Eight Years of Crypto Trading Practice: From Liquidation to Zero to Reversal and Profit – The Trading Principles I’ve Learned

1. Trade Trends Only, Don’t Bet on Rebounds
Choose coins that are among the top gainers and actively traded; steer clear of stagnant coins. My core entry signal is the monthly MACD golden cross. Candlestick charts only reflect short-term fluctuations; a monthly golden cross truly signifies a confirmed trend. When there’s no golden cross signal, it’s better to stay in cash and wait rather than participate in low-probability oversold rebounds.

2. The Lifeline Rule: The 70-Day Moving Average Determines Life or Death
I monitor the 70-day moving average daily. When the price retraces near the 70-day MA and volume increases, it’s an excellent point to add to your position. More importantly, the 70-day MA is my stop-loss baseline: as long as the price effectively breaks below the 70-day MA, regardless of profit or loss, I exit unconditionally. This is the only safeguard to preserve capital and prevent deep losses.

3. Take Profits with Rhythm; Lock in Gains for Peace of Mind
If profits exceed 30%, take half profit; if profits exceed 50%, reduce your position by half again. Don’t try to sell at the absolute top; staggered profit-taking allows you to exit calmly when the market reverses, avoiding the mental collapse of turning profits into losses.

Summary
The simpler the crypto trading, the more effective it is. Abandon the illusion of a “big turnaround in one shot,” strictly follow discipline, and the market will ultimately reward those who understand the rules and stick to their bottom line.