So simple that no one believes it, yet it allowed me to survive through the mad cows and wild bears.
In 2016, I was 29 years old. The first time I heard the word 'Bitcoin', it felt like catching a glimpse of a faint light in a noisy bar.
Like all newcomers, I came with dreams of changing my destiny, but I also endured the lessons the market provided. I witnessed the madness of 2017 and endured the silence of 2018. I watched countless former 'gods' around me rise in the frenzy of leverage, only to fall silently like fireworks.
And I survived. Not only did I survive, but from 2020 to 2022, my net worth broke into eight figures. Now, I can calmly choose the life I want to live.
People often ask what I rely on. Is it extraordinary insight? Or luck for getting rich overnight? Neither. What I rely on is a set of '343 investment rules' so simple that it makes my peers laugh - it is my only order in a chaotic world.
1. My investment principle: Surviving is more important than making quick money
When I first entered the market, I was also a 'passionate youth'. Every day I stared at the candlestick charts, chasing every hot topic, afraid of missing a chance to get rich. What was the result? During the bear market in 2018, I lost most of my principal.
At that time, I realized: in this market, surviving is more important than anything else.
The biggest illusion in the crypto world is 'you must seize every opportunity'. But in fact, those who try to seize all opportunities often end up seizing none. Those 'experts' on Twitter who flaunt their hundredfold returns, you can't see how many times they have blown up their accounts behind the scenes.
I realize that ordinary people like me have no insider information, no institutional resources, and the only thing we can rely on is discipline and patience.
Thus, I set my first iron rule: never gamble with money I can't afford to lose. This means that even if everything goes to zero, I can still live normally. This rule allows me to remain calm during market crashes because I know the worst-case scenario is still within my tolerance.
2. 343 investment rules: my simple money-making machine
Taking Bitcoin as an example, this is how I operate my '343 investment rules':
Step 1: 3 - Tentative position building (30% of total funds)
Assuming my capital pool is 100,000, I will first use 30% (30,000) as an initial investment. This portion is my 'testing funds', entering with a small position to maintain a stable mindset and controllable risk.
I will not invest all at once, but rather divide it into regular monthly purchases over 3-6 months. This way, I won't miss out on the market, nor will I be passive by buying at a high point all at once.
Step 2: 4 - Gradually increase position (40% of total funds)
If the price rises, I will patiently wait for a pullback to increase my position; if it falls, I will add a portion after each decline, gradually completing 40% of my position.
This way, regardless of how the market fluctuates, my cost can be averaged out. This is also the core charm of dollar-cost averaging - it does not pursue buying at the lowest point, but smooths costs through diversified investments.
Step 3: 3 - Definitive increase (30% of total funds)
Once the trend stabilizes, I will use the last 30% to gradually increase my position. By then, I already have a good base and average cost, and the final increase is to maximize returns.
This process does not involve miraculous precise bottom buying, nor mythical top selling. It is simple, even a bit 'foolish'. But in this market, the hardest part is never to find the holy grail, but to manage people's hearts.
3. The biggest enemy in the crypto world: not the market, but yourself
I have seen too many smart people fail in this market:
During an uptrend, greed leads to buying high, fearing the chance of getting rich overnight;
Fear of cutting losses and exiting during a downturn, afraid of assets going to zero;
Impatience in fluctuations leads to frequent operations, ultimately contributing everything to the exchange as transaction fees.
What I do is merely 'stay calm, avoid greed, and proceed step by step'.
In crypto trading, common psychological traps include FOMO (fear of missing out), FUD (fear, uncertainty, doubt), greed, and overconfidence. For example, seeing others make a lot of money in a short time may shake your long-term holdings. But you must understand that the market will always fluctuate, and emotions are temporary.
When others chase prices in the whirlpool of emotions, I move forward steadily like a programmed machine, arriving at today.
4. My survival insights in the crypto world
(1) Record transactions, review regularly
I started to record every transaction in detail from 2020, not only the buying and selling prices but also the decision-making basis and emotional state at that time. This helps me identify my emotional trading patterns, such as becoming overconfident after consecutive profits.
(2) Look at the market less, live more
The crypto market operates 24/7; if you stare at the screen all day, not only will you exhaust yourself, but you are also likely to make impulsive decisions. I now check the market at most twice a day, and spend the rest of the time working or living my life.
Remember, the further you stay away from the market, the easier it is to make money; the closer you get to the market, the easier it is to lose money.
(3) Stable allocation is fundamental
My core holding is always mainly Bitcoin, as its volatility is relatively low. Many newcomers see the high Bitcoin price and feel they can't buy much, turning to purchase a lot of low-priced altcoins, which is often the beginning of going to zero.
(4) Be cautious with reinvesting profits
In the last cycle, I once reinvested my profits and almost gave it all back. Now I have learned to sell during the uptrend and lock in profits. Occasionally withdrawing the money to reward myself keeps me respectful and grateful towards the market.
5. Don't overestimate the changes in one year, and don't underestimate the achievements in five years
The most magical aspect of the crypto world is that slow and steady wins the race.
Many people come to this market hoping to get rich quickly. But true success takes time. Most of Buffett's wealth was accumulated after the age of 65, which tells us the importance of patience and long-term perseverance.
The reason my '343 investment rules' are effective is not because they are brilliant, but because they help me overcome human weaknesses, allowing me to remain rational in this highly emotional market.
In this crypto world filled with myths and traps, it is my personal exclusive ATM.
This 'foolish method' has allowed me to survive in the crypto world for nine years, and I am doing quite well. It may not make you rich overnight, but it will likely make you thank your current self in five years.
Remember, in this market, living longer is more important than making money quickly.
The above are my real insights as an experienced player in the crypto world, not representing any investment advice, just for reference and exchange.
The fairest thing in this world is that as long as we are disciplined enough and willing to exchange short-term comfort for it, everyone has the chance to live the life they want - let's strive together.
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