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

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Having been in the cryptocurrency trading space for over ten years, I started with a principal of 5000 yuan. I made over 10 million during the bull market but lost everything and ended up losing an additional 7 million within three years. Finally, I turned my fortune around with a borrowed 200,000 yuan and earned back 10 million again. Along the way, I have summarized the ten iron rules of cryptocurrency trading, which I hope to share with you today to help you avoid detours!
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Rule One: Understand market sentiment; trading volume is the core indicator.
• Volume rises and price stabilizes: 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 a significant price increase may indicate that a short-term peak has been reached.
• Price increase accompanied by rising trading volume: During the price increase, trading volume must maintain steady growth; any abnormal reduction or surge may indicate the end of the upward trend.
• Key nodes of decline see increased trading volume: When the price drops to a key position, trading volume surges, and the downtrend may continue further.
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Iron Rule 2: Key Price Levels Guide Trading Decisions
• Support, resistance, and trend lines: decisive action is key when prices reach these critical levels!
• Golden Ratio Principle: I use it to accurately predict support and resistance, with significant results.
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Iron Rule Three: Comprehensive Market Analysis Across Multiple Time Frames
• One Minute Chart: Capture precise entry and exit timing.
• 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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Rule Four: Stay Calm After Stopping Losses
• 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-Phase Accumulation Method:
1. Initial Positioning: Coin price rises above the five-day moving average, first purchase.
2. Increase Position: Break through the 15-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 15-day line, reduce again;
• Break below the 30-day line, retreat completely!
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Rule Six: The selling strategy is equally important.
• Break below the five-day moving average at a high position: moderately reduce positions and wait and see.
• Break below the 15-day and 30-day moving averages: decisively liquidate positions, leave no regrets.
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Rule Seven: Be wary of market news and don't be swayed by emotions.
• Frequent positive news but prices are not rising: Beware of market manipulators offloading their assets, and take profits in a timely manner.
• Negative news continues to emerge but prices do not drop: Perhaps a bottom signal, keep a close watch.
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Rule Eight: Stick to reviewing trades and deeply explore trading experiences.
• Daily Review: Summarize the reasons for success and failure, and extract lessons learned.
• Regular Review: Analyze past trades, adjust strategies, and enhance awareness.
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Iron Rule 9: Set profit targets, do not be greedy.
• Clear profit zone: decisively take profits when the target is reached, without chasing highs or cutting losses.
• 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 making a profit: 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 than to make a mistake.
These iron rules are valuable experiences gained from countless failures and successes in the world of money. On the journey of Cryptocurrency Trading, may you avoid traps and move forward steadily!