Those who say the crypto market is a casino are mostly 'gambler-style retail investors' who haven’t grasped the methods. Recently, a case I spearheaded caused a stir in the community: A friend who couldn't even distinguish between bullish and bearish candlesticks took 1800 stablecoins and turned them into 210,000 in three months, without touching high-risk leverage or experiencing a single liquidation, solely relying on the trading rules I developed over eight years, going from 8000 to eight figures.
The crypto market has no shortage of overnight wealth myths, but 99% of myths die from the greed of 'making quick money'. Those who can truly profit in the long run do not rely on luck to guess price movements, but on solid rules, rational positions, and disciplined operations. Let's thoroughly analyze these three core rules today; those who understand may become legends in the next bull market.
One, three-position defense technique: Surviving is more important than how much you earn
The biggest pitfall for retail investors is treating the crypto market as a 'do-or-die casino'. I have seen too many people go all-in with all their capital, rejoicing when it rises and selling off when it falls, ultimately losing all their capital in chasing the ups and downs. My core logic is: first preserve capital, then talk about profits.
I had my friend divide 1800 stablecoins into three positions, with 600 coins each, each serving its purpose and not interfering with one another:
Short-term position (600 coins): Only do intraday trades, at most once a day, regardless of whether it rises or falls; once the preset target (e.g., 3%-5%) is reached, decisively exit, and never linger;
Swing position (600 coins): Open a position at most once every half month, only capturing clear trend markets, such as entering when the market breaks a key range or establishes a clear direction; during other times, resolutely observe the market;
Safe position (600 coins): Locked in the wallet, no matter how crazy the market rises or how tragic it falls, remain resolute and do not touch it! This portion of money is 'life-saving money'; even if the first two positions occasionally incur losses, it will not affect the overall capital safety.
Remember: Opportunities in the crypto market are always abundant; what is lacking is the capital to survive until the opportunity arises. 90% of retail investors fail by betting their entire capital, while the remaining 10% lose by blindly adding to their positions; only by preserving your capital can you qualify to 'go all in and reap the rewards' when the market conditions arise.
Two, the thick profit rule: 'Lie flat' during sideways markets, 'strike hard' during trends
Many retail investors have the following daily routine: Opening market software and feeling restless, wanting to trade upon seeing price fluctuations, buying and selling seven or eight times a day, busy with excitement, but when all is counted, the money earned is not enough to pay the platform fees. This is a typical example of 'ineffective trading'—80% of the time in the crypto market is spent in a sideways market, where prices fluctuate back and forth within a range; frequent trading will only make you repeatedly harvested in the fantasy of 'buy low and sell high'.
My trading logic is: Observe during sideways periods, act decisively during trend strength. I repeatedly remind my friends: 'When the market is sideways, the best action is to close the app, have meals when it's time to eat, and sleep when it’s time to sleep; don’t let fluctuations drive your emotions.'
True profits do not come from 'small gains accumulating' through frequent trading but from 'grabbing big while letting small go' in trending markets. For example, when the market enters a clear upward trend, decisively follow up with short-term and swing positions; once profits reach 20%, first take 30% of the profits for safety, and let the remaining position follow the trend with a trailing stop; if the market reverses, directly stop loss and exit, never hold onto a lucky mindset.
Experts are never the 'hard-working' traders who constantly trade but are the 'hunters' who know how to 'lie in wait'. They can endure the loneliness of a sideways market and decisively act when a trend arises, hitting the target every time. Instead of 'fiddling around' during sideways movements, it's better to focus on judging trends; the profits from one trending market can match your earnings from frequent trading over a month.
Three, emotional firewall: Replace 'feelings' with rules, refuse emotional trading
The most frightening thing for retail investors is not poor skills but trading 'by feel'. When prices rise, they think it will keep rising, and when they dive in, they get trapped; when prices fall, they panic and sell, only to see a rebound; when they see others making money, they follow suit, and when they hear bad news, they panic, ultimately playing their good cards poorly under emotional control.
I set three 'iron rules' for my friends, regardless of how emotional they get, they must strictly adhere to:
Set a stop-loss at 2%: Set your stop-loss point before entering a trade, and once losses reach 2%, the system will automatically close your position; never hold onto the fantasy of 'waiting for a rebound';
Take profits when you gain 4% by reducing your position by half: As long as your profit reaches 4%, reduce your position by half to lock in profits and use a trailing stop to follow the remaining position; even if the market reverses, you can still preserve most of your gains;
Never add to your position randomly: Many people think that 'buying more as prices drop can average down costs', but in the crypto market, once a trend is established, a drop may have no bottom line; blindly adding to your position will only deepen your losses and ultimately lead to being eliminated by the market.
Emotional trading is the death trap for retail investors, while discipline is the key to stable profits. Trading is not a romance; it cannot rely on 'feelings' but must be constrained by 'rules'. When you can do 'not hesitate to buy when it's time to buy, not cling to positions when it's time to sell, and not rush when it's time to wait', you have already surpassed 90% of retail investors.
Finally, let me say something heartfelt
The crypto market is not a casino; casinos rely on luck, but here it relies on logic, rules, and understanding. I went from 8000 to eight figures, and my friend went from 1800 to 210000, relying not on luck but on the repeated execution of these three rules.
This market is never short of opportunities for wealth, but what’s lacking is the ability to turn 'occasional wealth' into 'stable profits'. When the next bull market arrives, do you want to continue being the 'chopped leek' chasing the ups and downs, or do you want to be the 'hunter' profiting from rules?
Follow me, as I will break down more practical case studies, trend judgment techniques, and position management details, helping you escape the 'gambler's mindset' and achieve long-term profits in the crypto market with rationality. After all, the money made in a bull market may be luck, but being able to preserve bull market profits and make money in a bear market is true skill. Next time, let's talk about 'how to determine the truth of a trend'; understanding the trend is essential to truly 'win while lying down' in the market.~
