The recent private messages in the backend are filled with anxious voices—some are worried about the impact of interest rate hikes on the market, some are selling off assets to the point of questioning their life choices, and others are planning when to buy the dip. Seeing these repetitive questions, I decided to organize the survival rules for the market during the Federal Reserve's rate hike cycle, based on practical experience that can be directly applied.

**Survival always comes before making money**
This phrase is especially poignant during a rate hike cycle. Many newcomers to the space have made the same mistake: using their living savings or even borrowed funds to trade cryptocurrencies, only to crash completely when the market adjusts. The market during a rate hike cycle is inherently unpredictable; price fluctuations far exceeding expectations are common. The first thing you need to do is participate with idle funds—money that, even if completely lost, won't affect your daily life. I recommend limiting your trading capital to 10%-15% of your total assets. This ratio allows you to stay engaged while effectively limiting risk.

**Be cautious of these classic traps**
One of the most common mistakes is chasing after high risk yields. Someone in the group might say, "A certain coin is about to take off" or "The central bank policy is turning, hurry and get on board," prompting a wave of follow-the-leader buying. The problem is that such messages are often heavily distorted after multiple layers of transmission or are used by market manipulators to accumulate and trap retail investors. Information during a rate hike cycle is inherently chaotic; learning to judge independently is far more important than blindly following news.

Another big pitfall is heavily investing in altcoins. These coins can yield attractive returns in a bull market, but during a rate hike cycle, their risk factor is several times higher than Bitcoin and Ethereum. A single policy change can wipe out your investment. To navigate the rate hike cycle safely, focus on mainstream cryptocurrencies.