I am a big player in the coin market, from Wuhan, 32 years old, currently living in Dongguan. I've been trading coins for seven years, starting with 50,000 yuan I saved from working, and now I have 7 million. All of this comes from real trading, not luck.
In these seven years, I've stepped into all the traps I could, and I've fallen for all the tricks. Today, I'm sharing six trading principles that I learned through real money experience. Understanding just one can save you a hundred thousand in tuition; if you can apply three, I dare say you are already better than 90% of the people in the market.
Remember these six points; they can help you minimize losses at critical moments:
1. After a surge, don’t rush to sell as it slowly declines.
The price of the coin rises rapidly and then falls back down little by little. Hold on and don't make rash moves. This is often a way for the big players to shake out investors, intentionally scaring them into selling. What you really need to watch out for is the trend that suddenly spikes and then instantly crashes—that's a trap to lure in buyers, and you should run as soon as you see it.
2. After a sharp drop, don’t rush to buy the dip.
After a significant drop in coin price, if the rebound is very slow and weak, don't get tempted to buy the dip. This usually means the big players are offloading their positions. You might think it has dropped enough to rise, but often there will be a fake rebound designed to trap people, and buying the dip carelessly can lead to losses.
3. If there is still trading volume at a high price, you might still hold; if there is no trading at a high price, hurry up and sell.
When the coin price rises to a high point, if the trading volume is still active, the trend may not be over. But if it is consolidating at a high level with dead trading volume, you need to get out quickly. When no one is buying, the price can drop very quickly—don't be the last one to buy.
4. Did the volume suddenly spike at the bottom? Don't get too excited.
When the coin price drops to the bottom area and suddenly sees a huge volume spike, don't easily think it’s a reversal. Sometimes this is just a false signal created by the big players to lure you in. A true bottom often requires a sustained and moderate increase in trading volume.
5. Trading coins is essentially about playing psychology.
Don't think of candlestick charts as just fluctuations in numbers; behind them are the emotions of a group of people fluctuating. The trading volume is the most genuine reflection—prices can be manipulated, but volume often cannot deceive. Understand the capital first, then assess the price.
6. There are always opportunities in the market, don't be anxious.
There are actually opportunities every day; there's no need to rush to chase highs and sell lows. Staying calm and learning to wait is more important than frequent trading.
I've survived and made money over the past seven years relying on these principles. I used to trade impulsively and blindly buy the dip, losing a lot of unjust money. But now I am calmer, only looking at the signals and not following the crowd.
If you find this helpful, you can follow me. I analyze the market daily, plan strategies in advance, and share practical content.
Trading coins is not about luck; it’s about honing real skills.
