Last week, I helped my cousin deal with a mess - 80,000 yuan was full and chased high, and there were 30,000 yuan left in three days. Watching him stare at the account in a daze, I suddenly remembered that I almost fell into the same pit three years ago.

This wave of market in December is simply a living teaching material. Bitcoin No. 1 fell nearly 5% that day, directly forcing out 210,000 liquidation orders, and as a result, No. 3 soared 9% to $92,000. In this roller coaster market, there are a few things that I really understand now.

Don't always think about how you can earn more money by operating frequently. When my principal was still below 100,000 yuan, I stared at the main rising wave once a year. Last year, he seized the rise of Ethereum and withdrew after earning 40,000 yuan. Now that I think about it, if I had been greedy a few times at that time, I might have lost money long ago. At the regulatory level, it has been clarified that virtual currency-related businesses are illegal financial activities, and a full position of small funds is equivalent to gambling with your life, and at least half of the cash must be left to deal with fluctuations.

If you don't understand, don't rush to smash real money into it. My cousin couldn't even understand the KDJ indicator and rushed in, and I forced him to play the demo for two months first. Take the approval of the cryptocurrency ETF as an example, he repeatedly tried and failed in the simulated market, and finally concluded that it was time to take action when the good news landed and opened high the next day. On December 3, when Bitcoin opened high and fell back, he followed this logic and was not trapped.

The two things of resumption and stop loss can really save your life.

I spend 20 minutes every day looking at the coins of my choice. Last week, Solana's daily line closed a big black line and still had volume, and I saw that something was wrong and cleared it all, and then it fell by 7%. The altcoin that my cousin bought before fell below the stop loss line and was reluctant to cut it, but the result was getting deeper and deeper, and finally he could only admit that he was out.

There are a few signals that I think are quite useful: the currency with a large volume at the bottom must be watched - the bottom trading volume of Ethereum soared in November, and then Fusaka upgraded, and it really took off; Don't miss the sudden increase in long-term sideways trading, institutions turned $82.1 million into Bitcoin in December, which is too obvious.

If you do short-term, look at the 15-minute K-line, and if you do long-term, keep an eye on the 60-day and 120-day moving averages. Really, it is enough to get these two things right.

Finally, let's be honest: the Fed's rate cut expectations in December are quite hot, but the so-called "Christmas market" may not really come. Don't be greedy when it rises, don't panic if it falls. The Bitcoin in my hand rises to the target price and falls to the bottom and then covers the position. Although I didn't get rich in three years, the principal did become more and more stable.