Staying up late watching the K-line chart until dawn, my heart races with the numbers, I endured this for three years. What I ultimately gained was not financial freedom, but rather the outcome of losing 300,000 in principal.
I remember the year I first entered the cryptocurrency world, I was like a child with a piggy bank entering a casino. Seeing the numbers bouncing on the contract leverage, it felt like I could hear financial freedom knocking at the door. In the end, the door didn’t open, and my wallet was first 'raided empty.' Full position rush, random stop-loss, staying up late to watch the market, and finally realizing that I was just a 'human ATM' in the eyes of the dealer.
The most brutal yet fair aspect of the cryptocurrency world is: it never refuses anyone a chance to turn things around, as long as you are willing to turn the 'bloody lessons' into 'iron discipline.' Today, I, as an old investor (and crypto analyst), will share four core principles that helped me transform from heavy losses to consistent profits.
01 Position is not a bet; it is your 'oxygen mask'
I have seen too many people unable to resist 'a gamble' when they see market fluctuations, as if this one could change their fate. The result is often: when the market reverses, there is no room to breathe. Frequent trading is often the invisible killer of capital; every trade is a probability game, with fees, slippage, and mistakes quietly eating away at your account.
Your position is not to prove 'how accurately I see', but to ensure 'I can survive when I am wrong'. I now do not exceed 10% of total capital in any single position. Even if this wave looks like a 'once-in-a-century' event, I must leave enough ammunition to deal with black swans.
In the crypto market, surviving is victory. After all, one day in the crypto world equals one year in the human world—survive, and you earn the right to say 'see you next year'.
02 The trend is your friend, but never fall in love with it
I once had a friend who was obsessed with the martial arts dream of 'buying the bottom and selling the top'. When it dropped, he would say 'value investing', and when it rose, he would say 'it can go higher'; the result was that his account rode a roller coaster. The market is always more willful than you imagine.
In a bull market, not all assets will rise simultaneously; the market will have different phases, and certain sectors will perform in rotation. This means it’s better to lay out your positions in advance rather than chase already initiated sectors.
My principle is: as long as the trend is intact, do not be a 'contrarian child'. In an uptrend, only look for pullback longs; in a downtrend, only wait for rebound shorts. Do not guess the top or bottom; just catch the fattest fish in the middle. Make money while lying down in a tailwind, and when against the wind, it’s better to watch from the sidelines.
03 Take profit and stop loss: not a restraint, but your 'bulletproof vest'
I have asked many newbies: 'How much are you prepared to lose on this trade?' Most respond: 'Huh? I haven’t thought about it...' Trading without setting rules is like driving without a seatbelt.
Now, before every entry, I must be clear: where to place the stop-loss (usually no more than 5% of the principal), and where the profit target is (at least above 1:1). Once the target is reached, decisively take the profit and never look back at 'I could have made more'. The market cannot rise forever; the key to long-term survival is learning to lock in profits.
Risk management may not sound sexy, but it is the pillar of successful trading. Profits are earned, not gambled. Small losses are the tuition, large gains are the bonuses, and only then can the account grow like a snowball.
04 Less action is the highest form of 'Versailles'
Newbies always think that 'diligence' means trading twenty times a day, while seasoned traders know that 'waiting' is the greatest skill. Staying still is often the smartest choice; if the market hasn’t given you clear odds, why force a trade?
I used to open trades less than three times a week, yet my profits exceeded the total amount from frequent trades the previous month. Because 80% of the time the market is just noise, the truly worthwhile opportunities often require patience to wait for the wind.
Decision-making in a fatigued state is worse than randomly flipping a coin; it amplifies your emotions and weakens your judgment. Kick the 'itchy hands' habit, use the time spent staring at the screen to learn, rest, and spend time with family. You will find that making money in the crypto world can actually be quite calm.
05 The mental training behind success
Trading is not just a technical battle, but also a cultivation of mindset. When you 'succeed' in trading, you may realize that this is not what you initially wanted. You have money, but you are still you.
There are no myths in the crypto world, only survivors. Those who post screenshots of doubled profits won’t tell you how many times they have blown up their accounts; those big influencers shouting 'the bull market is here' won’t remind you that beneath you may be a cliff.
What truly enables you to go far is never the luck of overnight wealth, but the clarity to traverse bull and bear markets. Many people think retirement is the goal, but the real goal is freedom—waking up every day to do what you want. Trading is just a tool to achieve this goal, not the goal itself.
These experiences and lessons are the map and compass I bought with real money. If you find this content useful, why not stop and ask yourself: are you willing to make five mediocre trades, or wait for one excellent opportunity?
The market is always in motion; patiently waiting for your lane is smarter than blindly chasing trends. After all, only those who can stay at the table have the right to talk about victory.
Friend, see you in the market. Follow Xiang Ge to learn more first-hand information and cryptocurrency knowledge with precise points, becoming your guide in the crypto world; learning is your greatest wealth!#加密市场反弹 #美联储降息 $ETH
