Trading cryptocurrencies has never been about who can run faster, but about who can find direction in confusion.

When I first entered the crypto world, I only had 30,000 yuan. Many people say this industry relies on insider information and luck, but my six years of experience have completely proven the opposite—no reliance on rumors, no gambling with luck. That initial capital has grown to over 60 million, and I’ve even bought five properties.

There are no shortcuts; it’s really about understanding the tricks of trading. Most retail investors overlook these things, but today I want to share my insights from these years. Honestly, mastering one key point can help you lose 200,000 less; mastering three can leave 90% of retail investors behind.

**Rapid rise and slow decline is a shakeout; rapid decline and slow rise is a trap to deceive you**

Price fluctuations are the most manipulative of human emotions. Some coins suddenly surge, then start dropping day by day. Newcomers get scared to death, thinking the market is about to crash. In reality, this is the market maker shaking out unstable followers—clearing out those with shaky mindsets. If you hold steady, there’s usually a good show afterward.

But the opposite is dangerous. A coin suddenly plunges, then slowly climbs back up, seeming to rebound. This is the easiest trap to fall into. People think “the bottom is here, time to buy,” but in fact, this is often a trap to lure more buyers. Market makers won’t hold back here; the more aggressively you buy the dip, the deeper you get caught.

After Bitcoin soared to a record high of $126,000 in October 2025 and then retraced, many people lost their money on this “bottom-fishing” logic.

**Volume is the real truth-teller**

I’ve never trusted candlestick charts much; no matter how beautiful they look, they’re just after the fact. Volume is the real truth—it reflects genuine participation enthusiasm.

During sideways movements at high levels, if volume remains active, it indicates there are still people pushing higher, increasing the chances of breaking through. But once volume suddenly drops and the market cools down, you should be alert—this is often the night before a sharp decline, and you should exit decisively.

Bottom rebounds shouldn’t be chased recklessly. Sometimes, the volume at the bottom suddenly explodes, with a single-day surge, tempting beginners to jump in. My advice is don’t rush; wait until it stabilizes for a few days, then observe if the volume can be sustained. True bottom starts involve gradually increasing volume, not a sudden explosion followed by cooling off.