3 “Breaking Instinct” Rules to Help Crypto Investors Survive and Achieve Sustainable Growth

The crypto market has always been flooded with “overnight success” stories, but in reality, 99% of investors fail because they fall into the trap of the “get-rich-quick dream.” To survive and achieve sustainable growth, strictly adhering to rigorous principles—sometimes against your instincts—is essential. Here are the three most important rules.

1. Capital management and allocation: Not a choice, but survival One of the most common mistakes new investors make is putting all their capital into a single coin or token. As a result, when the market rises, investors attribute it to “luck,” but when it falls, they panic and are likely to lose all their capital.

The crucial principle is to divide capital into clear portions: Short-term fund: Capital used only for trades within 4 hours, with a strict stop-loss set at (for example, 1.5%). When the stop-loss is hit, exit the market immediately—do not wait for a “recovery.” Trend fund: Capital only used when clear signals appear on the daily chart (for example, MACD crossover + increased volume). If there is no signal, do not open a position. Long-term fund: Choose 3-5 quality projects, allocate capital periodically, and “delete” the trading app from your phone. Only intervene if a project encounters serious issues.

Such capital allocation doesn’t guarantee maximum profit, but it helps investors survive longer in the market and reduces the risk of total loss during volatile periods.

2. Only take guaranteed profits, don’t chase uncertain gains In the crypto market, investors are often very active during sideways markets, hoping to catch a “breakout.” The result is high trading fees and a tendency to fall for “fake breakouts” that wipe out profits. When the market truly rises, many people—fearful from previous losses—sell early and miss out on opportunities.

Key principles to remember: When the market is sideways, temporarily turn off your trading app and focus on work or self-improvement. When there is a clear trend, wait for a confirmed correction before entering a trade. When profits reach around 20%, withdraw your initial capital; the remaining profit can be used for further trading.

This approach ensures you’re always trading with profits, keeps your psychology stable, and helps you avoid the feeling of loss from short-term volatility.

3. Separate emotions from trading decisions: Become “mechanical” Many investors, even when correctly predicting the market, still lose due to emotional interference: “not wanting to sell,” or “hoping for a rebound.” Conversely, sometimes they hold onto losing trades in the hope that “it will come back,” only to suffer heavier losses.

The important principle is to set strict rules: Cut losses immediately at 2%. Take profit on half your position at 4% gain.

Executing this consistently will help investors gradually become mechanical in executing their plans, free from emotional influence. When emotions no longer affect decisions, profits will naturally follow.

Conclusion The crypto market isn’t a place to prove who is smarter, but a place to test who is more disciplined. If you’re worried about missing opportunities or experiencing repeated losses, ask yourself: Have your capital protection rules become a habit? Once you master these principles, surviving and profiting in the market will become more achievable than ever.