Family, who understands! In 2025, the cryptocurrency market is like a roller coaster that makes people dizzy. Bitcoin surged to $126,000 in October and plunged to $84,600 in November. How many people chased the highs and got stuck trying to catch the lows? But I used $50 as my capital and rolled it to $29 million in two years, relying not on luck, but on trading logic that ingrains 'anti-human nature' into my bones!
Let me pour some cold water: the three pitfalls of losing money in the cryptocurrency market, 90% of people fall into all of them
Stop blaming the market for being too bad! I have seen too many cases of going from rich to in debt. I found that losing money often follows these three patterns, hitting one makes it hard to turn around:
The itchy hands group: can't stand not trading for a day, frequent operations turn transaction fees into 'charity', earning not enough to cover costs
Gambler's Heart: Going all in on a popular cryptocurrency, soaring when it rises and going to zero when it falls, with no chance to recover.
Chives Life: Panicking to take profits when gaining 5 points, but stubbornly holding on when losing 20 points, perfectly avoiding the iron rule of "let profits run, cut losses short."
Remember: The crypto space is not a casino; those shouting "500,000 to earn 20 million is easy" are either harvesting chives or about to be harvested. The real logic of making money is to exchange small risks for big opportunities, not to treat principal as chips.
Hard Facts Part 1: Small amount rolling warehouse techniques, beginners can also withstand fluctuations.
Many people think that without large funds, they can't make money. In fact, I started with 50-100 dollars to play rolling warehouse; the core is "using profits to seek returns, keeping the principal safe":
Leverage of 5-10 times: 20 times leverage looks exciting, but a 4% pullback could lead to liquidation. 10 times leverage has a higher tolerance, so there's no fear when encountering fluctuations like in 2025.
Focus on popular tracks: Prioritize selecting valuable tracks like AI computing power and secure public chains, quality targets with daily increases of over 20% are more reliable than blindly chasing unknown altcoins.
Rolling warehouse logic: Reinvesting profits, always setting a breakeven point for the principal. Even if the market reverses later, the losses are just the profits earned, and the principal is always safe.
Here's a real example: Last year I focused on a leading AI track, with 50 dollars as principal and 10 times leverage, a daily increase of 35%, after rolling I earned 2,800 dollars, equivalent to a principal increase of 56 times! But if I had greedily used 20 times leverage, I would have been liquidated during that 10% pullback.
Hard Facts Part 2: 12 rules for selecting coins, applicable in both bear and bull markets.
Choosing the right coin is more important than choosing the right time! I filter coins without using insider information, solely relying on these 12 principles with an accuracy rate of over 80%:
Prioritize low market cap: Quality public chains or protocols with small circulating market cap have greater potential for upward movement, avoiding early cashing out by the project team.
The track should be broad enough: Choose fields with high ceilings, such as the public chain track of ETH and SOL, or the ecological track of UNI.
New narratives reign supreme: Prioritize projects that solve real problems, such as AI computing power and security protection, over mere speculation.
Avoid popular pitfalls: High-return dark horses are often hidden in overlooked fields; coins that are heavily promoted online are likely traps for bag holders.
Tolerate low liquidity: Early-stage quality coins may have poor liquidity, focus more on on-chain or niche platforms, as this is the essential path to discovering value.
Look at the listing cycle: Coins listed at the end of a bull market or the beginning of a bear market tend to have greater upward potential after a washout of 6-12 months.
Don’t get hung up on price: Low-priced coins are not necessarily profitable, and high-priced coins are not necessarily losses; the core is to look at value, not the number of zeros after the decimal point.
Head effect: Leading projects in public chains and ecosystems have longer lifecycles, rise sharply and fall steadily, proving to be 10 times more reliable than lesser-known coins.
Check backgrounds: Teams and investment institutions should be reliable; projects backed by well-known institutions have significantly lower risks of running away.
Avoid special traps: Stay away from projects that violate value logic, like deflationary coins with no real applications, which have risks far exceeding returns.
