Eight years ago, when I got liquidated, I was tens of thousands in debt and didn’t even dare eat an eight-yuan bowl of noodles. During late-night trading sessions, I filled up on instant noodles, drinking every last drop of broth. My mom would send me cured meat and sausages, always reminding me, “Don’t go hungry.” Who would have thought that now I’d have twenty million in my account, and both $ZEN and $GIGGLE have made me a lot of money. This isn’t luck—it’s four hard-earned lessons paid for with real money and blood.

**Lesson 1: Recognize the Whales’ Distribution Signals**

In 2018, I chased a project that skyrocketed 40% in the short term and then moved sideways at the top for four days. Naively, I thought it would keep rallying, but then it suddenly crashed 20% on high volume, trapping my principal. Looking back, I realized: a sharp rally of over 35%, sideways at the top for 3 to 5 days, then a heavy-volume drop of over 15%—that’s the classic exit strategy for big players. Now, whenever I see this, I cut my position right away.

**Lesson 2: Sideways at the Top Is More Dangerous Than a Crash**

In early 2020, I held a coin that moved sideways at the top for three whole months. Trading volume kept shrinking, turnover dropped below 1.5%, and the price deviated more than 25% from the 20-day moving average. I didn’t pay attention at the time, and ended up cutting my losses when it dropped to $8. Now, whenever I see this kind of volume-price divergence, I decisively open a short to hedge.

**Lesson 3: Bottom-Fishing Requires Volume Confirmation**

In June 2022, I tried to bottom-fish Ethereum, thinking it had bottomed out, but it kept falling. After studying hundreds of bottom patterns, I found the rule: a real bottom forms after a period of low-volume consolidation, then three consecutive days of moderate volume increases with small bullish candles. In 2023, when Bitcoin showed this pattern around $28,000, I went all in and exited at $45,000—that wave alone paid the down payment for a house in Hangzhou.

**Lesson 4: Volume Is Key, Position Size Is Your Lifeline**

I always remind myself: candlesticks are just appearances—trading volume is the essence; always stay half-invested, never greedy or fearful. In 2024, when a MEME coin was surging, I waited for a high-volume breakout from the range and only entered after volume increased sixfold. As soon as the trendline broke, I took profits and exited. Even though I only made 10x before leaving, I avoided the subsequent 50% crash.

There are no shortcuts in crypto. Survive your losses, remember the lessons, and you can gradually make it to the other side.