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Recently, there have been a lot of requests for help in the community. Many newbies have invested 25,000 and lost down to 6,000 in just 4 days in altcoins. After monitoring the market for so many years and experiencing the baptism of getting liquidated twice, I can now achieve stable profits and want to clearly share the hard lessons learned.
The crypto world is no longer an era where one relies on gambling altcoins to get rich overnight. Since the launch of the ETF, the real smart money has taken root in core assets, while the newbies are still chasing hot trends. The outcomes for these two groups are bound to be different.
The 3 core strategies that I have explored over 6 years have helped over 80 Newbies avoid the pitfalls of getting liquidated. These things must be remembered, they can save you at least 6 years of detours.
**First: Funds need to be divided into three parts to avoid panic and ensure safety**
Divide the principal into 3 parts. Use 30% for short-term trading of BTC and ETH, set the take profit point at 1.8%-2.2% and exit decisively, don't be greedy. Use 40% for swing trading, only enter when the trend is particularly clear, generally holding for 1 to 3 days before exiting. The remaining 30% should be locked in a cold wallet, regardless of how crazy the market gets, this portion of money is your confidence for a comeback, absolutely do not touch.
**Second: Stop-loss is faith, stubbornly holding on is seeking death**
This point is the most critical. A single stop-loss cannot exceed 0.6% of your capital. Once it reaches the set point, you must close the position, no exceptions. If you have 80,000 in capital, you can lose a maximum of 480 in a single trade. Calculating this way, even if you make 10 consecutive wrong trades, your account still has a chance to recover. But if you choose to stubbornly hold on, a single market reversal can leave you half-dead, and if you can't survive, everything is over.
**The third: Wait for opportunities with empty positions, accuracy makes money**
The pace in the crypto world is frighteningly fast, with hot topics changing from this to that in just a day. The biggest flaw is the urge to trade, even when there are no opportunities. In fact, the smartest approach is to stay in cash and wait when there isn't a particularly certain opportunity. If a good opportunity comes up once a week, that's enough; it can earn more money than constantly making random trades.
In the end, the two things that can easily break people in the crypto world are impatience and greed. Those who can maintain their composure and stick to their discipline will ultimately be the ones who laugh last.