Having experienced the ups and downs of the crypto market for years, I’ve seen too many passionate newcomers come in with enthusiasm only to leave with their tails between their legs. Every time a novice asks "Why am I always losing?", I point out the same four issues—patterns summarized after countless accounts have been wiped out. Almost every person losing money has stepped on these landmines.

**First Pitfall: Unable to Stop Trading, Frequent Transactions**

Many treat trading like gambling, with the mantra "doing nothing equals losing." Staring at charts all day, entering and exiting dozens of times, seems like chasing waves, but in reality, transaction fees and slippage can eat up your capital threefold. True opportunities require patience and waiting. The more you try to make multiple trades, the easier it is to be repeatedly harvested by the market. Sometimes holding no position is more challenging than being fully invested—being able to let go is key to survival.

**Second Pitfall: Using Leverage as Wings, Ended Up in a Trap**

Many harbor dreams of "going all-in to turn things around," risking 80% of their assets on a single coin, often with 10x or 20x leverage. I know one guy who did leverage to multiply his gains several times, but later he heavily invested in a shoddy project that suddenly rug-pulled overnight, wiping out his account. Leverage is a double-edged sword—it can amplify gains but also instantly magnify losses. A 5% move against your position can make it vanish overnight. This isn’t gambling; it’s risking your life with leverage.

**Third Pitfall: Losing Balance—Small Gains Exit, Big Losses Hold On and Die**

This is the most insidious psychological trap. Taking a 5% profit and rushing to lock in gains, then turning around to see a 30% loss and stubbornly holding on. Some watch support levels break and still add to their positions, trying to "bottom fish," only to lose 80% of their capital and miss the chance to recover. The market’s most common psychological bias is this asymmetry—being cautious when making money, but hopeful and reckless when losing. Early take profits aren’t scary; late stop-losses are deadly.

**Fourth Pitfall: Trading by Feelings, Abandoning Risk Management**

Too many traders operate without a preset plan, relying solely on "feelings," believing the market will move as they wish. But crypto markets have no inevitability—bad news or a sudden market plunge can cut your position in half instantly. Not setting stop-losses is like driving without a seatbelt—things look fine until a crash happens, and then it’s fatal.

Those who survive longer in this market almost always treat "stop-loss" as a strict rule. Even if it means being shaken out sometimes, it’s better than a total wipeout. The purpose of a stop-loss isn’t to make money; it’s to stay alive.

**Ultimately, the survival secret in the crypto market is simple:**

Reduce ineffective trades, avoid high leverage, establish discipline for taking profits and cutting losses, and always respect risk. Protect your principal so you have the chance to wait for real profits. This isn’t pessimism; it’s the prerequisite for survival.