$BEAT In the circle for ten years, from liquidation to recovery: a few iron laws that can truly survive in the cryptocurrency world
In these ten years, I have seen too many people rush in with passion, and I have also seen them being knocked down by the market.
I am no exception; I have experienced liquidation, questioned my life, and have truly crawled out of the pit.
The following are not theories from books, but experiences bought with real money.
First rule: The simpler the position, the higher the win rate
If you don't have much money, don't diversify. Within 100,000, focus on one; for 200,000 to 300,000, at most two; for under 500,000, don't exceed four.
Holding a bunch of coins will only slow down your reaction. Once the market changes, you won't even be able to run away.
Second rule: Don't go against the trend
Technical analysis and news are not for predicting the future; they are for judging direction.
Rebounds in a downtrend are mostly traps; pullbacks in an uptrend are often washes.
Don't try to bottom fish, don't guess the big players; follow where the market goes.
Third rule: Only act when the market is lively
Most of the time in the cryptocurrency world, there are no good opportunities.
The market that can truly make money must have emotions and transactions.
If there is no heat, wait; random actions will only incur transaction fees.
Fourth rule: Be ruthless with stop losses, protect your profits
If you lose, accept it; don't be soft-hearted;
If you make a profit, raise your stop-loss to secure the profits first.
The market won't let you off just because you are reluctant.
Fifth rule: Don't hesitate when you should buy, don't delay when you should sell
Opportunity windows are very short; hesitation equals giving up;
Delaying when risks appear will only amplify the damage.
Buying slowly is a mistake; selling slowly is fatal.
Sixth rule: Ask yourself before increasing your position
"Now that I have no position, do I still want to buy?"
If yes, then add; if uncertain, don't act.
Increasing your position is amplifying correctness, not prolonging mistakes.
Seventh rule: Don't waste your life on ultra-short-term trades
Focusing on small cycles every day will only earn you hard-earned money.
Real big gains come from patiently holding after getting the direction right.
Eighth rule: Bottom fishing is the most expensive fantasy
"It has already dropped so much"—this phrase has buried too many people.
Those who can make money in the long term share a common trait:
They rarely bottom fish.
This path is not easy.
You can choose to repeat others' losses,
Or you can slowly find your own way of survival.
The road is beneath your feet,
But the price will definitely be paid by the market.
