6 Years of Life and Death in Crypto: Stop "Gambling", Preserve Capital First, Then Make Real Money

In the crypto world, the most painful moment isn’t a red-hot market. It’s seeing newcomers invest 3–5 million of their idle money, hearing stories of “half a year x120,” and rushing into the market with the belief that they will become the next—only to eventually turn their capital into a fund for the next month’s living expenses. I’ve experienced three times of zero account balance, felt confident then hopeless, FOMO then panic. And after 6 years of struggling, I’ve learned one thing: Anyone entering the market with a gambling mindset will, sooner or later, be taught a lesson by the market with their money. 👉 “Want to make money? First, survive.” This article doesn’t showcase PnL screenshots or “magical secrets.” It only contains practical principles to help you preserve your capital and gradually grow it. Survival Mindset: Money Must Remain to Make Money Many people enter crypto with the mentality of “multiplying their account” before they think about “Protecting the Account.” But the harsh truth is: Burning an account once = losing all future opportunitiesMultiple gains of 30% – 50% = getting rich quietly Someone started with 10 million, and after 1–2 years, reached seven figures because they knew how to protect their capital. Someone else went all-in with 500 million on a little-known coin, and three days later, their account had only a few percent remaining. The difference isn’t “intelligence,” but discipline & risk management. 3 Trading Pillars to Help Beginners Survive the Market 1/ How to Choose Coins: Don’t Chase Shouting, Follow Strong Trends Most newcomers lose money by chasing coins pumping, thinking “I will be the one entering at the right time.” But in reality, you’re just entering as people prepare to dump. To choose the right coin, follow these 3 principles: ✔ Only select coins in a clear uptrend No technical rebound, no green candles of 1–2 bars. Breakout from accumulation zone + stable volume. ✔ Prioritize “leading coins” of each trend Whether it’s AI, L2, RWA, or GameFi — every trend has a leading coin. Choose coins with: Large community Genuine use cases Strong liquidity Reputable development team Avoid hype coins that disappear after 3 days. ✔ Stay away from micro-cap coins (shitcoins) Everyone’s eyes light up at “x100 potential”… But in reality: Shitcoins: more likely to go to zero than to x10. Prioritize caps of 100–500M USD — offering growth potential without easy manipulation. 2/ Capital Management: Only Increase Position When Winning — Never Invest When Losing Newbies often: Loss → Hold on → Average down → Lose more → Get wiped outProfit a little → Close early → Miss big trends To avoid these two mistakes, follow these rules: ▶ Step 1: Enter lightly (20–30%) to test the waters Unclear market? → Don’t enter Mistaken entry? → Cut immediately (max -8% to -10%) This is your shield for your account. ▶ Step 2: Only increase when the trend is confirmed When the first order is up 40–50% → add to your position (30–40%) At this point, profits are protecting you, with low risk. ▶ Step 3: When the account doubles → withdraw the principal Keep the profits to continue trading. Even if the market suddenly reverses, you remain “safe and steady.” ▶ Step 4: Exit when the market weakens When a coin drops 10–15% from the recent peak → halve your position Drop another 10% → exit entirely And the market? It doesn’t go anywhere. But money can… leave forever. 3/ No Need to Learn 100 K-line Patterns — Only 3 Shapes Are Enough for Life Many think good trading is about learning many candlestick patterns. Wrong! In practice, only these 3 candle patterns are needed: ① “Hammer” – potential bottom signal Small body, long lower shadow → Selling pressure wanes, buyers strike back → Wait for confirmation ② “Bullish Engulfing” – reversal from downtrend to uptrend Green candle completely engulfs the previous red candle → Buyers take control → Very strong signal when appearing at support zones ③ “Three White Soldiers” – strong uptrend 3 consecutive bullish candles with short shadows → strong buying momentum, healthy uptrend Note: Candlestick patterns only help read market behavior — the real determinants are trend + volume. 5 Traps That Cause 90% of Beginners to Lose Money (Have to Pay Real Tuition) 1/ Avoid High Leverage Leverage doesn’t make you rich. It makes you lose money faster. Beginners should: Start with spot (trade directly)If using leverage: max 1–2x To survive longer → limit risks. 2/ Don’t Hold 10 Coins at Once Small capital → focus on 1 coin Larger capital → max 3–4 coins Too much diversification = hard to follow → losing money due to lack of info. 3/ Don’t Try to Catch the Bottom — Don’t Try to Sell the Top Just capturing 70% of the trend’s middle is already over 90% of the market. Let greed pay the price. 4/ Enter Orders Without Stop-loss = Suicide Before clicking Buy, ask yourself: “How much will I lose if I’m wrong?” With a stop-loss, you’re a trader. Without it, you’re a gambler. 5/ Don’t Trade on ‘Gut Feel’ Gut feeling doesn’t help you beat the market. Data does. Ask these 3 questions before trading: Is the market trend clear? Is volume supporting the trend? Where to place stop-loss? If any answer is “unclear” → don’t enter. Conclusion: Crypto Doesn’t Reward the Reckless — It Rewards Those Who Know How to Survive Successful people in crypto aren’t necessarily those with high IQ. They are: PatientResilient Disciplined Capable of ignoring noise To win the game, first, you must play in a way that doesn’t get eliminated.