Every day, countless people dive into the market with dreams of instant wealth, only to be severely punished by it, losing everything.

One of my fans, Xiao Li, is one such individual. He blindly followed trends in cryptocurrency trading and within a few months lost most of his hard-earned savings, leaving him in a state of despair and confusion.

With no way out, he sought my help, hoping I could lend him a hand.

Drawing from my years of experience in the crypto world, I shared with him six immutable rules of trading, and to my surprise, it was these six rules that allowed him to make a successful comeback and achieve profits.

1. Rapid rises and slow declines: Stay calm.

When a coin held by a fan rises rapidly and then declines slowly, they panic and want to sell everything. I advised him to stay calm; this could be the main force washing out positions. For instance, in 2020, a certain niche coin had a rapid rise followed by a sideways drop, leading many to sell at a loss, but it later surged. Be wary of wild rises followed by sharp drops; that’s a trap set by the main force to lure in buyers before dumping.

2. Avoid bottom fishing during sharp declines and slow recoveries.

When fans saw the price of a coin plummet sharply and then slowly recover, they wanted to buy at the bottom. I firmly stopped them, as this could very well be a false signal from the main force unloading. In 2021, following a popular coin’s crash, many tried to catch the bottom, and the final false rebound trapped them.

3. High volume at peaks: Don’t worry; low volume: Get out fast.

When fans asked if they should sell during high trading volumes at peaks, I informed them that high volume indicates an active market, so there’s no need to worry; however, if the volume at peaks is stagnant, they should sell quickly. In 2022, when a mainstream coin’s trading volume shrank at its peak, I advised fans to sell, and the price subsequently plummeted.

4. Be cautious of unusual activity at the bottom; wait for sustained volume before re-entering.

When fans noticed a surge in volume at the bottom of a coin, they excitedly prepared to buy. I advised them to stay calm, as this might be the main force trying to lure in buyers. Last year, when a certain altcoin showed increased volume at a low point, I told fans to observe and wait for a sustained increase in volume after a period of low volume before re-entering; they made profits by following this advice.

5. Trading cryptocurrencies is about understanding market sentiment; clarify the relationship between volume and price.

Fans often struggled to predict price movements. I explained that candlestick patterns are superficial, while trading volume is key. During the 2023 altcoin market, many focused solely on price increases without considering trading volume, which led to losses. Understanding the relationship between volume and price is crucial for navigating the market successfully.

6. The state of 'emptiness': Stay calm and profit.

Fans were often swayed by emotions when making trade decisions. I told them they needed to reach a state of 'emptiness.' No attachment: stay in cash and wait for the right opportunity; no greed: don’t blindly chase high prices; no fear: be brave enough to buy during sharp declines. This isn’t about being passive; it’s wisdom for survival in the market. During the bear market of 2023, I avoided losses by adopting this mindset and later entered the market for profits.