Many people say there is no foolproof method to trading cryptocurrencies, but that's not entirely true. There is a very simple methodology, though few can truly execute it—this approach can almost consume all the profits in the market. The key is to refine it over time and maintain discipline.

Let me first share three ironclad rules of trading; making these mistakes will lead to self-inflicted losses. The first rule: never chase high during an uptrend. It sounds cliché, but market psychology is brutally honest—when others are fearful, you must be greedy; when others are greedy, you must learn to be fearful. Simply put, build positions during dips, turn this into muscle memory, and it will outperform all technical indicators.

The second rule is more straightforward: do not push your orders. Leverage is a double-edged sword, especially in this highly volatile market—an extreme move can wipe out your account in one shot. The third rule is: do not be fully invested. Full positions can trap you in a passive defensive stance, and this market is never short of opportunities. If all your funds are committed, the opportunity cost is unimaginably high.

Next are six tips for short-term trading, distilled from countless practical experiences.

**Position determines destiny.** After a high-level consolidation, prices often make new highs; after a low-level stabilization, they usually make new lows. So don’t rush to act—wait until the trend reversal is fully clear, and the market will give you clear signals.

**Sideways trading is a minefield.** Most losses happen here—watching the market fluctuate and trying to trade, only to be repeatedly stopped out in narrow ranges. Avoid trading during sideways periods; this can cut at least half of ineffective losses.

Be patient with candlestick patterns. Buy at the low points of daily candles when a bearish (downward) candle closes, and sell at the high points when a bullish (upward) candle closes. It sounds counterintuitive, but this is the core of risk control—let the trend confirm your decisions.

**Trends have rhythm.** When a decline slows down, rebounds tend to slow as well; when a decline accelerates, rebounds will follow. Mastering this rhythm helps you more accurately buy the bottom and sell the top.

Learn to apply the pyramid principle in building positions. Gradually increase your holdings—buy more as the price goes lower. This is the eternal wisdom of value investing. Those who load up all at once will eventually pay the price for impulsiveness.

Finally, a crucial point: when a coin continues to rise or fall to a certain extent, it will inevitably enter a sideways phase. During this stage, don’t try to clear your position at the high; don’t expect to buy everything at the low. Wait until the consolidation breaks in a new direction. When the price drops from a high, exit promptly—this is the last line of defense to protect your gains.

In summary, making money in crypto trading isn’t about luck; it’s about discipline that may seem simple. Sticking to these principles, what you lack most is time and patience.