How much money do you need to save before you dare to completely change your situation? This question has tormented many in the crypto world.
A trader shared his story. Eight years ago, when he entered the market, he knew nothing. He tried with $50,000, but ended up getting liquidated and wiped out, and then experienced a risk event on the exchange — that period was truly a low point in his life. The turning point came during the market shakeout on March 12, 2018 — he surprisingly survived.
The crypto world is very mysterious. Some turn 2,000 yuan into millions, while others see their millions evaporate. The key to success or failure often isn’t how much capital you have, but whether you understand the market’s patterns.
Through repeated trial and error and review, he summarized several trading rules:
**Rapid rise and fall followed by a retracement? Market manipulators are eating up investors.** Such violent surges followed by quick crashes are often stages of chip harvesting.
**Steep decline but slow rebound? Signal of distribution.** If there’s no obvious rebound after a flash crash, don’t bottom-fish — it’s likely a trap.
**Watch for volume at the top.** If there’s volume and the price continues to rise, it may continue upward; but if there’s no volume at the top, it’s even more dangerous — this is the calm before a collapse.
**Only enter at the bottom with persistent volume.** A single spike in volume could be a trap; look for signs of continuous expansion — that’s true breakout territory.
These rules are accumulated from experience with liquidation and losses. The most profitable moments in crypto are often the easiest to lose money — when everyone is chasing highs and selling lows.
Many fall into the trap of “the more anxious, the more they lose,” trying to quickly recover their losses but ending up completely bankrupt. There are always opportunities in the market, but once the rhythm is missed, it's hard to turn things around. Controlling your mindset and mastering the rhythm are more important than luck in determining the final outcome.
View Original
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.
How much money do you need to save before you dare to completely change your situation? This question has tormented many in the crypto world.
A trader shared his story. Eight years ago, when he entered the market, he knew nothing. He tried with $50,000, but ended up getting liquidated and wiped out, and then experienced a risk event on the exchange — that period was truly a low point in his life. The turning point came during the market shakeout on March 12, 2018 — he surprisingly survived.
The crypto world is very mysterious. Some turn 2,000 yuan into millions, while others see their millions evaporate. The key to success or failure often isn’t how much capital you have, but whether you understand the market’s patterns.
Through repeated trial and error and review, he summarized several trading rules:
**Rapid rise and fall followed by a retracement? Market manipulators are eating up investors.** Such violent surges followed by quick crashes are often stages of chip harvesting.
**Steep decline but slow rebound? Signal of distribution.** If there’s no obvious rebound after a flash crash, don’t bottom-fish — it’s likely a trap.
**Watch for volume at the top.** If there’s volume and the price continues to rise, it may continue upward; but if there’s no volume at the top, it’s even more dangerous — this is the calm before a collapse.
**Only enter at the bottom with persistent volume.** A single spike in volume could be a trap; look for signs of continuous expansion — that’s true breakout territory.
These rules are accumulated from experience with liquidation and losses. The most profitable moments in crypto are often the easiest to lose money — when everyone is chasing highs and selling lows.
Many fall into the trap of “the more anxious, the more they lose,” trying to quickly recover their losses but ending up completely bankrupt. There are always opportunities in the market, but once the rhythm is missed, it's hard to turn things around. Controlling your mindset and mastering the rhythm are more important than luck in determining the final outcome.