Many newcomers entering the crypto space immediately have a meltdown when they see the coin price plummet—worried about project teams running away, concerned that the tokens might go to zero, and overwhelmed by all kinds of negative thoughts.

I want to say, a drop in coin price and risk are fundamentally two different things.

The essence of coin price is the result of a game between market participants. The real risks to be wary of come from the project's own operational deterioration or financial decline—for example, the development team disbanding, the treasury being drained, or technical roadmaps being messed up. These are the hard risks.

From another perspective, for investors with research capabilities, a decline in coin price can actually be an opportunity. Why? Because you buy tokens of the same high-quality project at a lower price, increasing your safety margin. It’s like shopping at a supermarket—getting a bigger discount makes you happier—and the same principle applies: "Investing in tokens is investing in projects."

Many retail investors in the community suffer serious losses because of falling into traps, and the root cause is actually very simple: a lack of in-depth understanding of the projects they invest in. They only look at the coin price, not the fundamentals of the project.

To avoid this tragedy, you must learn to identify projects with genuine operational risks using various tools such as on-chain data, project financial reports, and code update frequency. When you have thoroughly researched a project’s fundamentals, you won’t panic when the price drops—instead, you’ll dare to buy against the trend. Only then can you truly survive and thrive in the crypto space.