Old coins with new narratives: Some old coins combined with new narratives (like AI + old public chains) can often lead to a second wave of market activity.
Don't be greedy: Choose 1-2 leading coins per track; don't hold dozens of coins at once; it's impossible to keep track of them all with limited attention.
Hard Facts Part 3: The "Three Crows" pattern, a tool to avoid market tops.
When trading, you need to know how to read signals. I've used the "Three Crows" pattern for 8 years to accurately avoid major drops, especially suitable for the kind of fluctuating market expected in 2025:
Pattern recognition: After an upward trend, three consecutive bearish candlesticks appear, each closing lower than the previous one, with high points and low points gradually declining.
Confirmation signal: When the pattern forms, volume increases, indicating selling pressure; this is when you need to be alert for a pullback.
Operation strategy: When the third candlestick closes, decisively reduce positions, or take profits when breaking below the low, with stop-loss set above the highest point of the pattern.
Note: Cryptocurrency trades 24 hours a day, there may be no obvious gaps. As long as the core characteristics are met, it is an effective signal.
Last October, when Bitcoin surged to 126,000, the daily chart showed the "Three Crows" pattern. I decisively reduced my position by 80%, successfully avoiding a subsequent 30% drop. This illustrates the value of technical analysis; it's not about predicting the market, but identifying risks.
The last 15 heartfelt words: Understand them to avoid taking three years of detours.
In a market crash, true value emerges: During a big market drop, coins that hold up well are quality targets, with clear signs of market makers defending the price, making a rebound highly probable.
Use moving averages to determine buy and sell: Beginners don’t need to complicate things with complex indicators; for short-term trading, watch the 5-day average and sell if it breaks; for mid-term, watch the 20-day average and reduce positions if it breaks. Execution is more important than the method.
Don't be greedy during main rises: Hold if there’s no volume. If there's a drop in volume and it breaks the trend, quickly reduce positions; don’t cling to the fantasy of "it can go back up."
Short-term discipline: Exit if there's no volatility three days after buying; unconditionally stop-loss at 5%; don’t let small losses turn into big losses.
Don’t blindly buy during dips: For coins that have dropped 50% from highs and fallen for 8 consecutive days, you can test with small positions, but set stop-losses; a rebound is not a reversal.
Only trade leaders: Leaders rise the most when going up and hold steady when going down; don't hesitate to buy just because it has risen too much; the strong remain strong is a fundamental rule in the crypto space.
Go with the trend: The buy price shouldn’t always be the lowest; a suitable price is more important than a cheap price. Don’t go against the trend; it’s not wise to assume a bottom during a decline.
Reviewing is key: To make money, distinguish between luck and skill; build your own trading system to achieve consistent profits.
Learn to stay in cash: Don’t force positions when unsure; staying in cash is the best way to avoid risks; those who can go cash are true masters.
Fixed strategy: Don’t adapt randomly; using a fixed method repeatedly is more effective than learning a thousand techniques.
Don’t get addicted: Trading is for a better life, not for gambling; family is always more important than market conditions.
Take responsibility for your profits and losses: Don’t blame losses on the market or others; take responsibility for your own decisions to avoid repeating mistakes.
Stay away from insider news: What you see is what others want you to see; having your own judgment will prevent you from being taken advantage of.
Trading is a practice: You’re not trading coins, but your own mentality; endurance is more important than intellect, and holding firm is more reliable than talent.
Respect the market: The fluctuating market of 2025 has proven that there is no permanent bull market or bear market; surviving is the only chance you have.
I have been in the crypto space for over 10 years, from three liquidations to financial freedom. My deepest realization is that every penny earned in the crypto space is a realization of understanding. Those seemingly "easy hundredfold profits" stories are backed by countless reviews and risk controls.
If you want to avoid the fate of being a chive, and want to earn a stable second income from the crypto space, follow me.@链上帝王 #加密市场观察 $ETH
