Woken up in the middle of the night by a barrage of messages—it was an old friend from Shenzhen. His voice was trembling badly: “200,000 USDT is now only 5,000 left. My mortgage is about to default. If this keeps up, I’ll really have to set up a street stall to survive.”

He had gone all-in at the top during that ETH crash and took the full hit.

I didn’t tell him to liquidate immediately, nor did I advise him to buy the dip. I just told him to put his phone aside, take ten deep breaths, and write down exactly the six sentences I told him. Fifty-three days later, his account was back to six figures. Today, I’m making this method public, hoping it can help those struggling in the quagmire of losses.

**First: Don’t rush in—wait for all signals before making a move.**

No matter how hot the asset, wait until all three conditions are met: sideways consolidation in a range for at least three days, the 5-day moving average clearly turning upward, and trading volume up at least 50% over previous periods. If any condition is missing, only test with 5% of your position. If the conditions aren’t right, keep watching. It’s better to miss out than to rush in and lose money.

**Second: Sideways movement isn’t the end—it’s a window to add positions.**

When everyone in the community is crying and talking about cutting losses, that’s exactly when opportunities appear. But remember—only use previously earned profits to add positions; never touch your principal. The principal is your lifeline—lose it, and you lose your chance to bounce back.

**Third: In a crash, watch for support; in a surge, take profits first.**

During crashes, compare with previous lows and the fear index. If the lows aren’t broken, don’t panic sell. During surges, sell 30% to realize profits first, then set a trailing stop for the rest. Don’t let your hard-earned gains slip away.

**Fourth: Dare to buy on long red candles, dare to sell on long green candles.**

If there’s a long red candle, it hasn’t broken previous lows, and volume is significantly up—this is when you can start a small position. If there’s a green candle with more than 5% gain, cut your position by half first, and set a stop-loss for the remainder. The most crowded moments are often the most dangerous. Don’t chase the hype.

**Fifth: Always leave yourself a way out.**

No single coin should exceed 20% of your total funds. All positions combined should be no more than 70% of your capital. The remaining 30% in cash is your life-saving “oxygen tank.” Going all-in is like deep diving without oxygen—when risk hits, you suffocate instantly.

**Sixth: Review your trades every night before bed.**

Before turning off the lights, ask yourself three questions: Did I follow the herd emotionally today? Did I hesitate or delay when it was time to cut losses? Did I use my principal when adding positions? The market never pities those who regret, but reviewing can help you make fewer repeated mistakes.

Trading relies not on luck, but on respecting the rules. Engrave these into your bones, and your account will give you positive feedback.

It’s too hard to figure this market out alone. The method is right here—it’s up to you if you want to use it.