The Pain of Selling Early: When Logic Wins, but Profits Run Away

There is a feeling in crypto that is even more uncomfortable than losing: selling and then the price skyrockets. You don’t lose money, but you lose the opportunity — and that’s what really gnaws at you. I have witnessed many stories like this. Some people only have a few tens of millions, and after making a small profit, they hurriedly cash out out of fear of “taking too little and losing everything.” Then, just a few days later, that coin doubles, or even 40%, 70%, or more. While they only had time to “take a sip of soup,” the market had already finished the whole feast. What’s worth noting is: when losing, they are very stubborn; when winning, they are too hasty. When losing, they hold onto hope, pushing until their accounts are drained. When winning, they’re afraid of losing it and close out as soon as it turns green. This isn’t due to lack of knowledge, but because they are trapped in a psychological trap called small-money thinking. The Costly Lesson of Betting on a “Unicorn” My biggest turning point came from a serious mistake in investment. At that time, a new project was emerging, with good news flooding forums, and KOLs everywhere praising it. I almost went all-in, fearing I’d miss out on a “life-changing opportunity.” Result? In less than a week, my account evaporated by nearly 80%. That fall made me realize one thing: the biggest risk isn’t price volatility, but not understanding what you’re holding. Many “new stars” in the market are actually black holes swallowing capital, not money-printing machines. From then on, I completely changed my approach. Building a “Resilient” Investment System

1. Don’t Try to Buy at the Bottom, Follow Clear Trends The market only has one true bottom, but countless traps. Trying to catch the bottom often gives a feeling of “being very smart,” but in reality, it’s extremely risky. I accept buying a few percentage points above the bottom, as long as the trend is confirmed. The market doesn’t reward the cheapest buyers, but those who go in the right direction.
2. Always Diversify Capital, Never Use All Your Ammo I no longer enter a single position with all my funds. Instead: Start small to test the waters → If the trend is correct, gradually increase the position → If wrong, cut quickly, treat it as a learning expense This way, no single trade can seriously damage the account.
3. The Counterintuitive but Effective Strategy: Recover Capital Early When the price rises sufficiently, I withdraw the initial capital first, leaving only the profits to run. At this point, the mindset is completely different: Price up → happy Price down → no pressure You’re no longer being “led by the market.” Survival Mindset in Crypto Crypto is full of opportunities, but only for those who stay. Those who make big money are often not the most active traders, but the most patient ones. I set a strict rule for myself: Maximum loss per trade does not exceed 1% of total assets. This rule ensures that: Even after many mistakes, I still have capital No single loss can “knock me out” Additionally, I intentionally reduce the time spent watching charts. The more you trade, the more emotional decisions you make. Investors who trade less, with clear plans, tend to perform better in the long run. Conclusion: From Gambler to Risk Manager Crypto doesn’t teach me how to get rich quickly. It teaches me how not to die early. When you stop obsessing over “how much money to make,” and shift to asking “how not to lose money,” every decision becomes much more rational. I’ve seen too many people: Get rich very fast Lose just as quickly And eventually disappear from the market The longest-standing traders often appear “calm,” even somewhat slow. But they are the ones who ride the big waves to the fullest. Hopefully, this article helps you avoid some common psychological traps and pay less tuition to the market. In crypto, survival is always more important than speed.