In the winter ten years ago, I entered the crypto world with 5,000 yuan that I had saved from working. Back then, I nervously bought 1.8 Litecoin at a price of 2,800 each. Three months later, it rose to 8,500, and I was grinning foolishly at my account. A year later, it soared to 110,000, and I even planned to change my car with my friends... But then, in 2018, the bull market turned, and the price halved again and again. I panicked and sold at 2,500, ultimately only making 5,000 yuan, while I watched the opportunity to turn it into 4.5 million slip away.
In the past decade, I've seen an aunt who speculated on jewelry and cryptocurrencies cry at the bank entrance after her margin call, and I've seen a friend lose 450,000 in just 8 minutes with 12x leverage and smash his phone. The market has beaten me up badly, but it has also made me understand five survival rules. Today, I want to talk to you about the real logic of survival in the crypto world in the simplest terms.
One, investing with spare cash is the bottom line; you must survive to see tomorrow.
I will always remember that aunt crying at the bank door. She mortgaged her gold jewelry to jump into crypto, and when a crash happened, she was directly liquidated. Such stories are common in the circle—some use living expenses to trade, some max out credit cards to increase their positions, and in the end, it all ends with a mental breakdown.
My iron rule is: the investment amount must not exceed 10% of liquid assets, and no single project should receive more than 5% of total funds. This is not conservative; it is a lesson learned through blood and tears: those fully invested have an 11 times higher liquidation probability than those diversified. The cruelest truth in the crypto world is that you must survive the bear market to qualify for enjoying the bull market.
Now, as long as the money isn't spare, I won't touch it. Even if I see an 'excellent opportunity,' I ask myself: will losing this money affect my ability to eat or pay rent? If so, I immediately pull back.
Two, stop-loss and take-profit must be mechanical; reject emotional trading.
In 2021, I bought Dogecoin at $0.03, and when it rose to $0.6, everyone in the group shouted 'to $1.' I got greedy and didn't sell, resulting in a drop back to $0.15, forcing me to sell at a loss. This kind of pain is understood by all seasoned traders: failing to sell when in profit and holding on desperately during losses is humanity's greatest weakness.
Later, I developed a habit: placing limit orders in advance for every trade, withdrawing the principal as soon as profits reach 30%. For example, if I invest 10,000 and it rises to 13,000, I first withdraw my principal of 10,000, letting the profits run. At the same time, I set a hard stop-loss line at -15%; if it dips below that, I exit unconditionally.
Don't trust your 'intuition'; use rules to lock in greed and fear. My trading journal is filled with one line: 'Regret not earning less; losing too much is fatal.'
Three, leveraged contracts are a hellish express train; survivor bias kills.
My childhood friend played AVAX last year, using 12x leverage to go long, and lost 450,000 in 8 minutes. The way he smashed his phone reminded me of my past— the thrill brought by leverage is like a drug; once you try it, you can't look at spot profits the same way.
The data is shocking: users with 10x leverage have an average survival period of only 17 days; 83% of liquidation orders occur when leverage is ≥5x. Those who flaunt their leveraged wealth are merely a tiny fraction of survivors; what you don't see is that the silent majority have already been liquidated.
My current asset of 34 million is all accumulated from spot trading. Slow is fast; only by being steady can you reach the end.
Four, cold wallets are safes; trusting others means you won't have time to cry.
The year before last, a small exchange went bankrupt, and the 3000 U I had in it is still on the liquidation list. Since then, I've learned my lesson: assets over 10,000 U should be immediately transferred to a cold wallet, even if the fees hurt and the steps are cumbersome.
There is no exchange in the crypto world that is 'too big to fail'; even the largest platforms can collapse in an instant. Hardware wallets may be cumbersome, but they allow you to sleep soundly. Tokens stored on exchanges are like being kept in someone else's safe; the key is not in your hands.
Five, the news is full of traps; by the time you see it, it's already the last straw.
Previously, a WeChat group went crazy with 'DOT being heavily invested by large institutions'; I followed the trend and ended up stuck for over six months. Later I understood: true opportunities are never shouted from the rooftops. When all groups discuss the same token, it is often when the big players are preparing to offload.
MIT research confirms: 68% of popular tokens on Twitter are halved in value within 30 days. My experience is: stay away from all 'insider message' groups; reading white papers is better than anything else. Focus on project teams, technological implementation, and token economic models; these are the hard truths.
Words of sincere advice for beginners.
If you are new to the crypto world, remember three things:
Start with 700 yuan; if you lose it all, consider it a lesson learned; never increase your investment.
In a bear market, dollar-cost averaging into mainstream coins: regularly invest a fixed amount in BTC/ETH; over three years, returns can exceed 200% compared to those who trade in cycles.
Don't watch the market for more than 2 hours a day: spend your time researching projects, not staring at candlesticks.
There are no myths in the crypto world; those flaunting luxury cars and mansions are either scammers or haven't lost everything yet. The real seasoned traders who make money are quietly accumulating coins and still ride shared bikes to work.
In this market, surviving long is a thousand times more important than making quick profits. Let's encourage each other. Follow Ake for more firsthand information and precise points on crypto knowledge; learning is your greatest wealth!#美联储降息 #巨鲸动向 $ETH
