What exactly are the people who can consistently profit in the crypto world doing? To be honest, 90% of people in this circle lose money, and ultimately it all comes down to not learning three key things.

Here's a real case that illustrates the point: starting with a capital of 1200 USD, turning it into 36,000 USD in three months, without ever getting liquidated. How was this achieved? By sticking to the following three principles.

**First: Position Segmentation is the Foundation for Survival**

Divide your funds into three parts. This isn't advanced operation; it's the most straightforward risk management approach. One part is for short-term intraday trading, focusing on single opportunities and exiting without greed. Another part is for swing trading, making a trade every ten or so days, waiting for a clear trend before entering. The last part is a core holding that remains untouched, regardless of price fluctuations.

Many people get wiped out during a pullback because they are fully invested and have no chance to profit. In the crypto market, surviving first is the key to earning compound returns.

**Second: Recognize Trends and Abandon Range-Bound Trading**

Most of the time, the market is just grinding back and forth, which leads to increasing losses if you trade during these periods. The real opportunities are during clear trending phases. To make money, take profits promptly—take some off the table once gains exceed 20%, instead of waiting for more and risking a retracement. Experienced traders rarely trade frequently; they wait for critical moments, and once they act, they capture the entire trend.

**Third: Replace Feelings with Rules**

The easiest way to lose money in trading is through emotional decision-making. Set three strict rules for yourself: cut losses immediately at 2% loss without hesitation, take some profits once you reach 4%, and prohibit adding to losing positions (adding more only increases the risk of getting trapped—this is an emotional killer). Strictly follow these rules, and the market will give you positive feedback. Your capital will grow steadily and naturally, without being driven by emotions.

There are opportunities every day in the crypto market; what’s scarce is the person who survives long enough to seize them. Ask yourself, is it time to set some rules for your trading?