I have seen too many people rush into the crypto world with ambition, only to end up not even creating a splash. This is not a pessimistic remark but a fact — the crypto space is never short of stories; what’s lacking are those who can survive the cycles. Those who have made it this far have never relied on a single instance of explosive profit but on reverence for trading rules.

Over the years, I have summarized 8 iron laws, and I share them here in hopes of helping many avoid detours.

**1. Short-term cycles set the rhythm, long-term cycles set the direction** Many newcomers always want to find the perfect entry point on the monthly chart, but the reality is this — look at the big trend on the daily chart, then use the 1-hour or 4-hour chart to precisely time buy and sell points. Short-term opportunities are often hidden within these smaller time frames. If you operate on a larger cycle, it’s easy to miss out or chase highs.

**2. Stay out of the market when the trend is unclear** When candlesticks become a tangled mess, do you still insist on trading? That’s like giving money to the market. Truly worthwhile opportunities only appear while waiting.

**3. Follow the capital flow, avoid cold coins** Follow where the money flows. For those coins without trading volume support, don’t touch them even if they are cheap — the risk is too high.

**4. Write a plan before trading** Before taking action, think through three questions: Why buy? At what price do you admit defeat? How much profit triggers you to exit? Impulsive operations are 99% traps.

**5. Others’ opinions are just seasoning** You can refer to others’ analysis, but the final decision must be yours. Logic that hasn’t been verified by yourself will make you panic at market fluctuations.

**6. Set the direction first, then choose the target** Bitcoin and Ethereum determine the overall market temperature. If these two leading coins go bad, altcoins will find it hard to stand alone. Reversing this order means total loss.

**7. Don’t try to guess the bottom, and don’t rush to buy** In a downtrend, what you think is the “bottom” is probably just halfway up the mountain. Trading on the right side of the trend may earn less but will last longer.

**8. Treat risk management as the first lesson** This is the last point but the most important — never let a single loss break your psychological defenses. The risk exposure of each trade must be calculated precisely.

The crypto space is not a casino; it’s a place where you must respect the rules. Those who survive always do so by following them.