90% of losses in crypto world trading come from "gambling-style" operations! Master 3 iron rules + 5 techniques, and you can cope calmly even when black swans strike.

In the crypto world, a daily fluctuation of over 10% is quite common; some take advantage of this to double their investment overnight, but more people suffer huge losses due to uncontrolled positions—either they heavily invested and encountered a black swan event, losing everything, or they held back with a light position and missed out on significant market opportunities. To survive and earn steadily in the cryptocurrency market, scientific position management is the true "amulet."

1. Three core principles: prioritize survival first, then seek profit.

1. Survival First: The maximum loss for a single transaction is strictly controlled at 2%-4% of the total principal. For example, with a principal of 100,000, the loss for a single transaction should not exceed 4,000 yuan, so as to preserve strength and wait for opportunities.
2. Respect the volatility: The annualized volatility in the crypto world usually exceeds 60%, which is 2-3 times that of traditional stocks. Therefore, the position should be more conservative by more than 30% compared to conventional stock investments, and one should never apply traditional market trading strategies.
3. Flexible adjustment: During a bull market, positions can be maintained at 50%-70%, while in a bear market, they should be compressed to below 30%. At the same time, set differentiated position limits according to asset types (mainstream coins, altcoins, leveraged products).

2. Five Practical Techniques: Suitable for Investors at Different Stages

1. Three-stage allocation method: Divide the principal into three parts, 10% for tentative positions, 20% for increasing positions after trend confirmation, and the remaining 20% as emergency funds to deal with extreme market conditions.
2. Risk matching principle: The position for mainstream coins (such as BTC/ETH) can be set at 15%-25%, while altcoins should not exceed 5%. When using leverage within 10 times, the position should not exceed 10% of the principal.
3. Stop-loss position reversal: First, determine the stop-loss range (for example, 6%), then calculate the position limit using "maximum tolerable loss amount ÷ stop-loss range". For example, with a principal of 100,000 allowing a loss of 3,000 yuan, the theoretical position would be 50,000 yuan, but in actual operation, it is recommended to reduce it to 30,000 yuan to leave some room.
4. Periodic Adjustment Strategy: During bear markets, control single transaction positions at 5%-8%; in the early stages of a bull market, it can be increased to 50%-70%; at the end of a bull market, at least 30% cash should be retained for emergencies.
5. Eliminate emotional trading: Develop a trading plan in advance, with a single coin position not exceeding 20%. Stop trading immediately and reflect on your performance after three consecutive losses.

There is no method in the crypto world that guarantees "absolute profit," but through systematic position management, "long-term stability" can be achieved. The core of my students' continuous profitability is strictly adhering to position discipline and risk control. We are now prepared with key level layouts and position planning for the next market cycle. If you also want to avoid common traps and seize market opportunities, then now is the time to take action— the market always favors those who are prepared and dare to act.