After observing many traders' account curves, I discovered a cruel pattern—most losses are not due to misjudging the market, but rather losing to one's own emotions. You will see scenes like this: the moment the account turns green, heart rate spikes, fearing a reversal, and hurriedly closes positions to lock in profits. But then you realize it's just the beginning of a trend. During a bull market, Bitcoin often gains up to 20% before entering the mid-stage, yet traders are scared off by a 5% small profit and exit early. Conversely, when the account turns red, a different logic takes over—self-hypnotic "long-term holding," stubbornly holding through a 10% floating loss until the decline widens to 50%, at which point they panic-sell, missing the subsequent rebound. **The Fragility of Trading Plans** Most traders prepare thoroughly before opening positions—fund allocation, risk limits, entry and exit points are all in place. But in actual trading? When the K-line starts moving, rationality is instantly drowned by adrenaline. Essentially, fear and greed are at play—fear of losing profits when making small gains, and fear of increasing losses when losing big. Every market fluctuation tests your psychological bottom line. **Two Iron Laws That Change Trading Outcomes** My strategy is straightforward and brutal—break human instincts: **Let profits run.** Establish a clear take-profit framework—for example, after buying a coin that rises 15%, set a retracement stop-loss. As long as the price doesn't fall back to the 10% support level, hold firm. If it continues upward, gradually raise the stop-loss, trailing the trend. The benefit of this approach is that you won't be scared out by minor pullbacks, nor will greed cause you to get caught on the wrong side of a reversal. **Cut losses decisively.** Once the decline exceeds 5%, stop-loss immediately—no averaging down, no lowering the cost basis. This line may seem strict, but it forces you to precisely judge support levels when entering positions. For example, setting a stop-loss 2% below Bitcoin's previous low can effectively prevent being shaken out by oscillations. **Why these two numbers?** A 5% stop-loss is enough to filter out noise while being tight enough to alert you early if your judgment is flawed. A 10% or 15% stop-loss sounds more lenient, but often becomes an excuse for self-deception. A 15% profit target suits most tokens' moderate volatility. This range won't cause you to miss the main upward trend nor trap you in greed. Mid-cap coins rarely double instantly, but 15%-30% gains in stages are common. **Execution Is More Difficult Than Planning** Knowing what to do and actually doing it are worlds apart. When your account shows floating profits, the urge to "wait a bit longer to earn more" is very strong. When floating losses grow, the psychology of "I've already lost so much, might as well hold on" easily takes over. Overcoming these requires constant discipline to fight human nature. The volatility of the crypto market is already high; if you let emotions dominate your trading, you're fighting your biggest enemy (yourself) against the toughest opponent (the market).

I entered the crypto space early and witnessed a tragic story of an old trader firsthand. He used two months’ worth of salary and pressed 100x leverage to go long on Bitcoin. The market moved less than 1%. He didn’t even have time to take a screenshot before his account was completely wiped out. It’s not that the market is cruel; it’s that he cut the safety belt with scissors himself. I want to explain the deadly traps of the futures market in the simplest way possible. Because surviving in this market is the real skill. **Leverage is an amplifier, not a money printer** What do beginners love most? Starting with 50x or 100x leverage. The reason is simple: "Big volatility means quick profits." Sounds reasonable, but the essence is completely opposite. The only thing leverage does is—amplify your risk. When the market moves 1%, using 100x leverage, you either double your account or wipe it out. This isn’t trading; it’s gambling. My own approach is very simple: I never use more than 10x leverage. For beginners? 3 to 5x is enough. Some say this is cowardly, but I say it’s giving yourself a chance to correct. The benefit of low leverage is that when prices fluctuate, you can still calmly analyze the trend instead of being forced to panic sell at liquidation prices. Winners in a long-term game never rely on a single all-in move. **Stop-loss is not giving up; it’s leaving the battlefield alive** “Wait a bit longer, it will definitely rebound”—how many stubborn accounts have been buried by this phrase? Not setting a stop-loss is like driving without a seatbelt. You may be confident, but an accident can happen in an instant. I’ve seen the most heartbreaking real case: a trader was bullish at $60,000 Bitcoin, and when it dropped to $58,000, he kept holding—firmly believing it was just a technical correction. The price kept falling to $40,000. Not only did he lose all his principal, but because he was fully leveraged, he also owed money to the exchange. This is the consequence of not having a stop-loss. The market won’t ask about your feelings; it will just keep going its own way.