This is some practical experience from years of navigating the crypto world, hoping to help everyone avoid those common pitfalls.

Many newcomers enter this market driven by the dream of "becoming wealthy overnight," but most end up leaving disappointed. Ultimately, trading is not about betting your life but about increasing your win rate within a controllable risk framework. The points shared today may help you avoid the most fatal losses.

**Strong coins are the main battlefield, and the 60-day moving average is a key reference**

A popular saying in the market: "Look at momentum during the uptrend, and fundamentals during the downtrend." The logic behind this is simple—strong coins represent the main flow of funds and consensus, while those seemingly cheap weak coins can be wiped out at any time. How to quickly judge a coin’s strength? The 60-day moving average is enough. When the price stays above this line, it indicates the medium-term trend is still upward; once it breaks below, it often signals waning momentum. Instead of fighting the trend, it’s better to follow it—pullbacks above the moving average are opportunities for accumulation, while falling below suggests it’s time to consider exiting.

My approach is: at the beginning of each month, spend some time reviewing the weekly performance of mainstream coins, and identify those standing above the 60-day line as observation targets. Usually, I focus on only 3 to 5, and ignore the rest. This reduces selection costs and avoids overtrading.

**Don’t blindly chase coins that surge 50%+, the next hot spot is always waiting for you**

FOMO is the most common reason for retail accounts to shrink. When you see a coin suddenly jump 50% or more, you start to feel itchy—like you missed a big opportunity. But the reality is often: such sudden surges are precisely when the main players are offloading. New entrants who buy in at this point are likely to get caught in a trap. Coins that can sustain upward movement usually repeatedly confirm support at the bottom area, giving you enough opportunities to get on board.

Remember this iron law: opportunities in the crypto world are unlimited, but once your principal is lost, it’s really gone. Better to miss one or two gains than to risk your life to survive the next market cycle.

**Low-volume sideways consolidation at the bottom often signals the night before intense volatility**

When a coin’s price hits the bottom area, and the market shows reduced volatility (for example, only fluctuating between 10-20%), along with a significant decrease in trading volume, it usually indicates exhaustion of selling pressure. This stage is like the eerie silence before a storm. Once a volume-driven upward candle breaks through this consolidation zone, it’s often a sign that a major move is starting. Grasping these turning points greatly improves your win rate compared to reckless trading.