Eight years ago, with only 20,000 yuan in hand, I dove headfirst into the crypto world. Back then, I didn’t understand the risks at all—full positions, chasing rallies, panic selling—everything was fair game. I lost so badly that I couldn’t sleep at night. But it was these painful lessons that gradually helped me understand the market rules. Now, my account comfortably holds 34 million yuan. This money isn’t some windfall; it’s the result of eight years of setbacks and perseverance.

Today, I want to share the three most valuable ironclad rules.

**Rule 1: Fund Management Is Always the Lifeline**

I never go all-in. Every time I enter a position, I only allocate one-fifth of my funds. If a single trade loses 10%, I cut my losses immediately—no exceptions. This rule may sound conservative, but its power is immense.

I once mentored a follower who loved to heavily bet on market swings. After teaching him this rule, he only lost 50% after five consecutive losses because each loss was within controllable limits. When the next upward cycle arrived, he recovered all his losses in one rally. Heavy position traders often imagine doubling their money, but in reality, it can all vanish overnight.

**Rule 2: Trade with the Trend, Never Bottom-Fish**

Mainstream coins like ETH are unpredictable at the bottom during a decline. I’ve suffered huge losses trying to catch the bottom early—watching prices fall further, almost losing all my capital. Later, I realized the reliable approach is: wait until the uptrend is fully established, then buy on dips. This method reduces risk and actually improves win rate.

Also, be especially cautious of coins that surge briefly—especially altcoins. They often spike and then crash again. This pattern has remained unchanged for years. Nine out of ten times, it’s a painful lesson learned the hard way.

**Rule 3: Use MACD with Volume to Find Opportunities; Maintain a Steady Strategy of Adding or Reducing Positions**

A bullish crossover below the zero line is my entry signal; a death cross above zero means I exit. Breakouts with volume at low levels often indicate institutional support—those brave enough to follow can ride the main upward wave.

Don’t add to losing positions; only add when you’re profitable. This principle is simple, but few can stick to it. Most people double down when they’re losing, hoping to recover, but only sink deeper. When they’re winning, they become overly cautious and miss the best entry points. The logic is reversed.

**In summary: Follow the Trend + Strict Risk Control**

Making money in crypto never depends on luck or predictions; it’s about following the rules. Those who survive long enough and consistently profit are always the ones willing to take the first step and set their rules early.

Are you ready?