Must-Read for Beginners! 7 Life-Saving Guidelines from Real Losses in the Crypto Market!

After countless lessons learned with real money, I have summarized these practical experiences in hopes of helping you avoid detours! It is recommended to bookmark this, as it may help you protect your principal at critical moments.

1. Off-Peak Trading: Avoid the 'News Fog'

During the day, the crypto market is filled with unverified good and bad news, leading to drastic fluctuations and potential misjudgments in buying high and selling low. It is advisable to concentrate trading activities after 9 PM, when market news becomes clearer, and candlestick patterns hold more reference value, allowing for more accurate trend judgments.

2. Lock in Profits: Reject the Trap of Greed

After making a profit, avoid the urge to 'get greedy'! For instance, if your current position has gained 1000 USDT, consider locking in 50% of that profit and holding the remaining position. Many investors miss the best profit-taking points due to greed, ultimately giving back all their gains or even losing their principal.

3. Data First: Reject Subjective Guesswork

Abandon 'guesswork' trading and use professional tools to assist in decision-making. Focus on three core indicators:

• MACD: Bullish on golden cross, bearish on death cross

• RSI: Watch for pullbacks when overbought, and rebounds when oversold

• Bollinger Bands: Constriction indicates a trend change, breakout confirms direction

Only consider entering the market when at least two indicators reach a consensus.

4. Dynamic Stop-Loss: Flexibly Respond to Risks

• Monitoring Status: After making a profit, manually adjust the stop-loss position upwards. For example, if the purchase price is 1000 USDT and it rises to 1100 USDT, you can adjust the stop-loss to 1050 USDT to lock in some profits.

• Non-Monitoring Status: Set a hard stop-loss at 3% to guard against extreme market conditions leading to liquidation.

5. Regular Withdrawals: Reject the Game of Numbers

Establish a 'profit withdrawal' mechanism, recommending to transfer 30% of profits to your bank card every Friday. Converting virtual numbers into actual assets enhances investment security and provides a tangible sense of profit accumulation.

6. Candlestick Techniques: Accurately Seize Opportunities

• Short-Term Trading: Reference the 1-hour candlestick; if two consecutive bullish candles appear, consider going long.

• Volatile Markets: Switch to the 4-hour chart and look for entry points near support levels.

7. Pitfall Guide: Protect Your Principal

• Leverage Control: Keep leverage no more than 50 times to reduce liquidation risk.

• Coin Selection: Stay away from meme coins like Dogecoin and Shitcoin to avoid being exploited by project teams.

• Trading Frequency: Limit trading to no more than 3 trades per day to avoid emotional imbalance from frequent operations.