Looking back, do you want to slap yourself? This feeling is all too common in the crypto world. When Bitcoin is rising, you're on the sidelines; when Ethereum drops, you're heavily invested and caught in a trap. You clearly predicted the overall trend correctly, but in the end, you lose more and more. Then you start to shift the blame—either blaming the market for being too fierce or blaming your bad luck, feeling like the market is targeting you.

The harsh truth is: you can't make money not because you guessed the wrong direction, but because of poor position management.

Having been in the crypto space for 8 years, I've seen too many shocking loss cases. Some people start with 100,000 yuan, and as soon as they see a bit of good news, they go all-in, only to get caught in a small market correction and have to sell off overnight. Even more outrageous are the trend followers—when their accounts show profits, they keep adding positions, dreaming of doubling their money. When the market pulls back, they risk losing their entire principal. There are also those who stubbornly hold on without cutting losses, from shallow to deep losses, watching their account balance shrink to zero.

Are these losses really because of wrong market direction? Most of the time, that's not the case. You might even have accurately grasped the market trend, but due to poor position management, one mistake leads to a series of errors. The fundamental logic of crypto investing is this: the market determines how much you can earn, but position management determines how long you can survive in the market.

So what exactly is position management? Don't overcomplicate it. The core is to handle four key questions: How much money should this investment allocate? How to enter and exit in stages? At what loss level should you cut and admit defeat? Do you have enough reserve funds to handle black swan events? It's not some complex skill; it's the most basic risk awareness.