I have been losing money in cryptocurrency trading for the first two years, but I have been profitable for the following five years! After years of experience, I have summarized eight iron rules, which are concise but valuable. If you think they don't make sense after reading them, you can say whatever you want!

1. Divide your funds into 5 portions and only enter with one-fifth each time! Set a stop loss of 10 points, if you make a mistake, you will only lose 2% of the total funds. It takes 5 mistakes to lose 10% of the total funds. If you set a take profit of more than 10 points, do you think you will still be trapped?
How to increase the winning rate again? In two words, follow the trend! Every rebound in the downtrend is a temptation to go long, and every dip in the uptrend creates a golden opportunity! Which do you think is easier to make money, catching the bottom or buying the dips?
3. Do not touch the individual coins that have experienced short-term rapid big pumps, whether they are mainstream or altcoins. It is very rare for a coin to be able to continue rising after experiencing several waves of major uptrends. The logic behind this is that it is difficult for a coin to continue rising after a short-term big pump. When it is stagnant at a high level, it will naturally fall later on. It is a simple principle, but many people still want to take a gamble.
4. You can use MACD to determine entry and exit points. If the DIF line and DEA form a golden cross below the zero axis and break through the zero axis, it is a strong entry signal. When MACD forms a death cross above the zero axis and runs downward, it can be considered as a reduce position signal.
5. I don't know who invented the term "margin replenishment", which has caused many retail investors to stumble and suffer huge losses! Many people keep replenishing their positions as they continue to lose, which is the most taboo in cryptocurrency trading and puts themselves in a dangerous situation. Remember to never replenish your positions when you're at a loss, but instead increase your positions when you're making profits.
6. The volume-price index is of primary importance, and trading volume is the soul of the crypto world. Pay attention to the volume breakout at the low level during consolidation, and exit decisively when there is volume stagnation at the high level.
7. Only trade coins with a rising trend, as it maximizes the chances of success and saves time. When the 3-day moving average turns upwards, it indicates a short-term rise; when the 30-day moving average turns upwards, it indicates a medium-term rise; when the 84-day moving average turns upwards, it indicates a major uptrend; when the 120-day moving average turns upwards, it indicates a long-term rise!
8. Adhere to weekly review, check if the holding logic has changed, technically observe if the weekly candlestick trend is consistent with the judgment, whether the direction has changed, and review and adjust the trading strategy in a timely manner!