In the crypto world, those who die quickly are not wrong about the market, but are failing in this aspect.

You’ve been right before, I’ve been right before,
But why do accounts always stay stagnant, or even keep shrinking?
The brutal and simple truth:
It’s you who go all-in and get wiped out in meme coins, it’s you who miss the bull market and end up with a broken leg, it’s also you who are fully invested in a bear market and stuck deep, unable to move.
It’s not bad luck; your position is demanding your life. In this circle, there are no invincible gods, only those who survive steadily.
And position management is your only protective charm to survive through bull and bear markets.
Remember these three iron rules, don’t let your principal die before dawn:
1. Prioritize principal, profit second
Always keep single-trade losses within 2%-4% of your principal. For example, with a 100k-dollar principal, stop trading if losses exceed 4,000, so you preserve your capital and have a chance to turn things around.
2. Respect volatility, refuse rigidity
The annualized volatility in crypto is 2-3 times that of the stock market. Your position should be at least 30% more conservative than stock trading. Using stock logic to operate is like recklessly charging into a storm.
3. Adjust positions with bull and bear cycles, adapt flexibly
In a bull market, hold 50%-70% positions to profit; in a bear market, reduce to below 30% to hold cash. Mainstream coins, altcoins, and leveraged positions should be planned separately.
Five secret tips for beginners to survive longer:
1. Three-stage position building, divide your principal into three parts: 10% for trial, 20% after trend confirmation to add, 20% reserved as emergency funds.
2. Allocate risk proportionally: mainstream coins (BTC/ETH) up to 25%, altcoins no more than 5% per coin, leverage within 10x no more than 10% of your principal.
3. Use stop-loss to reverse-calculate position size: set a stop-loss percentage (e.g., 6%), divide the maximum loss amount by the stop-loss percentage to determine your position, leaving buffer to prevent stop-loss triggers.
4. Adjust with the cycle: in a bear market, try positions at 5%-8% to control losses; early in a bull market, increase to 50%-70%; at the end, reduce to 30% cash.
5. Abandon emotional trading: plan ahead, fix entry points, stop-loss points, and position sizes. Keep single-coin positions under 20%. Stop trading and review after three consecutive losses.

The crypto market is never short of opportunities; what’s lacking is your principal when you see those opportunities.
Surviving is not just a choice; it’s a skill.