Minimal or even no action—this seemingly foolish method, overlooked by countless people, became the starting point for my turnaround in crypto investing.
"Teacher, I've cut my losses again, and I only have less than a tenth of my principal left." When I received this private message last week, it felt like I was seeing myself three years ago. Back then, I stared at candlestick charts every day, my phone was full of stock market apps, and I was still asking for information in online groups at 2 a.m. As a result, I lost my 50,000 yuan principal down to only 2,000 yuan in six months.
This kind of story is all too common in the crypto world. Many people treat trading like playing a game, thinking that the more frequently they trade, the more they will earn. As a result, after working hard for half a year, they pay a lot in transaction fees, but their principal keeps dwindling.
Today, I want to share how I went from being a "newbie" to a "laid-back player," not because I found any mysterious indicators, but because I finally understood the principle of "less is more."
01 Frequent trading: What is the root cause of losses?
I used to be a typical "news-driven" investor. If a prominent investor recommended a stock, I'd immediately buy in; if I heard bad news, I'd panic and sell. My emotions fluctuated daily with price movements, and anxiety and panic were the norm.
This isn't just my problem. The cryptocurrency market operates 24/7 with wildly fluctuating prices, making investors prone to FOMO (fear of missing out), blindly following the crowd when they see others making money or the market booming. The result is often buying at the peak and getting trapped at the top.
Even more alarming is that frequent trading can lead to decision fatigue and mental burnout. When you're under constant pressure, your attention span decreases, and the quality of your decisions deteriorates, creating a vicious cycle.
I later realized that most beginners lose money not because of market conditions, but because of their own itching and panic. We think we are seizing opportunities, but we are actually handing our lives to the market.
02 Reviewing trades from an empty position: Learning the truth from losses
When I had only two thousand left in capital, I reached a turning point. A veteran trader gave me a simple but difficult piece of advice: "Go to cash for two weeks and do only one thing each day—review every losing trade."
The first three days were the hardest. When the market surged, my hands were shaking, and I wanted to immediately invest all my money. But by the fourth day, I discovered a pattern: I was almost always chasing the highs and selling the lows, stubbornly holding on when I was losing money, and running away as soon as it rose a little, without considering the trend at all.
I learned more from being out of the market for the past two weeks than I did from six months of haphazard trading. I realized that real trading opportunities are never created by rushing, but by waiting.
The most counterintuitive truth about the crypto market is that those who make big money are often very "lazy"—they don't greedily chase short-term fluctuations, they don't gamble on ambiguous opportunities, they only act when the certainty is highest, and they spend the rest of the time patiently waiting.
03 Three "Lying Flat" Strategies That Helped Me Easily Earn My First Pot of Gold
1. Dollar-cost averaging strategy: Ignore volatility and average down the cost.
Dollar-cost averaging (DCA) is known as the "lazy man's investment method" and is a strategy promoted by mainstream exchanges such as Binance.
Its core principle is to average down costs by investing funds in batches during market fluctuations, making it particularly suitable for long-term investment. I no longer try to predict market bottoms; instead, I invest a fixed amount on a fixed date each month.
This avoids emotional interference and ensures that one doesn't over-invest at market peaks. This seemingly simple method effectively mitigates the risks associated with market volatility.
2. Financial Management Tools: Allowing Assets to Grow Automatically
After I stopped trading frequently, I started exploring the financial tools offered by exchanges. Gate's "Save Money" supports both flexible and fixed-term investments, with USDT flexible products offering a maximum annualized return of 12.5%.
Exchanges like Binance also offer services such as demand deposits, time deposits, and staking, with annualized yields ranging from a few percent to several tens of percent.
The advantage of these tools is that they are convenient and effortless, requiring no constant monitoring of the market, and allow assets to appreciate automatically, making them particularly suitable for investors who do not have time to research the market.
3. Dual-currency investment: an automated strategy for buying low and selling high.
For experienced investors, both Gate and Binance offer "dual-currency investment" products. The core of this approach is to automate buying low and selling high by setting target prices.
For example, you can set up automatic buy orders when Bitcoin falls below a certain price and automatic sell orders when it rises above a certain price, earning interest in either case. This is equivalent to a limit order plus interest income, improving capital efficiency.
04 Adjusting Mindset: The Transformation from "Leek" to "Relaxed Player"
Technical skills are easy to learn, but the right mindset is hard to cultivate. From my own experience, to achieve "easy money," you need to cultivate three key mindsets:
Accept the nature of the market: The cryptocurrency market is known for its extreme volatility, with sharp rises and falls in the short term being the norm. This is not "abnormal," but rather an inherent characteristic. Only by truly accepting this can one avoid overreacting to every fluctuation.
Overcome greed and fear: Don't blindly chase highs when the market is rising, and don't panic and sell when the market is falling. Set clear investment plans and stop-loss and take-profit points, and strictly adhere to them to avoid emotional decision-making.
Maintain patience and discipline: the market doesn't move in a day; there will always be pullbacks or new opportunities. Avoid frequent trading and impulsive actions, strictly adhere to your trading plan, and patiently wait for the right entry point.
Recently, I checked my account: in three years, I not only recovered my initial loss of 50,000 yuan, but also achieved a six-figure profit. More importantly, I now only check the market once a day, and even dare to travel without worry, no longer enslaved by candlestick charts.
Most of my friends who used to laugh at me for being "too conservative" are still chasing highs and lows in the market. And I, I finally understand Buffett's advice: "The most important thing in investing is not to lose money; the next most important thing is to make money."
The market is never short of opportunities; what it lacks are people who can patiently wait for them. When you stop being swayed by short-term fluctuations and stop blindly chasing every hot trend, you'll find that making money can be so easy.
Follow Xiang Ge to get more firsthand information, precise entry and exit points in the cryptocurrency market, and become your guide in the crypto world. Learning is your greatest asset! #加密市场反弹 #美联储降息 $ETH
