Survival First, Excessive Profits Are a Luxury

Anyone who has been in the crypto market for a while knows that the biggest mistake beginners make isn't misreading the market, but losing due to mindset and discipline. I've seen too many people invest 500 yuan and have only change left in less than a week. It's not that they lack analysis skills, but that they fall into traps of no plan—going all-in, chasing rallies, not stopping losses. These habitual behaviors are like pitfalls.

What is the most heartbreaking statistic in the crypto world? 90% of losses are not due to misjudgment, but because of poor execution. So today, I’m not talking about fancy technical analysis, but three rules to survive. It may sound unsexy, but these things can truly help you stay alive amid volatility—only by surviving do you get the chance to profit.

**Rule One: Kill the Gambling Instinct at the Start**

The less capital a beginner has, the bolder they tend to be. Wanting to go all-in with 500 yuan essentially means giving up operational flexibility. I call this approach "Three Funds Division"—a logic borrowed from traditional position management.

Take 500 yuan as an example. 150 yuan is used for intraday rhythm, focusing on short-term fluctuations of BTC and ETH. The goal is clear: make a 3% profit and then exit, never fighting the market. The purpose of this fund is only to practice feel and keep market sensitivity. Once it’s lost, stop trading, don’t add more, and walk away.

Another 150 yuan is for swing trading. Wait for clear signals on the daily chart, such as volume breakthroughs of key moving averages or support levels, before acting. Once entered, hold for at most 3 days. If it gains more than 8%, reduce positions gradually—don’t wait forever.

The remaining 200 yuan stays in the account forever. Don’t touch it in daily trading. Only use it if the first two funds are completely lost or if extreme market events occur (policy shifts, exchange glitches, etc.). This 200 yuan is your life-saving medicine—if you stumble, you can get back up.

I have a friend who once wanted to go all-in on a small coin with all his funds, but I firmly stopped him. Later, during a market crash, he told me: "It was that safety fund that gave me the confidence to bounce back when BTC dropped 15%." That’s the value of discipline.

Crypto markets are like this—survive first, that’s the key to winning.