Ten years of Cryptocurrency Trading, from losing everything to earning back ten million: the top ten iron rules!

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In the cryptocurrency world for over 6 years, starting with a principal of 50,000 yuan, I caught the bull market and made over 10 million, then lost everything within three years, resulting in a loss of 17 million. Finally, relying on a borrowed 100,000, I turned things around and earned back 20 million. Throughout this journey, I have summarized the ten iron rules of cryptocurrency trading, which I share with you today in hopes of helping you avoid some detours!
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Iron Rule One: Understand market sentiment, trading volume is the core indicator.
• Trading volume rises while prices stabilize: A significant increase in trading volume while prices remain stable may signal the end of a downward trend.
• High trading volume with stagnant prices: A surge in trading volume without significant price increase may indicate a short-term peak.
• Price increase accompanied by rising trading volume: During the price increase, the trading volume should maintain steady growth; any abnormal reduction or surge may indicate the end of the bullish trend.
• Key nodes of decline with increased trading volume: When the price drops to a key position, the trading volume surges, and the downward trend may continue further.
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Iron Rule 2: Key price levels guide trading decisions
• Support, Resistance, and Trend Lines: When the price reaches these key levels, decisive action is crucial!
• Golden Ratio Rule: I use it to accurately predict support and resistance, and the results are remarkable.
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Iron Rule Three: Comprehensive analysis of the market across multiple timeframes.
• One-Minute Chart: Capture precise entry and exit timings.
• Three-minute chart: Monitor the price fluctuation trend after entry.
• 30-minute to 1-hour chart: Capture the subtle changes in intraday trends.
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Iron Rule Four: Stay Calm After a Stop Loss
• Stop loss means the end of the trade: Each trade is an independent starting point, don't let the past affect your judgment.
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Iron Rule Five: Efficient Position Management Strategy
• Three-Stage Accumulation Method:
1. Initial Positioning: Coin price breaks above the five-day moving average, first purchase.
2. Increase Position: Break through the fifteen-day line, continue to increase position.
3. Waiting with a full position: Stand firm on the 30-day moving average and complete the position building.
• Strict stop-loss discipline:
• Break below the five-day line, reduce positions;
• Break below the fifteen-day line, reduce further;
• Break below the 30-day line,全面撤退！
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Rule Six: The Selling Strategy is Just as Important
• Break below the five-day moving average at a high position: moderately reduce positions and watch for changes.
• Break below the 15-day and 30-day moving averages: decisively liquidate positions, leaving no regrets.
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Iron Rule Seven: Be wary of market news and don't let emotions dictate your rhythm.
• Frequent bullish news but prices do not rise: Beware of whales unloading, take profits in time.
• Bad news keeps coming, but prices don't fall: This may be a bottom signal, stay closely attentive.
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Rule Eight: Stick to reviewing trades and deeply analyze trading experiences.
• Daily Review: Summarize the reasons for successes and failures, and extract experiences.
• Regular Review: Analyze past trades, adjust strategies, and enhance awareness.
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Iron Rule Nine: Set profit targets and do not be greedy.
• Clearly define profit range: decisively take profits upon reaching targets, do not chase highs or sell on dips.
• Learn to take profits in batches: Especially during a surge in the market, do not sell everything at once.
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Iron Rule Ten: Mindset is King, always remain calm.
• When in loss: Don't rush to recover, calmly analyze the mistakes.
• When profiting: Don't be blindly confident, the market is always full of risks.
• Be patient and wait for opportunities: Do not rush, it is better to miss out than to make a mistake.
These iron laws are valuable experiences gained from countless failures and successes. On the path of Cryptocurrency Trading, may you avoid traps and move forward steadily!