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Execution is the ultimate conclusion I have reached after immersing myself in the crypto market for many years.
Two years ago, a trading friend of mine approached me. At that time, his account only had $12,000 remaining after several liquidation events, and he was almost unable to hold it together. I didn't give him any complicated technical indicators; I simply provided four straightforward rules.
And now? His funds have steadily grown to $320,000. No luck, no special talent, just pure discipline in executing the rules.
**Rule 1: After seven consecutive days of decline, look for opportunities**
Crypto prices always cycle between rises and falls. When a certain coin drops for seven consecutive days, it often indicates that the shakeout is nearing its end. At this point, the market is most pessimistic, panic selling is at its peak, and it’s actually the best time to buy in.
The first time my friend entered the market following this rule, his hands were trembling. After forcing himself to buy, he caught a 20% rebound profit. The logic is simple: excessive panic inevitably leads to excessive selling, and value will eventually return. When others are greedy, be cautious; when others panic, take action—this may sound old-fashioned, but in the market, it’s the truth.
**Rule 2: If it rises for two days, reduce your position**
The most painful thing in the crypto world isn’t a big drop, but the reluctance to sell. My ironclad rule is: whenever a coin rises for two consecutive days, immediately sell a portion of your holdings to lock in profits.
Too many people want to sell at the peak, but end up being repeatedly cut. I’ve seen countless individuals go from paper profits to losses, and the root cause is greed for that last 1%. Locking in gains is the starting point for stable, cyclical profits. Never expect to catch the entire fish; just biting the fish is enough.