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Many people have been messing around in the crypto world for a whole year, but their accounts still show no movement. Actually, it's not that the market isn't strong enough; the key is that there are flaws in the trading methods. Making money in the crypto space has never relied on reckless actions; the real secret lies in precisely avoiding risks and seizing core opportunities.
I have compiled my years of practical trading experience into 10 ironclad rules, which boil down to discipline. Whether you can execute them properly directly determines whether your account grows or shrinks.
**Smaller Capital, More Need for Stability**
For accounts under 200,000, instead of constantly trading and making frequent moves, it's better to stay calm. As long as you catch one main upward wave in a year, the returns will be satisfying enough. Small funds can't handle too much turbulence; every ineffective operation consumes both principal and mental resilience.
**Demo Trading is a Mental Practice Ground**
Many people overemphasize technical analysis; in fact, technique is just the foundation. The real bottleneck is mindset. On a demo account, you can lose money freely to train repeatedly, but in real trading, impulsiveness can cost you everything. Don't underestimate this step.
**Good News Often Marks the Peak**
When news spreads widely and participation peaks, that's actually the most dangerous moment. If good news causes a gap-up the next day, you should decisively reduce your positions—don't hold onto false hopes. Market psychology works this way.
**Reduce Positions Before Holidays**
Liquidity drops before holidays, which is inevitable, and risks multiply. Instead of waiting to get caught after the holiday, it's better to lighten or close positions in advance to avoid this high-risk period. This is the simplest and most effective way to protect yourself.
**Keep Cash for Mid-term Positions**
Take partial profits during upward moves, slowly add to positions during declines, and always keep available cash. Having bullets in hand keeps your mental defenses strong. This is the true meaning of "sitting tight and fishing."
**Focus on Coins with Trading Volume for Short-term Trading**
Trading volume is a direct indicator of a coin's vitality. Coins with no volume, no matter how tempting the gains, are traps. Time is the most valuable resource—don't waste energy on low-liquidity coins.
**Learn to Read Downward Momentum**
Coins that decline slowly tend to rebound slowly; those that fall sharply often bounce back fiercely. Mastering this rhythm can help you better estimate bottom-fishing opportunities and rebound magnitudes.
**Stop-Loss is the Last Line of Defense for Capital**
Stop-loss is never about being cowardly; it's the most rational trading decision. Many hold on to losses stubbornly, turning small losses into big ones. Timely stop-loss protects the remaining capital and allows participation in the next opportunity—this is the standard mindset of professional traders.
**Use Short-term Charts and Small Cycles**
15-minute K-line charts combined with basic indicators are enough for short-term trading. Don't be fooled by complicated indicators; simple and effective methods often outperform elaborate theories.
**Master One or Two Trading Strategies Better Than Knowing Ten**
A trading system isn't about quantity but quality. Master one or two complete trading logics thoroughly, and your execution will far surpass those who know many but are not proficient in any. Greedy for too many methods, you won't master any—specialization is the key to success.
In the end, crypto competition is really about discipline in execution. Whether you make money doesn't depend on luck but on how strict your trading rules are and how firm your execution is. When rules are in place, profits will naturally follow.