Discipline and patience are more important than momentary profits.
I still remember that morning, the first thing I did when I opened my eyes was check the gain list, and the asset number had jumped to 3,420,000. Just a year ago, I only had 20,000 in my account. At that time, I thought making money was easier than breathing, and I even posted a picture of the Bitcoin candlestick chart soaring straight up on social media, thinking I had found the secret to financial freedom.
However, the lessons from the market come quickly and cruelly. Three months later, Bitcoin plummeted from the high point of twenty thousand dollars, and my 3,420,000 assets shrank to only 50,000, even the transaction fees were not enough to cover. The red letters on the screen saying 'liquidation completed' left me staring blankly for half an hour without blinking. That night, I completely understood: luck comes quickly, but it often takes away just as cleanly.
In the past decade, I have seen too many people mistake luck for skill. Some shout 'faith' during a bull market, but in a bear market, that faith becomes synonymous with 'bailout.' I know a brother who mortgaged his house to go all in on Dogecoin in 2021, multiplied his investment eightfold but didn’t sell, and ended up being forcibly liquidated, even losing his house deed.
The bloody lesson: The true face of the cryptocurrency market
Through these experiences, I began to reflect on my investment approach. The cryptocurrency market is a 'player versus player' arena, where everyone is pursuing their own interests. Do not assume anyone will think of you; you are a lone warrior.
There is a high degree of information asymmetry on social media; some influential people may have more insider information, while ordinary investors are often at a disadvantage. When you see others making big money in a short time, you may doubt your long-term holdings, but remember that long-term investment logic is measured in years, not weeks or days.
On DeFi platforms, if you cannot clearly explain the source of profits in two sentences, then you are likely the 'source' of those profits. In other words, you may be providing liquidity or bearing risks for others without even realizing it.
The transition from a gambler to a disciplined executor
After experiencing painful lessons, I gradually polished my gambler's spirit into discipline. Now, my positions are always in three segments: core positions are only in BTC and ETH, swing positions run grids, and speculative positions are for altcoins.
Others see me as stable as an old man, but this stability is bought with three million. I have come to deeply understand that investing in cryptocurrency is not just about capital investment, but also a process of continuous learning and growth.
Risk management is the cornerstone of survival. Risk management may sound unappealing, but it is the pillar of successful trading. Most traders focus their attention on entry points as if they were the holy grail, but the exit point is where the real magic lies.
Safety first: Protect your assets
In the world of cryptocurrency, there is a principle I must emphasize: do not trust exchanges blindly. During the 2020 incident when a second-tier platform went bankrupt, I narrowly escaped disaster simply because 80% of my assets had already been transferred to a cold wallet. If the coins are not in your hands, they are not yours.
When choosing a trading platform, the safety of funds is the primary consideration. Prioritize mainstream platforms with large user bases and high security, because what matters most in investing is not how much you can double your money, but the safety of your funds.
Account security is equally important. Every year, there are cases of accounts being hacked, and many newcomers do not understand the importance of private keys. For account security, two-factor authentication should be used, and verification should be performed every time you log in, no matter how troublesome it seems.
The survival rules for those who have survived three cycles of bulls and bears
Those who have survived three cycles of bulls and bears in the cryptocurrency world rely not on miraculous operations but on their ability to stay alive. In cryptocurrency, managing capital drawdowns is the key to long-term survival.
Here are a few survival rules I've summarized:
1. Avoid overtrading: Trading frequently does not equate to making more profit. Often, doing nothing is the smartest choice; if the market doesn’t provide you with clear odds, why force a trade?
2. Do not chase highs: When you discover a new project and think 'this idea is amazing,' but delay investing for weeks, then when its price suddenly skyrockets, do not chase the high. Your best investment opportunity was missed weeks ago.
3. Maintain independent thinking: Despite the plethora of investment advice on social media, we must not blindly follow trends but need to conduct independent research and analysis.
4. Recognize the power of narrative: In the cryptocurrency market, narrative is the core force driving prices. The stories constructed by market participants can greatly influence asset values.
Patience: The overlooked virtue of investing
The market has 'insider information' every day, but those who can truly benefit are always the quiet, patient, and waiting individuals. To make money in the financial market, you need patience; without a direct source of information, you have to patiently wait for opportunities and be more patient than others to earn their money.
My account climbed from that 50,000 in debt to now 2 million, with no miracles, only rules and self-control. Perhaps the earnings are not as fast as they were back then, but with every profit, I can steadily secure it.
The most important lesson the cryptocurrency world has taught me is: making quick money is not a skill, being able to hold onto it is. Now, I no longer chase hundredfold myths, but focus on formulating and executing my own investment rules, steadily navigating the storms of the market.
Successful investing is not about flaunting victories or getting rich overnight; its core lies in consistently avoiding mistakes and preserving capital when the odds are truly in your favor. This is the lesson I bought with three million, and it is also the secret to my long-term survival in this market.
In this high-risk, high-reward market, surviving is victory. Follow Xiang Ge to learn more first-hand information and cryptocurrency knowledge, precise points, and become your guide in the cryptocurrency world; learning is your greatest wealth!#加密市场反弹 #美联储降息 $ETH
