Only those who survive the liquidation night understand how precious the light of dawn is.

Three years ago, my account had only $23 left, not even enough to cover the margin for opening a contract. Now I manage an eight-figure asset, all thanks to five lessons ingrained in my bones — each one earned with the blood of liquidation night.

Sharp drops and slow rises are the main forces washing the plates.

After three days of sharp decline, it slowly climbs, appearing weak and powerless, but in reality, it's wearing down retail investors' patience. Just like when ENA fell from 0.3 to 0.2, a bunch of people couldn't stand it and sold off, only for it to shoot up to 1.2 two months later. A truly strong coin must first shake off the indecisive.

Don't chase the highs the day after a surge; that's a tail end market.

When a MEME coin doubles in a day, newbies panic, afraid to miss the second wave, while seasoned investors know: this is just the excitement at the tip of the tail. In May, there was a coin that surged 80% overnight, I advised my disciple not to touch it, and sure enough, it fell back to square one the next day. The chips bought in the frenzy ended up being the main force's ATM.

Be cautious when there's excessive volume at a low level; it's likely a trap to lure in more.

When a coin drops significantly and suddenly rises 20%, it's nine times out of ten a trap to lure more in. A true bottom must see volume slowly and steadily increase — for example, TON hovered at 1.2 for two weeks, with daily volume steadily increasing by 5%, and only then did it experience a threefold surge.

Consolidation with decreasing volume is the calm before the storm.

When the price of a coin fluctuates but volume decreases by 40%, it feels like the silence before a storm. In June, ETH consolidated at 3500 for five days, with volume dropping day by day. I reduced my position in advance, and sure enough, on the third day, it smashed through 3000. Once the balance between longs and shorts breaks, the direction often becomes very brutal.

Consensus is about depth; the truth is hidden on the chain.

Exchange data can be slightly manipulated, but on-chain transactions can't deceive people. There was a new coin that I discovered had a large transfer to a market maker address before it went live, and I decisively bought in at the bottom, earning a 50% increase on the first day. The traces of truly smart money are all written on the blockchain.

The market has always taken new scripts to perform old routines; the tears shed on liquidation night will eventually turn into intuition on the charts. If you're also tired of chasing highs and cutting losses, consider following @俊哥说趋势 , and let's earn money that transcends cycles together.