Anyone who has spent a few years in the crypto world understands a harsh truth: trading coins is never about who works harder, but about who chooses the right direction.

Recently, I’ve seen many people complain that after half a year of investing, their accounts have yielded nothing. I understand that sense of frustration very well. When I first entered the space, I was the same—confused and clueless, paying a lot of tuition fees.

No investment market can escape the 80/20 rule, and the crypto space is no exception. The ones making money are always a minority; most participants are being educated by the market. If you haven’t gained anything after half a year, don’t rush to deny yourself. The problem is likely not your effort level, but that your chosen direction is fundamentally wrong.

Through years of practical experience, I’ve identified six most common fatal pitfalls, all verified with real money.

**Short-term trading is the easiest way to ruin yourself**

Some people stare at the charts every day, obsessing over how many points a coin has gained today or lost tomorrow, but never think about where this coin will be in half a year or a year. But look at those who have achieved financial freedom in the crypto space—few of them succeed by flipping coins every few days. Most of their gains are compounded over time.

This doesn’t mean you should hold on stubbornly without letting go. The correct approach is to think long-term with your main strategy, complemented by flexible medium- and short-term operations, balancing risk through position sizing. If you spot a short-term trend, you can follow it, but don’t let these fluctuations distract you from the big picture.

**Chasing highs and selling lows is almost every newbie’s fate**

A coin suddenly surges, everyone is talking about it, and you can’t resist jumping in. As a result, you get caught with a 10%, 20% loss, reluctant to cut your losses. When losses exceed 50%, you panic and sell at the bottom. Then repeat the cycle—this is the real story for many investors.

There are no shortcuts here—only paying tuition. Only after experiencing enough pain will you be forced to change. Those who can maintain stable profits—like dollar-cost averaging investors and quantitative traders—survive because they eliminate greed and fear from their psychology.

The key is to establish your own trading rules—when to enter at certain prices, when to stop-loss, when to add positions. Once rules are set, follow them strictly. Don’t be swayed by market noise.

**Choosing the right coin sets the ceiling for your returns**

Many waste energy analyzing insignificant altcoins, while ignoring the fundamentals of mainstream coins. Market cap, liquidity, ecosystem activity—these indicators directly affect your entry and exit difficulty and your risk tolerance.

**Psychological resilience is more important than technical analysis**

A couple of losses can shake your confidence; repeated losses can make you question everything. But this process is precisely an opportunity for growth. The difference between those who make money and those who lose money often lies in mental toughness—someone who can calmly accept small losses versus someone who fears losses and holds on until liquidation.

In investing, the ultimate test isn’t your intelligence but your ability to manage your desires.