10 Cryptocurrency Trading Rules That Must Be Kept in Mind

In the cryptocurrency market, sustainable profits do not come from luck but from a clear, disciplined, and actionable method. Below is a detailed version of the 10 trading rules to help both beginners and experienced traders develop stable strategies, avoid common mistakes, and aim for long-term growth.

1. Continuous Weak Coins Are a Real Opportunity When a coin weakens sharply and continuously for several days, the general market psychology is panic and sell-off. But that fear often creates a golden price zone for rational traders. If a coin drops for 9 consecutive days at a high level, it is not a bad signal but an opportunity to prepare for an advantageous entry.
2. Two Consecutive Days of Increase Require Partial Profit Taking After a strong market rally for 2 sessions, there is significant profit-taking pressure. Reducing positions will help protect profits and reduce reversal risks. 👉 The principle is: when the market gives money, take some; don’t be greedy.
3. Over 7% Increase in a Day Usually Comes with a Follow-up Rise A strong increase in a day indicates robust capital inflow. However, do not rush in immediately. Wait for market correction or stabilization before participating to reduce FOMO risk.
4. Don’t Chase High Prices on Strong Coins Strong coins tend to have large volatility ranges. Chasing when prices are rising sharply can easily trap you at short-term peaks. Wait for a pullback or confirmation signals of the end of correction before entering.
5. No Signal After 3 Days of Sideways Price? Add 3 More Days If the price moves sideways for 3 days without a clear trend, observe for another 3 days. If there’s still no change in volume or trend, shift capital to other opportunities to optimize cash flow.
6. Don’t Return to Cost Price the Next Day? Exit Immediately If a buy position does not rebound to the cost zone in the next session, it’s a sign of exhaustion. Quickly exiting will minimize the risk of capital being locked or deeper losses.
7. Uptrend Pattern: Three, Five, Seven Market psychology often operates in cycles. Two consecutive days of rise often precede a third-day surge. The fifth day is usually the best profit-taking zone. Don’t expect the uptrend to extend to seven unless the trend is very strong.
8. Understand Volume and Price – The Core of Trading Volume is the voice of capital flow. Breakout at the bottom with high volume: a trading opportunity. Breakout at the top with weakening volume: an indication of money leaving, very high risk. Trading without understanding volume is like walking in the dark without a light.
9. Only Trade Coins with Trends Avoid wasting time on weak, low-volatility, or illiquid coins. Short-term: observe the 3-day MA. Medium-term: watch the 30-day MA. Following strong capital flows always offers higher probability of success.
10. Discipline Is the Most Important Foundation Good strategy + disciplined execution = stable results. Good strategy + lack of discipline = losses. The market rewards those who wait and act at the right moment, not those driven by emotions.