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After years of struggling in the crypto world, I've seen too many people rush in with the dream of "changing their life through trading," only to end up losing badly. Thinking carefully, the real reason for failure is actually just one: not fully understanding the underlying logic of the market.
The reason I’ve survived several major downturns and even profited against the trend is because of this methodology. After eight years of exploration, I’ve distilled it down to the 8 core rules. Today, I’ll share the secrets behind the hardships and profits I've experienced.
**Rule 1: Looking at daily charts is too broad; the 30-minute chart is the key to victory.** Many people only look at large K-lines and think that a long upper shadow means a decline, but when you pull up the 30-minute chart, the structure completely reverses — the next day, a big bullish candle appears. This is the power of resonance between small cycles and the overall market, and short-term trading must operate this way to have an edge.
**Rule 2: When the market is chaotic, closing your eyes is better than trading.** When the trend is unclear and the structure is broken, forcing yourself to trade will only lead to more losses. Following the trend is the simplest truth in trading; when the market rhythm is disrupted, even the most sophisticated techniques are useless.
**Rule 3: Don’t trade without a hot topic.** Coins with cold themes, low attention, and sparse trading volume should be avoided, no matter how perfect the technicals are. Liquidity decides everything.
**Rule 4: Control your hands and don’t let the market lead you by the nose.** Stick to your plan and execute it; don’t let sudden price swings throw you off. Orders without a plan are almost always manipulated by emotions.
**Rule 5: Others’ opinions are just references, not commandments.** Listening to various analyses can broaden your thinking, but the final decision must be in your own hands. Blindly following the crowd is a common flaw among retail traders.
**Rule 6: Confirm the big direction first, then choose specific coins.** If the direction is right, any action will go smoothly; if wrong, no effort will help. This is the core principle.
**Rule 7: Buy on the rise, not on the fall; don’t wait for a vague rebound.** Those who always wait for a "quick rebound" tend to wait themselves into deeper trouble. Prices tend to follow the path of least resistance; buy during upward moves, follow the trend, save effort, and increase win rate.
**Rule 8: After big gains or big losses, stay out of the market and stay calm.** Stop and reassess the market and yourself. Clarify why you made profits or losses; this step is crucial. I’ve tested this many times: after big fluctuations, calming down first and then re-entering can improve accuracy by 90%.
These 8 rules are not just theories; they are practical summaries. Each one is earned with real money. Once you understand these, the waters of the crypto world won’t seem so deep.