After seven years of struggling in the Crypto Assets market, I directly lost 70% of my principal in the first three years. These losses are not just numbers; they are real tuition fees.
What mistakes do retail investors easily make? They run away when making money and hold on when losing. I was a typical case back then: I stubbornly refused to sell the coins I was stuck with, fantasizing about the day I could break even; occasionally seizing the market to make a 5% profit, I would immediately cash out. What was the result? The stuck positions got deeper and deeper, while the ones I sold multiplied several times. Later, I simply reversed my approach: I dared to take the profits and cut losses quickly. "Hold for a 10% profit, cut losses at 5%", this simple principle helped me avoid a lot of pitfalls.
Volume is a good thing, it can reveal the true intentions of the market. Is the volume decreasing while hitting new highs? It indicates that the upward momentum is still there. Is there a volume decrease after breaking through the 20-day moving average? Such opportunities are rare. Position control is also a science: don't try to touch every coin, mainstream coins are enough. Stuffing seven or eight coins into your account is simply unmanageable, and in the end, it will only lead to confusion. Two or three are sufficient.
Intraday fluctuations can also be traced. Don't panic during sharp declines, as there is often a rebound afterwards; be careful with sudden violent surges in the closing hours, as there is a high probability of a pullback the next day. Remember a few simple rules: a rise on low volume will continue to rise, a rise on high volume with stagnation indicates a peak, and a surge on huge volume will definitely correct.
Trends are better followed than predicted. For short-term, look at the 5-day moving average, and for long-term, keep an eye on the 20-day moving average. If it breaks below, exit without any luck considerations. A strong coin may drop a bit, but the key is to observe market sentiment and turnover rate. When these indicators are in place, the probability of a reversal is quite high.
Mental management is the most difficult hurdle. After making a big profit, one must remain calm and empty-handed; I know all too well how it feels to give profits back after getting carried away. When in loss, don't rush to recover, wait until the market's profitability returns before acting.
Crypto Assets trading has never been an easy task; it's something that is endured—enduring the mindset, enduring the understanding, enduring the execution ability. These seven years have taught me a principle: technology is not the threshold; controlling oneself is. The market has never lacked opportunities; what it lacks are those who can follow the rules.
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LightningLady
· 11-30 09:46
To be honest, it took 70% of the tuition fees getting dumped for me to understand what it means to be alive. I am now firmly holding onto that set of principles without wavering.
After making a big profit and then going into a Short Position, this point hit home. It took me too many times of earning and then giving it back to understand that, ultimately, it still comes down to greed.
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memecoin_therapy
· 11-30 03:57
70% of the tuition... Ha, I've paid that too. That one sentence hit me hard – it's not the technology that's the barrier, it's controlling yourself that is. So damn true.
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NFTArchaeologis
· 11-28 10:53
It sounds like you're talking about the "Ostracism" of the digital age—ancient Athens used pottery shards to vote out the elite, and here you are using stop loss votes to eliminate junk coins. The sense of rules that has been brewed over seven years is much more interesting than those flashy indicators.
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FOMOSapien
· 11-28 10:53
70% has evaporated... That's why I'm holding onto two or three coins without touching the others. Really, greed can get you killed.
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MoonBoi42
· 11-28 10:50
Stop loss is truly a practice; I fell into the cycle of stopping loss too early and then stubbornly holding on.
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MidnightTrader
· 11-28 10:26
70% tuition fee, right? I haven't paid less... By the way, this 5% stop loss rule has really saved me a few times, much clearer than those who stare at Candlesticks all day.
After seven years of struggling in the Crypto Assets market, I directly lost 70% of my principal in the first three years. These losses are not just numbers; they are real tuition fees.
What mistakes do retail investors easily make? They run away when making money and hold on when losing. I was a typical case back then: I stubbornly refused to sell the coins I was stuck with, fantasizing about the day I could break even; occasionally seizing the market to make a 5% profit, I would immediately cash out. What was the result? The stuck positions got deeper and deeper, while the ones I sold multiplied several times. Later, I simply reversed my approach: I dared to take the profits and cut losses quickly. "Hold for a 10% profit, cut losses at 5%", this simple principle helped me avoid a lot of pitfalls.
Volume is a good thing, it can reveal the true intentions of the market. Is the volume decreasing while hitting new highs? It indicates that the upward momentum is still there. Is there a volume decrease after breaking through the 20-day moving average? Such opportunities are rare. Position control is also a science: don't try to touch every coin, mainstream coins are enough. Stuffing seven or eight coins into your account is simply unmanageable, and in the end, it will only lead to confusion. Two or three are sufficient.
Intraday fluctuations can also be traced. Don't panic during sharp declines, as there is often a rebound afterwards; be careful with sudden violent surges in the closing hours, as there is a high probability of a pullback the next day. Remember a few simple rules: a rise on low volume will continue to rise, a rise on high volume with stagnation indicates a peak, and a surge on huge volume will definitely correct.
Trends are better followed than predicted. For short-term, look at the 5-day moving average, and for long-term, keep an eye on the 20-day moving average. If it breaks below, exit without any luck considerations. A strong coin may drop a bit, but the key is to observe market sentiment and turnover rate. When these indicators are in place, the probability of a reversal is quite high.
Mental management is the most difficult hurdle. After making a big profit, one must remain calm and empty-handed; I know all too well how it feels to give profits back after getting carried away. When in loss, don't rush to recover, wait until the market's profitability returns before acting.
Crypto Assets trading has never been an easy task; it's something that is endured—enduring the mindset, enduring the understanding, enduring the execution ability. These seven years have taught me a principle: technology is not the threshold; controlling oneself is. The market has never lacked opportunities; what it lacks are those who can follow the rules.