Family, who understands! When I first entered the cryptocurrency market, my head was filled with dreams of getting rich quickly—'double your investment in three months, change your car in six months.' I jumped into whatever others said would rise, and when I saw 'insider information,' I went all in. What was the result? I watched my account balance go to zero three times, and the worst time, I almost couldn't make my rent.
Looking back now, the pitfalls I encountered over the years fundamentally stemmed from not understanding one principle: the cryptocurrency market relies not on 'smart guesses about trends,' but on 'the discipline of hard skills.' The six life-saving rules I learned over these 7 years, each carries my blood and tears as lessons. Today, I'm sharing them from the bottom of my heart with you. If you understand and follow them, at least you can avoid 80% of the scams!
First, only focus on the 'abnormal movement list' for selecting targets; news is all a deception.
Stop blindly believing in those 'exclusive insider information' and 'big shots'! I was once the most seriously fooled by these lies—news is fabricated, but the money flow is real. However, the capital flow cannot deceive people: targets that can continuously show abnormal movements and steadily rank high in price increases within half a month must have real capital behind them. My approach is to pull in the targets with abnormal movements over the past 15 days into my watchlist, and then eliminate those with erratic trading volumes, leaving behind a pool of quality targets that can keep up with the market rhythm.
Second, monthly signals are the 'gold standard'; counter-trend dip-buying = suicide.
The most common mistake beginners make is shouting 'buy the dip' when they see a target drop by 20%, resulting in getting caught more and more. I have verified with real money: only when a trend reversal signal appears at the monthly level (such as a MACD golden cross) is it truly the starting point of a big market trend. Those rebounds on daily and 4-hour charts are at most 'trap for suckers.' Remember: trends are more resilient than you think; any dip-buying behavior before the monthly signal is confirmed is just going head-to-head with the market, and in the end, you'll only be ground into the dirt.
Third, the 60-day moving average is the line of life; absolutely do not enter before reaching the target.
This is the 'entry password' that I value the most right now! The target price is close to the 60-day moving average, and the trading volume has significantly increased—this indicates that the main force is building a bottom at this position, which is the safest buying point. In my early years, I was always anxious and rushed in before reaching the target, resulting in either being on guard or getting washed out. Now I am determined: if the combination of not reaching the 60-day moving average + increased volume is not met, even if the target rises every day, I absolutely won't touch it. I'd rather miss out than make a mistake.
Fourth, hold coins above the line and run below the line; hesitation will lead to defeat.
Making money is actually not difficult; what's hard is 'holding onto profits.' I've seen too many people panic-sell after making 20%, or still fantasize about a rebound after breaking the moving average, only to turn profits into losses. My iron rule is: as long as the target price stays steadily above the moving average, hold on with peace of mind; once it breaks the moving average, regardless of profit or loss, exit immediately! Remember: the moving average is the market's 'stop-loss line'; the moment it breaks, hesitating for even a second may cause all profits to be given back.
Fifth, take profits in stages; don't be greedy and try to 'capture the last cent.'
'Those who want to capture all profits will ultimately be taught a lesson by the market'—I have this sentence engraved on the homepage of my trading software. Now my profit-taking strategy is simple and brutal: when the price rises by 30%, reduce half to lock in profits; when it rises by 50%, reduce another half; the remaining position follows the moving average, and when it breaks, I clear out. In my early years, I always wanted to wait for the 'highest point,' resulting several times in turning a 50% gain into a 30% loss. Now I understand: there is no 'highest point' in the crypto market; securing profits is the king's way.
Sixth, clear out if the 60-day moving average is broken; staying alive gives you a chance to turn things around.
This is the last point and the most critical 'life-saving symbol'! The 60-day moving average is not only a buying point but also a line of life and death—once the target effectively breaks below the 60-day moving average, it indicates a complete trend reversal. At this time, any idea of 'averaging down to reduce costs' is suicidal. In my early years, I didn't believe it and still clung to the fantasy of 'it will rebound' after breaking, resulting in deeper and deeper losses, eventually being stuck for half a year. Now my bottom line is clear: break the 60-day moving average, and without saying a word, I clear out and exit, keeping my principal for the next opportunity to turn things around.
In fact, these 6 rules, when broken down, have no profound techniques; the difficulty lies in 'strict execution'—from my observation, less than one in ten can truly achieve it. The crypto market has never been about 'who earns faster,' but rather 'who survives longer.' Now, I drink tea while watching the market every day, and I no longer have to wake up at three in the morning to cut losses. It’s not that I’ve become smarter; it’s that I’ve learned to be 'cautious'—in this market full of scams, being cautious and staying alive is much more reliable than trying to get rich quickly.
If you are also struggling in the crypto market, stepping into pitfalls and losing money, or want to know how to select quality targets and how to set take-profit and stop-loss orders, feel free to follow me~ I will share more practical tips later, helping you make money with discipline instead of gambling with luck! After all, in the crypto market, staying alive is the only way to wait for your own bull market~
