Over the years in the crypto world, I've seen too many people chasing gains and cutting losses frequently, ending up with increasing losses. Conversely, those who seem to do "nothing at all" often end up earning the most. To put it plainly, the difference isn't luck, but the method.
Many beginners jump in hoping for a quick turnaround, only to end up making aggressive moves and then seeing their positions liquidated. I've gone through this phase myself. It wasn't until I suffered enough losses that I realized—trading is actually very simple, so simple that it can be a bit boring.
**The logic of choosing coins is actually very straightforward**
Don't always think about picking up bargains. Coins that have already risen often continue to go up, and this isn't coincidence but a reflection of market consensus. Conversely, if a coin has been ignored for a long time, no matter how cheap it is, it's a trap. Take SOL as an example—coins with active ecosystems tend to present more opportunities.
**Technical analysis doesn't need to be overly fancy**
Many people obsess over 5-minute and 15-minute K-line charts, making frantic trades, but by the end of the day, they haven't even covered their trading fees. My approach is to focus strictly on the monthly chart, paying attention to the MACD golden cross—when a golden cross appears, it's a signal to enter; if not, just wait. This helps avoid many false breakouts.
Regarding specific technical indicators, the 60-day and 70-day moving averages are the two I pay most attention to. When the price retraces to near the 70-day moving average with significantly increased volume, adding to your position can be a good opportunity. But the key is to have patience and wait for this signal to appear.
**Discipline is most critical after entering the market**
Many find it easy to enter but hard to exit. My principle is simple—hold when it's rising, and exit immediately if it breaks below a key level. Don't be sentimental, don't bet on rebounds, and don't fantasize about "buying a dip." This kind of emotional attachment is the easiest way to turn profits into losses.
Profit-taking also requires rhythm. When gains reach 30%, cut half of your position to lock in profits; when it hits 50%, cut the remaining half. Opportunities are everywhere in the market every day, so there's no need to go all-in at once.
**What is the real "life-saving talisman"**
If the price falls below the 70-day moving average, no matter how long you've held or how low your cost, you must run. This ironclad rule is something I’ve earned through blood and sweat, and now I use it to protect my principal. Many people hesitate at this step, turning gains into losses and ultimately regretting it for life.
**To sum up the core logic**
Choose coins based on popularity and ecosystem health, avoid chasing oversold assets; focus on the monthly chart and key moving averages, and don't obsess over daily charts; maintain discipline in entering and exiting trades—emotions are the biggest enemy in trading; risk management always comes first.
None of these are profound theories; in fact, the simpler they are, the easier it is to make money. Market opportunities are never lacking; what’s missing is patience and execution.
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
11 Likes
Reward
11
7
Repost
Share
Comment
0/400
TrustMeBro
· 22h ago
Exactly right, but execution is really difficult. Most people will read this and then go back to watch the 5-minute chart again.
View OriginalReply0
SmartContractDiver
· 01-12 14:53
That's so true. I've crossed the 70-day moving average hurdle countless times and only understood after bleeding.
View OriginalReply0
MondayYoloFridayCry
· 01-12 14:53
That's right, just gotta hold back and stay still. I used to be impatient too. Now, as soon as the 70-day moving average breaks, I immediately run, which has really saved a lot of principal.
View OriginalReply0
TeaTimeTrader
· 01-12 14:51
The 70-day moving average really is a lifesaver. I previously missed out on this step and ended up losing a lot.
View OriginalReply0
GasFeeCrier
· 01-12 14:51
No problem, I also stick firmly to the 70-day moving average line, it has saved me many times.
View OriginalReply0
MetaverseVagabond
· 01-12 14:50
That's right, but too many people are greedy, and constantly watching the market actually leads to faster losses.
View OriginalReply0
JustAnotherWallet
· 01-12 14:47
That's right, the key is still to follow the rules.
Over the years in the crypto world, I've seen too many people chasing gains and cutting losses frequently, ending up with increasing losses. Conversely, those who seem to do "nothing at all" often end up earning the most. To put it plainly, the difference isn't luck, but the method.
Many beginners jump in hoping for a quick turnaround, only to end up making aggressive moves and then seeing their positions liquidated. I've gone through this phase myself. It wasn't until I suffered enough losses that I realized—trading is actually very simple, so simple that it can be a bit boring.
**The logic of choosing coins is actually very straightforward**
Don't always think about picking up bargains. Coins that have already risen often continue to go up, and this isn't coincidence but a reflection of market consensus. Conversely, if a coin has been ignored for a long time, no matter how cheap it is, it's a trap. Take SOL as an example—coins with active ecosystems tend to present more opportunities.
**Technical analysis doesn't need to be overly fancy**
Many people obsess over 5-minute and 15-minute K-line charts, making frantic trades, but by the end of the day, they haven't even covered their trading fees. My approach is to focus strictly on the monthly chart, paying attention to the MACD golden cross—when a golden cross appears, it's a signal to enter; if not, just wait. This helps avoid many false breakouts.
Regarding specific technical indicators, the 60-day and 70-day moving averages are the two I pay most attention to. When the price retraces to near the 70-day moving average with significantly increased volume, adding to your position can be a good opportunity. But the key is to have patience and wait for this signal to appear.
**Discipline is most critical after entering the market**
Many find it easy to enter but hard to exit. My principle is simple—hold when it's rising, and exit immediately if it breaks below a key level. Don't be sentimental, don't bet on rebounds, and don't fantasize about "buying a dip." This kind of emotional attachment is the easiest way to turn profits into losses.
Profit-taking also requires rhythm. When gains reach 30%, cut half of your position to lock in profits; when it hits 50%, cut the remaining half. Opportunities are everywhere in the market every day, so there's no need to go all-in at once.
**What is the real "life-saving talisman"**
If the price falls below the 70-day moving average, no matter how long you've held or how low your cost, you must run. This ironclad rule is something I’ve earned through blood and sweat, and now I use it to protect my principal. Many people hesitate at this step, turning gains into losses and ultimately regretting it for life.
**To sum up the core logic**
Choose coins based on popularity and ecosystem health, avoid chasing oversold assets; focus on the monthly chart and key moving averages, and don't obsess over daily charts; maintain discipline in entering and exiting trades—emotions are the biggest enemy in trading; risk management always comes first.
None of these are profound theories; in fact, the simpler they are, the easier it is to make money. Market opportunities are never lacking; what’s missing is patience and execution.