If you ask me what I felt the biggest in the crypto market in the past three years? I will tell you that it is not the stimulus of a surge or the panic of a surge, but the profound lessons brought by countless "pits".

Three years ago, I entered the market with the dream of getting rich overnight, and imagined to easily achieve financial freedom. But reality is like a cruel teacher, teaching me what it means to respect the market with "pits" again and again.

In the past three years, I felt like I had experienced a thrilling jungle adventure, and these 7 "pits" are the maps and compass I exchanged for with real money.

01 The Trap of Overtrading: Less is Lessons of More

When I first started trading, I was obsessed with staying "active".

Every K-line is like an opportunity to me, and every rise is like an opportunity to make a lot of money. But I quickly realized that a lot of transactions does not mean a lot of profits.

In fact, frequent transactions often make my wallet lighter and my regret worsens. Remember when I said I felt I had to participate in every transaction? Yes, this mentality almost made me lose everything.

The number of transactions does not mean that there is a lot of profit.

Looking back, I found that holding the army is often the smartest choice. If the market does not give you a clear chance of winning, why forcefully trade?

Are you willing to make five mediocre transactions, or are you waiting for an excellent opportunity?

The answer is obvious now, but it took me real money to truly understand this truth. Trading out of boredom is like chasing the rise without doing research – a recipe for disaster.

02Tirment is the enemy of trading

I hope someone will engrave this truth into my mind as soon as possible: Never trade when you are tired.

I used to feel that I could stay up late and stare at the charts and observe the market like an eagle.

Well, I was wrong.

My decisions became as unreliable as a smart contract with loopholes. To be honest, how many successful transactions have you made after staying up late?

Yes, almost nothing.

Decision fatigue is more intense than flash crashes. When you are exhausted, your brain takes shortcuts, and these shortcuts often lead directly to wrong decisions.

Don't trade when you are tired.

Left;">I have broken the stop loss line countless times because I was too stubborn and ignored risk management. Now, I regard sleep as a rule that cannot be negotiated. If I am not in good spirits, I will not trade.

03Don't break the trading rules easily

One ​​of the hardest lessons I have learned is that rules are not only guidelines, but also life-saving straw.

Early, I felt smarter than my trading plan. "Just this time," I would comfort myself, move the stop loss point or increase my position.

Sound familiar? It should be because every trader has experienced this moment.

But the truth is: There is a reason why your rules exist. They are extracted from the painful lessons.

Breaking the rules is like there is no strategy in a bear market—it is only a matter of time to be destroyed by the market.

Discipline is not about perfection, but about doing the right thing even if it is uncomfortable.

I gradually realized that the best traders are not people who never make mistakes, but people who stick to the rules even if they make mistakes.

04 Emotional roller coaster: Manage your mind and strength

Now, let's talk about what most traders ignore until it backfires: mental strength.

Have you fallen into a vicious circle of losing streak, and every transaction is worse than the previous one? I have experienced it, and it feels like trying to recover from a Rug project.

Sometimes, the best choice is not to make another deal, but to get out completely.

This lesson has been unforgettable in my trading journey. I keep increasing my positions that have lost, thinking I can turn my losses into profits.

What saved me in the end? Rest.

Go away gave me the clear mind I needed to start over. After all, if your heart is as chaotic as the exchange funds that were hacked, what's the use of technical analysis?

05 Risk Management: The Pure Secret of Survival

Let's be realistic—risk management may not sound sexy, but it's the backbone of successful trading.

Most traders focus on the entry point, as if it was the holy grail, but the exit point is where the real magic lies.

Have you ever made a perfect entry trade and threw all your profits (or more) back because of no exit plan? Yes, we've all experienced it.

Position size, stop loss, and risk-return ratio may not be attractive, but they are the basis for survival in the cryptocurrency market.

Think of this: Do you want ten small wins, or will you bear a big defeat to zero the account?

Choose seems obvious, but too many traders ignore these basic principles.

Remember, in cryptocurrencies, survival is victory.

06 The monster of self-inflation: Be humble in a bull market

One ​​of the hardest facts to accept is that the market doesn't care about your self.

Nothing can make a trader self-inflation better than a big win. Suddenly,You feel that you can predict the top and bottom like a prophet, and you feel that you have cracked the password to the market.

But reality will give you a blow-the market always has a way to remind you who is the boss when you most unexpectedly.

After making some good returns in my trading career, I began to feel that I knew everything.

Fast forward to the next cycle, and my "stable profit" transactions were ruthlessly defeated by the market.

The market does not owe you anything, and staying humble is the only way to stay in the game. Trust me, your pride is not worth exchanging for your portfolio.

07 The hallucination of advantage: knowing when to stand by and watch

This is a somewhat controversial point-sometimes, your biggest advantage is knowing when not to trade.

Too many traders force bets in areas they are not good at, thinking that they must always be active. But ask yourself: Are you willing to make a mediocre deal, or are you waiting for an opportunity that belongs to you?

I made a simple rule-if I could not trade if I could not explain my strengths in one sentence.

This method has prevented me from countless bad decisions. Remember, the market will not run away. Opportunities will always be left to those who are patient and disciplined.

08 Summary

After all, a successful transaction is not about showing off victory or getting rich overnight. Its core is to keep avoiding mistakes and keeping capital when the chances of winning are really on your side.

Everything I share comes from my personal experience and painful lessons.

So, next time you can't help but want to make a reckless deal or ignore your own rules, remember these principles.

They may not guarantee that you can soar, but they will allow you to stay in the game for long enough to seize some real opportunities. After all, in the cryptocurrency world, enduranceIt is the ultimate winning weapon.

Original title: Trading Crypto for 3 Years Taught Me These Hard Lessons — Here’s What I Learned. Original link: https://medium.com/thecapital/trading-crypto-for-3-years-taught-me-these-hard-lessons-heres-what-i-learned-137466b83905Original author: Paul G Translated by: Vernacular Blockchain