Newcomers to the cryptocurrency market often fall into traps amid excitement and confusion—blindly trusting "gurus" for trading signals, misusing living expenses for gambling, lured by high returns of altcoins... As someone who has experienced three bull and bear markets, I have compiled this survival guide to help you get through the beginner phase at the lowest cost.
1. Decision-making sovereignty cannot be relinquished.
Beware of all "guaranteed profit" calls; 90% of the cryptocurrency "gurus" survive by harvesting commission from their fans.
Establish a "three-step decision-making method": research the project white paper yourself → check more than 3 independent analyses → simulate trading for 3 days before real trading.
Remember: when you profit, no one shares your gains; when you lose, no one bears the loss for you. You must make the decisions yourself.
2. The lifeline of capital management.
Strictly follow the "333 principle": invest 30% of your spare money, with a single trade not exceeding 3% of total funds, and a single asset position not exceeding 30%.
Absolutely prohibit using rigid funds such as mortgage, car loans, or living expenses; the liquidation rate for borrowed funds in cryptocurrency trading reaches 91%.
Before each investment, ask yourself: "Will losing this money affect my life?" If the answer is "yes," stop immediately.
3. The safety margin for selecting cryptocurrencies.
Type characteristic configuration suggestions for beginners.
Mainstream coins (BTC/ETH, etc.) with a market cap in the top 10, accounting for 70% of daily trading volume exceeding 1 billion USD, are primarily for long-term holding.
Second-tier coins (SOL/ADA, etc.) with a market cap of 11-50, where 20% have actual ecosystem progress, are for swing trading.
Altcoins (new coins) with a market cap outside of 50, where daily volatility exceeds 20%, should only represent ≤ 10% of your portfolio—enter and exit quickly.
4. The core logic for identifying scams.
Any project that promises "principal protection and returns" is essentially a Ponzi scheme (using new money to pay old debts).
Any model that requires "referrals for rebates" is 99% likely a variant of a pyramid scheme, and will ultimately collapse.
Sudden price surges without substantial positive news often indicate manipulation by whales; following the trend may lead to losses.
5. The balance between technology and mindset.
Basic K-line knowledge (support and resistance, moving average arrangements) should be learned, but don’t get addicted to short-term trading on periods under 15 minutes.
The best trading frequency for beginners: no more than 3 trades per week; frequent trading can incur transaction fees that eat into 20% of your capital per month.
Overcome FOMO emotions: when you see "everyone else is making money," it's often at the end of a trend, and entering at this point has a 68% chance of loss.
6. Mandatory courses on asset security.
For private key storage, use a "paper record + encryption" double backup: write down the mnemonic phrase and store it in a fireproof box; do not take photos or store it online.
Use exchange wallets for small amounts, but large assets must be stored in decentralized wallets (like MetaMask).
Immediately delete any unfamiliar transfers or links; phishing attacks have led to $2.3 billion in assets stolen this year.
7. The learning path for continuous evolution.
Spend 10 hours each month learning: basic knowledge of blockchain (recommended: Introduction to Blockchain), regulatory policies, and ecosystem project progress.
Join 2-3 quality communities (such as project official Discords), but remain vigilant against "insider information."
Establish your own "knowledge base": record the logic and results of each operation, and summarize weekly.
8. Rational anchor points for expectation management.
A reasonable goal for the beginner phase (first 6 months): survive and accumulate experience, not profit.
Do not compare yourself to "get-rich-quick stories": only 17% of people in the cryptocurrency world make profits, and fewer than 5% can sustain stable profits.
Remember that "slow is fast": stabilizing returns of 30%-50% per year far outweighs the rollercoaster of extreme ups and downs.
Opportunities in the cryptocurrency world are always reserved for those who are prepared. This guide cannot guarantee you profits, but it can help you avoid 80% of fatal traps. Remember: in this market, survival means opportunity, and the core of survival is to respect risk, stay rational, and continually evolve.
Super Brother will continue to monitor the market, guiding fans to position themselves in spot or contracts at suitable points. Opportunities abound in the cryptocurrency world; it’s up to you to seize them! Opportunities wait for no one; if you want to reap rewards, quickly follow Super Brother's lead!
