Many people trading cryptocurrencies always end up losing money. The problem is often not the complexity of the strategy, but the discipline in execution. Experienced traders have summarized three deadly pitfalls to avoid.

First, never follow the trend and buy during an uptrend. It sounds simple, but most people can't do it. True experts dare to be greedy when others are fearful, and understand fear when others are greedy. Buying during a decline and turning this habit into a reflex can lead to qualitative differences in long-term returns.

Second, never push your orders. The desire for quick double-ups can cause people to lose rational judgment. The market is never short of opportunities, but opportunities are reserved for those with patience.

The third big pitfall is full position. Being fully invested reduces your flexibility, and any market movement afterward can put you in a passive position. Moreover, the opportunity cost of being fully invested is the highest, because when a better opportunity arises next time, you will have no bullets left.

After discussing defensive strategies, let's talk about the rhythm of offense. After a consolidation at high levels, the price usually makes new highs; after a consolidation at low levels, it often makes new lows. So the first principle is to wait for the trend reversal to become clear—don't rush to get in.

The second key point: do not trade during sideways consolidation. You will find that most losses are caused by this—being unable to resist trading in choppy markets, only to get repeatedly slapped in the face.

Regarding candlestick selection, there is a simple rhythm: buy on a closing bearish (down) candle at the daily level, consider selling on a closing bullish (up) candle. When the decline slows down, it indicates weakening momentum, and rebounds will also slow; conversely, when the decline accelerates, rebounds will be sharp. This sense of rhythm can help you pinpoint the timing of entries and exits.

The method of building a position should follow a pyramid approach: buy the most and most cautiously at first, then decrease the size of subsequent purchases. This is the eternal rule of value investing and stands the test of time.

Finally, after a cryptocurrency experiences a sustained rise or fall, it will inevitably enter a sideways consolidation. At this point, recognize that the market is gathering strength. After judging the next direction, act accordingly—being more rational than blindly bottom-fishing or chasing rallies.