After 10 years of struggling in the crypto world, from initially losing my capital to now supporting my family through trading and accumulating 30 million in assets, it's not luck but the survival rules I summarized after stepping into every pitfall. These 15 insights, each drawn from real monetary lessons, can help you avoid 5 years of detours if you understand them.
1. The fatal flaw of retail investors: difficult to stop losses, even harder to take profits
90% of retail losses stem from two habits: unwilling to cut losses when prices drop, always fantasizing about a rebound; unable to hold when prices rise, running after making a small profit. I once held onto a coin and lost 40%, ultimately getting liquidated. Later, I understood: stopping losses is a lifeline, taking profits is locking in gains—both are indispensable.
2. Going with the trend is the only survival philosophy
In an uptrend, going short during any pullback is like fighting against the market; adding leverage is nothing but accelerating suicide. During the 2017 bull market, I saw too many people going short on ETH against the trend, only to be liquidated by a big bullish candle. Remember: the trend is smarter than you; don't challenge the trend.
3. The market never moves according to your wishes
The price of a coin is the sum of all participants' expectations; it does not rise just because you think 'it should'. In the early days, I often imposed my judgment on the market, such as firmly believing a certain altcoin was 'undervalued' and heavily investing, only to see it drop 80%. Later, I learned: accepting the market's uncertainty is more important than predicting the market.
4. Win rate is the least useful indicator
Some people think that 'ten trades with seven wins' means they're experts, but that's not true. My trading system has a win rate of about 40% year-round, but by capturing a few big market movements, my profits far exceed those who make small profits every day. The core of profitability is the risk-reward ratio, not the win rate. Don't envy others for making a few points; be patient and wait for your own doubling opportunity.
5. Not all bullish candles should make money
Every day in the crypto world, there are rising coins, but the opportunities that truly belong to you are few and far between. In the 2021 bull market, I tried to catch every hot trend, but fees and mistakes shrank my profits by 60%. Later, I learned: only deal with trends you understand; missing out is better than making mistakes.
6. Good opportunities are waited for, not snatched
In a volatile market, even the most skilled traders can't make big money. In 2019, when BTC fluctuated between $8,000 and $10,000 for 3 months, I patiently waited in cash until it broke key levels before entering, making back the volatility profits from the previous 6 months. A good hunter knows how to hide; rushing to shoot only wastes bullets.
7. Trading is not just about 'buying'
Many people think trading is just about buying, but closing positions, reducing positions, and waiting in cash are all parts of the operation. In the 2022 bear market, I managed to control my losses to 15% by decisively reducing my position three times, while friends who were fully invested lost 70%. Learning to 'sell' is more crucial than learning to 'buy' for determining your final profits.
8. Your enemy is not the market maker; it's yourself
When the capital reaches several million, you will realize that 'institutional control' is a phantom enemy for retail investors. What truly causes you to lose is the greed to chase high prices when the market rises and the fear to cut losses when it falls. I once feared missing out and fully invested when BTC was at $60,000, only to get trapped; later I understood: overcoming greed and fear means overcoming 90% of your opponents.
9. Living longer is more important than being a star
Every year in the crypto world, there are myths of 'getting rich overnight', but very few can sustain profits for over 5 years. I have seen too many people earn ten times in one year and then get liquidated the next year, while I have relied on a stable strategy to achieve 20%-50% returns annually, ultimately running further over 10 years. In the crypto world, surviving is the opportunity.
10. Don't blindly trust 'big names'; 70% of people are losing
90% of the 'signal masters' in the market are just harvesting retail investors, because the real data shows: 70% of cryptocurrency participants are long-term losers, 20% break even, and only 10% can achieve stable profits. Instead of believing others, it’s better to refine your own system; your account won’t lie.
11. Respect the market; don't think about getting rich overnight
Every time I hear about 'getting rich opportunities', I steer clear. In 2018, I participated in a private placement for a 'hundred-fold coin', which ended up at zero, resulting in a loss of 500,000. Later, I understood: money in the crypto world can be endless, but losses can be complete, and maintaining rationality is more important than chasing high profits.
12. The correctness of trading is judged by logic, not results
Some trades may result in losses, but if they align with your strategy, they are correct; some trades may make money but rely on luck, making them wrong. I once made 200,000 by guessing a meme coin correctly, but because it didn't fit my system, I firmly decided not to touch it again, avoiding greater pitfalls. Sticking to the strategy, the market will judge right from wrong.
13. Risk control is more important than profit
In 10 years of trading, what has helped me survive is not a single big win, but consistently prioritizing risk. My principle is: never let a single trade's loss exceed 2% of the capital, and stop to reflect if total capital drawdown reaches 10%. Remember: protect your capital, and when opportunities arise, you can invest heavily.
14. Don't get emotionally attached to your holdings
The ones that cause you the most losses are often the cryptocurrencies you are 'most confident' in. In 2020, I was convinced ETH would rise to $1,000, and I kept adding to my position as it fell, ending up trapped from $200 to $80, suffering significant losses. Later, I learned: holdings are numbers, not lovers; sell when you need to.
15. Knowing and doing are separated by ten thousand practical experiences
These principles seem simple, but each one requires 3-5 years of practice to truly understand. It took me 10 years to turn 'stop loss' into muscle memory and countless losses to learn 'wait in cash'. The cultivation in cryptocurrency is not about cognition, but about execution.
After 10 years of trading cryptocurrencies, my greatest gain is not the 30 million, but the understanding that every penny earned in the crypto world is a realization of market cognition; every penny lost is the price of insufficient understanding. I hope you understand these insights, reduce tuition fees, and find your own path to profitability as soon as possible.
Blindly acting alone will never bring opportunities. Follow Super Brother, and I will take you to explore coins with tenfold potential! Top-tier first-level resources!
