I am 38 this year. Eight years ago, I entered the crypto world with just 5,000 RMB. Back then, I didn’t know anything—I just fumbled my way through and learned by trial and error. Now, to be honest, I’m almost embarrassed to say what my account balance is.
Over the past 6 months, I mainly traded ETH, BTC, and SOL, with profits of about 1.7 million USDT. Looking back now, those who truly survive in crypto for the long run are never the ones who rush in the hardest, but rather those who know when to stay steady.
I’ve summarized the pitfalls I’ve experienced over the years and the lessons I’ve learned. Honestly, these things may seem simple, but they’re extremely effective. If you can grasp even one, it might save you tens of thousands; if you can truly understand three, you’re already ahead of most people.
**First**, don’t just focus on the price. Trading volume is the key—that’s the real heartbeat of the market. Price can deceive you, but volume never lies.
**Second**, after a sharp price increase, it starts to slowly drop? Don’t panic. Often that’s when someone is quietly accumulating. What you really need to watch out for is when volume suddenly explodes, followed by a big red candle—that’s a bull trap for distributing coins. If you panic and sell, you might end up trapped.
**Third**, after a flash crash, the price starts to slowly climb? Don’t rush to buy the dip. That’s not a reversal signal—it’s very likely the last wave of selling. Remember: the market loves to punish those who think “it can’t go any lower.”
**Fourth**, regarding trading volume: heavy volume doesn’t necessarily mean the top, but shrinking volume is even more dangerous. If volume keeps up during a rally, the market is still hot; once trading becomes sluggish, a crash could be right around the corner.
**Fifth**, don’t rush in just because you see a spike in volume at the bottom. One day of huge volume doesn’t mean much; a real reversal only comes when volume stays strong after a period of consolidation. Take it slow—wait until you see things clearly before making a move.
**Sixth**, trading crypto isn’t about candlesticks—it’s about human nature. Volume reflects market consensus, while price only shows emotion. If you can read the volume, you can time your moves right.
**Seventh**, and the hardest— the highest level of trading is “nothingness.” Don’t be greedy, don’t be fearful, don’t be impatient. Be able to stay in cash and wait for the right opportunity, and also act decisively when it comes.
Winners in the crypto world are never the ones who react the fastest, but those who can stay calm and wait patiently.