Have you ever found yourself entering a trade and... standing right at the peak? Thinking you were catching the bottom, but ended up buying in the middle of the slope. Watching your account shrink day by day, the feeling of helplessness is suffocating.
I have been like that before. It was even worse.
In 2017, I lived in a more than 10m² room in Hanoi, with damp and moldy walls. I had just over 100,000 left – the last money I had. I stood in front of the eatery downstairs, pacing back and forth three times, and finally only dared to buy two loaves of bread. That feeling, I will never forget in this lifetime.
Eight years have passed, I can’t say I am financially free. But at least, I still live well in this market, and can help some brothers see the direction clearly. Not because of luck. But because I paid tuition with real money, with painful 'slaps' from the market, to exchange for a few hard-earned principles.
Today I share the most practical things.
1. Don’t FOMO When the Price Rises Vertically – The 'Trap' of Sharks
My most painful lesson was jumping into a coin after a few days of doubling. Good news flooded everywhere, the community cheered, emotions ran high. The result? I stood at the top of Everest.
Later, I understood: vertical rises, lacking accumulation foundation, accompanied by frenzied media – mostly looking for someone to 'catch the bags'.
Danger signs are usually:
After a strong rise, the price hovers at the top but does not create a new peak.
Suddenly, a large red candle appeared with a volume 2-3 times higher than normal.
That's often the final signal before large money withdraws. When you see this signal, don’t hesitate.
2. Sideways at High Levels Is More Dangerous Than a Strong Drop
Many people fear a strong crash. I fear... a sideways move at the top.
In 2019, I held a hot coin. It hovered near the top for nearly two months, with a narrow range like 'dead fish', and trading volume gradually dried up. I thought it was accumulation for a further breakout.
The result was a straight drop of 50%.
Lessons learned:
When the price is too far from important moving averages (like MA20), liquidity weakens, and the market is quiet – that's not accumulation, but rather money is quietly withdrawing.
In this situation, my system will trigger risk management: exit first, observe later.
3. Real Bottoms Do Not Come from Shouting, But from Endurance
They say: 'When others are fearful, be greedy.' But try being greedy during a crash like on 12/3/2020?
I once caught the bottom too early because my hands were faster than my brain.
After reviewing many cycles, I realized the common points of major bottoms:
The trading volume has sharply decreased.
The price is moving sideways in a narrow range, and the market has almost lost interest.
Then a few small-bodied green candles appeared, with a moderate increase in volume – like water simmering.
Real bottoms are often 'brewed' in frustration, not in the sound of slogans.
4. Volume Is the Oxygen of the Market, Capital Is Your Lifeline
K-Line can deceive you. But large volume and money flow are very hard to fake over a long period.
Trading must follow 'volume', not emotions.
And more importantly: never go all-in.
My principle: in all circumstances, the total active position should not exceed 50%. The rest is reserve ammo and a steady mindset.
For example, with a strongly rising MEME coin, I only enter when it breaks resistance with high volume and a clear trend. When the trend worsens, exit immediately. I don’t eat from the bottom to the top – I only take the safest middle part. Sleeping well is the real profit.
Conclusion: Survive Before You Want to Get Rich
In this market, experienced people make money from inexperienced ones. The rational earn money from the emotional.
Eight years from two loaves of bread to today, I don’t have a magical secret. Just enduring more, summarizing more, and being more disciplined.
If you want to go far in crypto, don’t look for 'a 2x bet'. Build a system, manage risks, and learn to wait.
New knowledge is your greatest asset.