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The market has no sympathy; it only cares about the principal in your wallet. As long as there is profit to be made, there will be no mercy. Today, let's discuss some of the most common pitfalls in trading so you can avoid them and truly make money.
**Pitfall 1: Sudden Surge Is a Trap**
A sudden large bullish candle appears, and the chatter in the group is "It's taking off." Retail traders rush in, and many get caught. This is a classic trap of诱多 (fake breakout). What should you do? Don't chase the high. Wait for the price to retrace and confirm again. Avoid breakouts with no volume; nine times out of ten, it's a trap.
**Pitfall 2: Fake News Everywhere**
Claims that an institution is acquiring or a big influencer is giving signals sound like big news. But when you look at the chart, the price and volume don't support it. Relying solely on news to move the market? That's a trap. The simple way to handle this: ignore unfamiliar news. Check if price and volume are synchronized. If there's only one-sided news and volume refuses to cooperate, there's definitely a problem.
**Pitfall 3: Sideways Market Testing Patience**
The most frustrating is a market that doesn't go up or down. Many can't hold and end up selling, only for the market to rise afterward. The key is to set your trading range: use light positions near the upper boundary to take some profits, and near the lower boundary to re-enter lightly. Don't be scared by every sudden fluctuation.
**Pitfall 4: Altcoins Controlled by Whales**
Altcoins are easiest to manipulate, with extreme volatility. Coins with low liquidity tend to rise and fall quickly. Ordinary retail traders can't keep up. The strategy? One word: avoid what you don't understand.
**Many people lose not because the market is bad, but because they can't hold their positions or judge the rhythm correctly.**
When falling, they fear losses and deep traps; when rising, they fear retracement and rush to exit—all emotional trading. Such behavior guarantees losses sooner or later.
**How to stay stable and survive? Three key points**
Follow the larger cycle to determine the trend; the 4-hour chart can tell you the overall direction. Use the 1-hour chart to find entry and exit zones; test key levels with small positions. Wait for confirmation of reversal signals on the 15-minute chart before acting. Layer your operations and stick to your roles.
Trading is never about luck. Choosing the right coins, identifying the right direction, and following the correct approach—this is the way to succeed. Steady progress and gradual accumulation are the true long-term path to making money.