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Why do so many people stumble in the crypto market? The simplest and most straightforward answer is often the closest to the truth.
Over the years, I've seen too many bloody stories—accounts wiped out, forced to exit, disheartened withdrawals. These people are not lacking in talent or vision; the real problem lies in three deadly habits.
**The First Killer: Impulse to Chase Highs**
When the market rises, they get greedy, thinking "this wave will fly," but as soon as they buy in, the price plunges. Ironically, the best time to act—the moment of panic selling—is when no one dares to move. Only those who embed the mindset of "buying on dips" into their bones deserve to reap the cycle’s benefits.
**The Second Trap: Going All-In with Heavy Positions**
Thinking that if they pick the right direction, they can turn things around in one shot, but in reality, the big players are just waiting for such opportunities. A few attempts, a few tests of the market, and the account gets wiped clean. The thrill of high leverage and full positions is short-term; the risk, however, is permanent.
**The Third Deadly Point: Letting Emotions Take Over**
Once you go all-in, you lose flexibility. Even if you guess the big trend correctly, you can't adjust your positions or hedge risks, watching opportunities slip through your fingers.
Ultimately, the cruelest lesson in the crypto world is: **You don’t lose to the market; you lose to your own habits**.
**Practical Trading Logic Summary**
Having gone through countless cycles, I’ve developed a trading framework that seems simple but is often overlooked by most:
**Watch the position, don’t rush in blindly.** Is the high zone still consolidating? New highs are often yet to come. Is the low sideways range not bottomed out? Beware of making new lows. Before clear buy or sell signals appear, be patient and observe.
**Wait during sideways consolidation; don’t force trades.** This is the most testing moment of patience. Most people get wiped out in oscillations—not because their capital is gone, but because their will to wait is broken.
**Follow the candlestick signals.** When the daily chart closes bearish, prepare; when it closes bullish, reduce positions. Relying on market sentiment is far more reliable than guessing blindly.
**Timing is everything.** Slow declines often lead to weak rebounds; rapid drops can trigger quick surges. Understand the market’s breathing rhythm, and opportunities will naturally surface.
**Always keep ammunition ready.** Use the pyramid building method—initial exploration, add on during dips, lock in profits during rallies. Diversify entries, leave room for maneuver, so you’re not wiped out by a single wave.
**After large fluctuations, consolidation follows; after consolidation, a trend change occurs.** This is the market’s iron law. Don’t go all-in at the top; don’t despair and go all-out at the bottom. Stay calm, wait for clear signals before acting.
**The Final Harsh Truth**
Market opportunities are never lacking. What’s truly missing is the calm mindset, the endurance to withstand loneliness, and the ability to last until the end. Discipline in these three areas is what makes the path of crypto trading broader and broader.
You might think top traders are just lucky, but in reality, they’ve just refined their clumsy methods to perfection. There are no secret tricks—only persistent discipline.