Having been in the crypto world for nearly 8 years, I started with a principal of 30,000 yuan and eventually grew it to 920,000 yuan. I wouldn't call myself a big player, but my trading records and mental journey over these years have accumulated some insights worth sharing.

During these over 3,000 days, I treated trading as a continuous process of leveling up and fighting monsters. From initially blindly chasing rises and cutting losses, to gradually finding a relatively stable method. Through repeated trading, I summarized 6 trading insights. These views may not be groundbreaking, but few people truly understand the logic behind them. Understanding each one can at least prevent a loss of tens of thousands of yuan; if you can integrate three of these into your trading system, you'll basically handle retail investor psychology with ease.

**First Rule: Rapid Rise Followed by Repeated Decline**

This pattern actually reveals the true intention of the market manipulators. A quick surge followed by a slight dip seems like a correction, but it's actually a shakeout to absorb supply. Retail investors are most likely to be scared out at this point, selling at a loss. True top signals are often different—they involve a sudden surge in volume, pushing the price to a high point, then a sharp free-fall. Those still catching the falling knife at that moment are basically the last to buy in.

**Second Rule: Slow Rebound After a Sharp Drop**

Many people see a significant decline and then a rebound, thinking they've found a bargain. In reality, this is often the final stage of the market maker's distribution. The price has fallen so much that everyone's psychological defenses are broken down. This rebound is usually an opportunity for the market maker to absorb the last batch of retail investors. If you're still thinking, "It's already fallen so much, how much lower can it go?" then prepare to be taught a lesson.

**Third Rule: Volume Shrinking at High Levels Is a Warning Sign**

When the price consolidates at a high level and trading volume begins to dwindle, be especially cautious. If the high level still maintains a certain turnover, there might be room for further upward movement. But if the volume suddenly becomes silent, like a dead calm before a storm, that's the calm before chaos. At this point, the question isn't how much you can earn, but how to exit quickly.

**Fourth Rule: True Characteristics of Bottom Accumulation**

A sudden large increase in volume at the bottom may look like a sign of funds entering, but it could actually be a trap to lure in more buyers. The real market maker's accumulation looks like this: first, a series of oscillations to shake out retail investors' confidence, then a sustained release of volume to gradually absorb the chips. This is the real signal of institutional entry. Following such a pattern greatly reduces risk.

**Fifth Rule: Volume Outweighs Candlestick Charts**

Candlestick charts are essentially rearview mirrors, showing what has already happened. The true indicator of market sentiment is trading volume. Shrinking volume indicates no one is playing anymore, and the market lacks heat. Explosive volume suggests large funds are pouring in. Learning to interpret volume changes is much more predictive than relying solely on candlestick patterns.

**Sixth Rule: Holding No Position Is Also Wisdom**

In the end, you'll realize that when to act and when to rest are key. Many people always want to hold positions in the market for fear of missing out, but that's greed acting up. No obsession, no being enslaved by greed—when it's time to be flat, be flat; when opportunities arise, enter precisely. This may look like lying flat, but in reality, it's refining your trading mindset to the extreme.

Opportunities in the crypto space are everywhere, but those who truly make money are the ones who can control their hands and see the situation clearly amid chaos. If you feel you're progressing slowly, it might be because you're still running naked in the dark, unable to find direction. I hope these experiences can serve as some reference for everyone.