Stick this "800-Word Rule" on your screen: It can help save you tens of thousands in tuition fees.

In the crypto market, most losses are not due to the wrong trends, but because traders do not grasp the basic survival rules. The principles below are compiled from countless times the market has “educated” us, and are worth printing out and sticking right next to the screen when trading.

1. Sideways candle – look at the volume to gauge opportunities When the price moves sideways with decreasing volume, it is often an accumulation phase and opportunities may arise. Conversely, a sudden vertical bullish candle is not an entry point – it is easily trapped right after the FOMO spike.
2. The small green candle is more reliable than the large green candle. A steady increase of 2–3% each day reflects stability. A series of 7–8% consecutive green candles often signals a near peak; the hotter the increase, the higher the likelihood of a correction.
3. Every strong increase must have a pullback. After breaking resistance, the market needs to retest to confirm. Be patient and wait for the price to return to test the area that has been broken – only enter if it holds. Avoid jumping in right at the peak of a “false breakout.”
4. Distinguishing between real discounts and fake discounts Decrease with decreasing volume: usually just fluctuations, sweeping weak positions. Decrease with large volume: signals of capital outflow, need to stay away from large volume breakdowns.
5. Maintain the position only when the “lifeline” has not broken. MA20 and MA60 are two important trend lines. If a red candle breaks through and the price does not recover within 3 days, it is advisable to exit according to the trend rather than trying to hold on.
6. The large cycle determines the direction Daily and weekly charts for the main trend, 4H - 1H charts to find entry points. Do not rely on minute charts as wave noise will continuously skew decisions.
7. Volume must go with price Price increases but volume decreases → a bull trap, easy to get caught. At the bottom area, strong green candle with large volume → could be a reversal signal.
8. Fewer transactions earn more Looking at the market less and placing planned orders will be more effective than continuous trading. Making one quality trade every 2-3 days often wins more than making trades every day.
9. Discipline is a vital factor. Before placing an order, it must be clearly written: Entry PriceStop Loss LevelTake Profit LevelPosition Size If one of the four factors is missing, do not open a position. Without discipline, every system is meaningless.