Recently, I've been harassed by a lot of people, all asking the same question — getting on board with 30k to play with altcoins, and losing down to 6k in 4 days. After hearing it so many times, I understand, I've seen this trap way too many times.

I have been in the crypto space for 8 years, and it took two painful liquidations to achieve this. Now I have basically achieved stable profits. To be honest, this space has completely changed - after the arrival of the ETF compliance army, the real smart money is all concentrated in core assets like BTC and ETH. The era of getting rich overnight by chasing trends and copying altcoins is long gone; retail investors still playing this way are basically just giving money to the whales.

I have organized 3 practical iron rules and have helped over 80 beginners use this logic to avoid many pitfalls. Not taking 8 years of detours is not a dream; the key is execution.

**Capital allocation is the infrastructure**

30% of the principal is used for intraday trading of BTC and ETH. Look for entry points in the moving average system, and once you're in, the target is clear—earn 1.8% to 2.2% and decisively slip out; absolutely don't fall in love with the market. The remaining 40% is used for swing trading to compensate, wait for K-line to break through key resistance levels, and confirm trend reversal with increased trading volume before getting on board, holding for 1 to 3 days and taking profit. And that last 30%? Directly stored in a cold wallet as position insurance. No matter how crazy the market gets, don't touch it; this is emergency money.

**Stop loss is faith, not an option**

The stop-loss amount for each transaction cannot exceed 0.6% of the total principal. If the stop-loss line is touched, close the position; reasons are irrelevant. Take 80,000 yuan as an example, the maximum loss per trade is 480 yuan, and even if you make 10 consecutive wrong trades, you can still recover. Holding on without a stop-loss is just gambling; if you win, you bet on the market trend, and if you lose, you will be completely crushed by the trend. There is no third possibility.

**Holding cash is the wisest operation**

The speed of rotation in the cryptocurrency circle is really so fast that you can't react in time. Most losses stem from a "itchy hand". This is how professional trading teams operate – they patiently wait, and if they can seize a strongly certain opportunity once a week, they can earn quite a bit. Compared to frequent trading that incurs massive fees, the profit from a precise entry is much higher. By controlling your hand, you can protect your capital, and with your capital protected, you can truly earn real money.

In short, there are two culprits for losing money in the crypto world - greed and impulsiveness. Being able to stick to discipline, manage emotions, and use systematic strategies to cope with market fluctuations is the only way to survive long in the market.