Last winter, I watched helplessly as people around me took big hits in the crypto market. The down payment of 360,000 on a house completely evaporated in the pursuit of the "hundredfold coin" dream. During that time, he stayed in a rented room all day, staring blankly at the "0 balance" on his phone screen.

But this is not the end of the story. Starting over with just 3600U, in more than half a year, he not only recovered his principal but also earned an extra 30,000U. From account explosion to revival, it’s not luck that made it happen, but trading discipline bought with blood and sweat.

I have been immersed in the crypto market for over 8 years and have seen too many such turnaround stories. Today, I will lay out some of the most core rules.

**Position Management — This is the prerequisite for survival**

My buddy’s most painful lesson is here: no matter what the market condition, he always goes all-in, constantly hoping that "one all-in can recover everything," but a wave of correction would wipe him out immediately.

Now he has set a strict rule for himself: no single operation invests more than 20% of the total funds, and if a single loss reaches 8%, he cuts and exits immediately.

Sounds slow? We calculated this. If you go all-in with 3600U, just one 15% drop can wipe out your account; but if you split into five smaller trades, even four consecutive losses, the last trade only needs to be profitable to break even. The cold reality of the crypto market is — opportunities are endless, but your principal is only this one.

**Pyramid Averaging Method Is More Secure**

When the trend is already clear, instead of going all-in with heavy hands, it’s better to step in gradually. Set a stop-loss at a support level formed by technical structure, then gradually build positions based on price reactions. This way, you can control risk exposure and not miss out on upward trends.