“Brother, I have insider information about this new coin, it's guaranteed to increase 10 times tonight. If you miss it, you'll regret it!” Now, hearing this again, I can smile and hand the other person a cup of tea; but three years ago, this statement was more effective than my mom insisting I get married, and I directly dumped half a month's salary into that project whose white paper looked like a primary school essay.
As an analyst who has been in the crypto space for five years, witnessing the frenzy of 'meme coins' and enduring the bear market, what I have the most are stories of 'paying tuition'. Today, I won't talk about those superficial technical indicators but will share my embarrassing moments from the 'get rich dream' to the 'eating dirt memoir', after all, if my blood and tears can help you avoid detours, that's much more conscientious than just giving tips to profit.
When I first entered the market, I was even crazier than the new hands now. The profit charts shared by the big shots in the community had zeros behind the numbers that could dazzle the eyes; the hot forum posts were all titled 'Newcomers enter the market, doubling in three days' and 'Passive income secrets, just copy the homework.' Looking back now, those so-called 'showcases' were likely the work of photo-editing software; those 'secrets' were merely bait created by scammers. But at that time, I felt like I was under a spell, with my head full of 'If others can make money, why can't I?' I stuffed the money I had prepared to buy a bag for my girlfriend and the rent money into various 'sounds impressive' niche coins.
The first to explode was a replica project, with an icon fancier than the genuine one, claiming 'backed by overseas giants, guaranteed profit.' On the third day after I jumped in, it taught me my first professional lesson with 'zeroing out.' Watching my account go from five digits to two, I stared at the screen in a daze for half an hour; it wasn't that I was heartbroken over the money, but I couldn't believe I was foolish enough to invest without even checking who the project team was.
Later, I learned to be 'smart' and began chasing trends. When a certain animal coin was popular, I stayed up all night researching various tail coins, picked a 'community active' one and jumped in, only to be buried immediately after getting on board, and it took me over half a year to recover; there was also a coin claiming to be 'metaverse gaming,' and I added to my position with the fantasy of 'gaming + crypto,' only to wait for not the game launch but an announcement of the project team absconding with funds. Half a year's salary vanished like water; during that time, I only dared to order takeout from budget-friendly options, and my girlfriend thought I was secretly saving money to buy a house.
After reflecting on the pain, I spent three months reviewing all my losses before I figured out the core of survival in the crypto world: the biggest scam in this market is not the ups and downs, but the illusion that 'money is easy to make.' Based on my experiences over the past few years, I have three life-saving laws for all newcomers; remember them, they are more useful than reading a hundred analysis reports:
First, never use 'urgent money' to enter the market. Rent, mortgage, dowry, living expenses—this money relates to your basic life, and once you incur losses, it will directly crush your mentality. I have seen too many people cut their losses at the bottom due to urgent needs, only to turn around and watch the coin rebound, their mentality collapsing as they chase higher prices, falling into a vicious cycle. Remember, only 'spare money' can keep you rational during market fluctuations; if you treat this money as lost, at least it won’t affect your life.
Second, firmly avoid things you don't understand. Don't trust 'insider information,' don't chase 'hot coins,' and definitely don't follow others saying 'this will definitely rise.' I now research a project by first checking the team background, looking at technical documents, and analyzing application scenarios. Even if it takes a week, I will not act hastily. Projects that cannot explain basic logic should be avoided no matter how popular they are; you are focused on profit, while they are focused on your principal.
Third, learn to 'take profits and cut losses,' don't be a 'gambler.' Many people get greedy after making a little profit and want to earn more, only to end up giving back their profits; when they incur losses, they are reluctant to cut their losses, always hoping for a rebound, and end up getting deeper into trouble. I have set rules for myself: if profits reach expectations, I will take out a portion for safety; if losses exceed 10%, I will decisively cut my losses without hesitation. There is no 'guaranteed profit' in the crypto world; preserving your principal is necessary for the next opportunity; as long as you have the green mountains, you don't have to worry about firewood.
After saying all this, I don't want to discourage everyone; the crypto market indeed has opportunities, but opportunities are always given to those who are prepared, not to gamblers who follow blindly. I still occasionally think back to the days when I lost my entire salary; although it hurts, I also feel fortunate that the 'fall' was hard enough to wake me up completely. Follow Yangyang.
