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Having navigated the crypto world for 7 years and made over 50 million in profits with real money, I want to share the top 10 most painful lessons I've learned. These are not some profound theories, but practical experiences gained through blood, sweat, and tears.
**Don't go all-in right from the start** If your capital is only 10,000 yuan, never go all-in. One decent bull run per year is enough. Honestly, staying alive is more important than anything.
**Cognitive limits cap your gains** How much you can earn is actually determined by your cognitive ceiling. Practice with a demo account first, hone your mindset, then invest real money. Even one mistake in real trading could mean immediate exit.
**Good news becomes bad news once it's exhausted** Don't get overly excited by news. Often, good news is already reflected in the price. The first day of a high opening is usually the start of a trap.
**Reduce positions before holidays** This is not superstition but market law. Markets tend to fall before holidays, so smart traders clear their positions in advance.
**Keep cash for medium- and long-term** Don't be greedy to squeeze every last drop in a single rally. Learn to sell in batches and keep enough ammunition for the next opportunity.
**Follow volume for short-term trades** Only focus on coins with active trading volume. Zombie coins are a waste of time. Illiquid assets can be dumped at any moment.
**Downward decline and sharp drop are completely different** A slow decline is especially draining, gradually crushing your mindset; a sharp drop often rebounds quickly. Mastering this rhythm requires experience.
**Cut losses when losing money** This is the hardest but most important rule. Keep your capital alive; opportunities are always there. Holding on blindly only deepens the trap.
**Use 15-minute K-line and KDJ for short-term** No need to study overly complex indicators. Combining 15-minute candlesticks with KDJ makes it easy to spot good buy and sell points.
**Master one or two technical indicators** Instead of learning ten indicators half-heartedly, master 1-2 techniques thoroughly. One trick is enough to succeed.
Avoiding detours means more profit. I hope these lessons help those still exploring in the crypto space.