To be honest, I’m not exactly a master in the crypto world either. Over the years, I’ve experienced liquidation, pitfalls, and losses of all kinds, and I’ve managed to survive until today just by accumulating a little bit of experience.

Today I want to share a real case. Last year, a fan approached me, holding 1200 USDT, with the idea of recovering all the money they previously lost. I didn’t teach him about complex indicators like moving averages or MACD; I simply shared with him three rules I summarized from my own losses and tears.

And what happened? In three months, his account skyrocketed from 1200 USDT to 38,000 USDT, all without a single liquidation. This number might not seem shocking, but for a retail investor aiming for steady growth, it’s enough to prove the point.

These three "life-saving rules" I’m about to share, if you truly understand them thoroughly, can at least surpass most retail traders. But the prerequisite is that you must have genuine respect for the market.

**Rule 1: Divide your money into three parts, each operating independently**

Split 1200 USDT into three 400 USDT portions. The first part is dedicated to short-term trading, with a maximum of two trades per day—take profits quickly and don’t be greedy for rebounds. The second part is for patience; if the weekly chart hasn’t formed a bullish pattern or there’s no clear volume breakout, stay in cash and do nothing. The third part is an emergency fund, only used to add to positions during extreme volatility or near liquidation, with the goal of protecting your principal from total loss.

What’s the benefit of this approach? Each portion has a clear purpose and doesn’t compete with each other. Many people’s problem is that they put all their money into one trade at the first sign of opportunity, and one mistake can wipe everything out.

**Rule 2: Ride one wave of the market, don’t chase the second**

How to enter? Three signals are essential—none can be missing. First, the daily chart must be in a bullish arrangement; if not, do nothing. Second, wait for volume to break previous highs and for the daily chart to stabilize; then you can try a small position. Third, after establishing a position, if profits reach 30% of your principal, take half of the profits immediately and put it safely into your wallet. The remaining position should have a 10% trailing stop-loss to let profits run but prevent total loss.

Why do many people end up losing money in the end? Because they’re too greedy when they’re making profits—small pullbacks cause them to give back all previous gains, turning profitable trades into losses. Stick to the 30% profit target, earn small wins first, and then think about bigger gains.

**Rule 3: Control your emotions and follow the rules**

This is the most critical rule. Before entering a trade, write down your plan: set a stop-loss at 3%. Once hit, close the position immediately—no hesitation allowed. When profits reach 10%, move your stop-loss to the breakeven point to ensure you don’t lose your principal. Shut down your trading app at midnight every night; if you want to monitor the market, delete the app altogether. Never operate emotionally.

Where do most losses happen? Not from poor analysis, but from emotional hijacking during execution. When a signal appears, you should follow the rules—yet many people don’t cut losses when they see a slight rebound, leading to deeper and deeper entrapment.

Markets are available every day; if you don’t make a profit today, there’s always tomorrow. But once your account’s principal is gone, there’s no real chance left. So the first step is to master these three rules. Once you can consistently follow them, then it’s not too late to study more complex technical patterns.