1. Narrow your focus

Stick to trading specific assets within one or two chains.

Choose your game: on-chain or off-chain.

If you think you can do anything, you are fooling yourself. Optimize to focus on your trade size, strength, and the highest ROI given the current market conditions. Once you take that into account, you will most likely have a clear idea of ​​where you should trade and what you should do.

2. Develop a trading strategy

Know when to invest, trade or speculate. Most people confuse these, a simple framework:

invest:

Based on the theoretical level, backed by fundamentals and technical aspects, information asymmetry will give you an advantage, and the market you bet on will be repriced within 1-3 months.

Trading:

Focus on technicals, catalysts, or narratives (e.g., events, announcements). These trades last less than 2 weeks, but if the price/narrative feedback is strengthened, they can convert into investments.

Speculation:

Well-planned gambling, news-driven trading actions (think of Musk's tweets hinting at market trends). Such trades are short-lived, disappearing after a few hours or days.

3. Stick to the plan 😋

Develop a clear trading plan:

Market capitalization: Clarify your range.

Profit taking: Adjust your position rules, don't abandon your positions out of fear.

Valuation: What size can this asset reach, and how quickly can it get there?

Plan failure: A collapse in fundamentals or technicals - know when and how to reduce your position (partially or entirely). It could also be due to broader market trends or time-based factors (e.g., uncertain macro data is about to be released, which may be a good time to take profits, knowing you can buy back at a lower price).

4. Understand yourself

Identify your weaknesses: Lack of experience, skill gaps, optimistic/pessimistic bias, poor scale management, or lack of time.

Trade in areas where you have an advantage. For example, meme coin arbitrage!

5. Continuous improvement

Reflect on each trade:

What succeeded, what failed, and why? Is it a process/decision issue, or was the decision good at the time but the result poor? The goal is to make fewer mistakes in trading, continuously analyze comprehensively, and adjust to improve the success rate of trades.

If you skip this step, you won't make any progress and will ultimately find yourself in a mental/profit crisis in your subsequent trading journey.

6. Don't reinvent the wheel

Trustworthy market friends are crucial. They will make you accountable and help you cover your weaknesses. For example, I am a good partner right beside you!

The best arrangement is mutual support - you cover their weaknesses, and they cover yours.

Quality over quantity: Having more friends is not always better. You need trustworthy friends with a high success rate, whose skill level is equal to or higher than yours in the games you play.

Stay connected with other relevant people outside your focused niche. They will help you understand macro trends, cycles, and other events you are currently focused on. This will ultimately feed back into your overall perspective and trading.