. Their insights can help you save a lot of time and energy in your own exploration.
8. In the early stages of trading, start with small funds or virtual accounts to accumulate experience. If you cannot profit from repeated trading on a virtual account, directly entering with real funds will likely lead to losses. Caution in the early stage is essential for long-term stability.
9. Remember, we are here to trade rationally in the cryptocurrency world, aiming for steady growth in wealth, not gambling. No matter how enticing the market is, you cannot go all in; always reserve enough for daily living expenses and do not risk your family's future.