In the face of discipline, the market is a friend.
Many people ask me: Brother Bin, how do you choose from so many coins? How do you look at entry and exit points? To be honest, I don't have any mysterious methods, nor do I pursue buying at the lowest point or selling at the highest point.
The method I use is so simple that many people look down on it, just four words: go with the flow, have discipline.
This set of things does not guarantee that you will get rich overnight, but it can help you avoid pitfalls significantly. Since I started dealing with Bitcoin in 2015, I've seen too many technical analysis experts go bankrupt, while those who stick to simple rules have survived.
First, how do I choose coins? I only look at those that are 'alive'.
Every day when I open the trading platform, the first thing I do is not to study complex indicators, but to quickly scan the market, finding coins that are 'breathing and have a heartbeat'.
Three key selection criteria:
Coins that start to increase in volume within the last 7-10 days indicate that funds are paying attention. Coins that have fallen for more than 3 days are directly eliminated because funds may have already withdrawn. I only choose those with moderate volatility and clear trading depth, avoiding those zombie coins.
I do not chase the bottom of those coins that have fallen severely, because there is a brutal reality in the crypto world: what has fallen may continue to fall, while what is strong may continue to strengthen. Just like that wave of market in 2023, many people went to catch the bottom of coins that had dropped 80%, but they continued to be halved; while strong coins, although they have risen, can still reach new highs.
Two, See the Big Direction, the Monthly Line Determines the Trend
After selecting the preliminary list, I do not look at the hourly or intraday fluctuations, but switch to the monthly chart.
The monthly level is the key that determines fate. When the monthly MACD produces a golden cross (the white line crosses above the yellow line), and the histogram changes from green to red, I will put it on my key observation list. This step is like confirming that the big ship has started its engine; the rest is just finding the right position to board.
Many people are addicted to the excitement of the 5-minute K-line, but do not realize that this is equivalent to watching the waves at sea during a typhoon - it seems that there are many opportunities, but the risks are enormous. I have seen too many short-term experts achieve remarkable results for a period, but as long as there is one misjudgment, they will give back all their previous profits.
Three, Timing of Entry: The 60-day line is the lifeline
After confirming the big direction, I return to the daily chart to look for specific entry points. The 60-day moving average (MA60) is my most important 'lifeline'.
When the price retraces near the 60-day line and two signals appear, I will consider entering: when trading volume obviously shrinks (indicating reduced selling pressure) and when the trading volume suddenly expands during stabilization (indicating that funds are starting to flow in).
Buying at this position may not have the lowest cost, but the downward space is clear, while there is trend support upward, providing a sense of security. The opportunity in the crypto world is not about buying cheap, but about buying right.
Four, Stop Loss: My Escape Rope
Rules must be two-way. I set an iron rule for myself: as long as the closing price drops below the 60-day line, sell unconditionally.
Do not get entangled, do not find reasons, do not hold fantasies. Whether I make money is determined by the market, but whether I lose a lot of money is something I can control myself.
Many people lose not because they are wrong in direction, but because after breaking key support levels, they still fantasize about a rebound, resulting in small losses turning into large ones. Execution is the key that distinguishes ordinary players from mature traders.
Five, Take Profit: Walk away in batches, do not be greedy
In terms of profit handling, I never pursue selling at the highest point. When the position rises more than 30%, I will sell one-third; when the rise exceeds 50%, I will sell another one-third.
This has two benefits: first, to secure the confirmed profits, and the remaining position cost is already very low, making the mindset more stable.
There is an old saying in the crypto world: the reason why it is easiest to lose money in a bull market is that one is reluctant to let go when profits are being given back. My principle is: do not be greedy for the last bite, being full from the fish's body is enough.
Six, Why is the 'Stupid Method' Effective?
My method seems conservative and even rigid, but it has its logic behind it:
It avoids the trap of predicting the market and instead focuses on trend tracking; it uses rules to eliminate emotional interference, avoiding chasing highs and lows; it emphasizes risk control over profit pursuit, ensuring long-term survival.
If you stay in the crypto world for a long time, you will find: making money may rely on luck, but surviving definitely relies on systems and discipline. Rules that can be executed long-term are much more important than one or two surges.
Market rhythms change quickly, but human nature never changes. Greed and fear are always in a cycle, and a good system helps you navigate these emotional fluctuations.
The method is not about being complex, but about being effective and executable. This is my deepest realization after ten years of trading coins. Follow Brother Bin to learn more first-hand information and knowledge about the crypto world at precise points, become your navigation in the crypto world, and learning is your greatest wealth!#加密市场反弹 #易理华旗下TrendResearch减仓 $ETH
