That sleepless night, the numbers on the screen made me completely alert. The account balance had fallen to a painfully low level, and the "wealth dream" I once boasted about in the chat group was instantly shattered—altcoins halved, contracts liquidated, and various tokens hitting new lows. At that moment, I realized that the true test in the crypto world is never about who makes the fastest profit, but who can survive the longest.

I stepped outside and ran ten kilometers along the street. Eventually, I couldn’t run anymore and squatted by the roadside, finally understanding a principle: no matter how high the returns, a retracement can always wipe it out, and all paper wealth is vulnerable in extreme market conditions.

**Mainstream Coins Are the Comfort Pill**

Since then, my trading strategy changed completely. BTC and ETH became my core holdings, not because they are the most glamorous, but because they have sufficient liquidity and strong market consensus. Those so-called "hundredfold potential" altcoins? Straight to the blacklist. Not that they will necessarily go to zero, but when risk and reward don’t match, there’s no need to gamble on them. While mainstream coins can be volatile, they at least have enough participants to prevent a few whales from controlling everything.

**Trade Once a Day, Strict Take Profit and Stop Loss**

I’ve seen too many people fall into the trap of frequent trading. After changing this bad habit, I set strict rules: close the position when profit exceeds 3%, no greed; cut losses immediately at 2%, no holding through. This ratio may seem conservative, but in crypto, the most valuable thing isn’t how high each trade’s profit is, but how long your principal can survive. The power of compound interest comes from long-term survival, not from occasional huge gains.

**Double Your Principal, Halve Your Position**

When profits reach a certain level, I adjust my position size based on the Kelly criterion—doubling the account, then halving the position each time it doubles. It sounds like giving up profits proactively, but it’s actually a dynamic balance with risk. As the account grows, risk tolerance should decrease, not increase with profits. The benefit of this approach is that even if a 40% retracement occurs later, it won’t damage the principal.

**Holding Cash Requires More Discipline Than Trading**

I remember once BTC dropped from 28,000 to 25,000, and the chat was full of "bottom-fishing signals." But I chose to stay out of the market. Two days later, it fell to 23,000, and I realized how wise that decision was—many of those rushing to buy the dip were already showing liquidation screenshots. The market’s greatest test isn’t whether you can make money, but whether you can resist the urge to trade. When there’s no good opportunity or enough confidence, holding cash is the best choice.

I’ve been following this logic for nearly a year. Retracements still happen, but they no longer shake my mindset. The rules of the crypto game never change—those who survive longer earn more, while those who die quickly only leave regrets.