Remember, trading cryptocurrencies is not about getting rich overnight, but about taking one step at a time:
1. Never invest money you can't afford to lose.
For example, putting all your living expenses for three years into cryptocurrencies could be a huge pitfall. If you can't make money, you might still sleep well, but if you lose, you might even worry about the numbers in your wallet while dreaming.
2. When the market moves, stay calm and don't let temporary craziness cloud your judgment.
When the market is booming, not everyone can become a harvesting machine. Remember: 'What rises too quickly will fall just as fast.' Don't be impulsive, stay calm, and have confidence in your holdings.
3. Don’t put all your eggs in one basket.
Don't invest all your funds in one cryptocurrency; if it crashes, the losses can be huge. Diversification ensures that even if one coin collapses, you can still retain some profits from others.
4. Remember: Long-term is gold, short-term requires caution.
If you can hold onto your coins for a few years without selling, you might earn more; however, short-term speculation can easily leave you dizzy from market fluctuations.
5. Don’t listen to others’ nonsense, do your own homework.
When looking at market forums and WeChat groups, don't easily believe others' so-called 'money-making secrets.' No one will easily tell you their secrets to making money; all successful investors have spent countless hours on research.
6. Don’t let fear and greed control you.
When you hear that the market is in panic or greed, never act impulsively and make decisions. Fear is a signal to sell, and greed is a counter-signal to buy. Respond calmly and make rational decisions.
7. The moment you start to feel like you understand everything is actually the most dangerous time.
This is a major taboo in the crypto world. Behind every seemingly simple market fluctuation, there may be hidden risks you haven't seen. Stay humble and be ready to accept the lessons the market teaches you.
8. Manage your funds well, and never over-leverage.
Leverage is a double-edged sword; if used improperly, it can lead to significant losses. Trading on leverage is like walking a tightrope; a slight misstep can result in a disastrous fall. Remember, never gamble on your luck.
These iron rules are like the 'survival rules' in the crypto world. Learn more, reflect more, avoid the mentality of huge ups and downs, be prepared, don't rush, and seize opportunities.