It took me three years to finally understand what true financial freedom means—not how pretty the numbers in your account look, but not having to worry about next month’s rent.

The dumbest thing I did in the first year? Obsessed with getting rich overnight, only to turn my "small goal" into a "liquidation anniversary." In the second year, I wised up and started learning how to admit defeat and cut losses, and eventually managed to climb out of a deep hole. By the third year, thanks to a few ironclad rules I figured out myself, I actually had the guts to quit my job.

Starting with 20,000 yuan cobbled together from New Year’s money, to now being able to survive without clocking in, I’ve never relied on insider info, nor did I dare bet my whole net worth on one coin. Surviving this long all comes down to these seven simple methods:

**Slice your principal into five pieces**
Only use one piece each time you enter the market. Lost 10%? Cut your losses and walk away, no hesitation. Even if you hit five bad trades in a row, your total loss is just over 10%. If you make 10%, immediately pull out your principal—locking in profits beats anything else.

**If the elevator is going up, you get in; why squeeze in when it’s going down?**
Trends are like elevators—going with the direction is easier and safer. Thinking about bottom-fishing during a drop? That’s jumping into a fire pit. Only corrections during an uptrend are real buying opportunities.

**A coin that goes 5x in three days will burn your fingers if you even touch it**
Jealous of coins skyrocketing on the gainers list? That’s normal, but don’t touch them. Unless you can watch the screen 24/7, odds are you’ll end up as exit liquidity.

**Three indicators are enough—more just creates confusion**
I used to pack my screen with all sorts of flashy tools, but the more I watched, the more confused I got. Now I only keep three: MACD for the big picture, RSI to check if I’m buying too high or selling too early, and volume to spot support and resistance. Simple and effective.

**Averaging down on losses? That’s laying mines for yourself**
Trying to lower your average cost after a drop is a rookie mistake. If you’re wrong, admit it and cut your losses. On the flip side, adding to winners during an uptrend is how you ride the wave.

**Volume and price never lie**
After a low-volume period, a sudden surge in volume and price? The market might be about to take off. High volume at the top but no price increase? The big players are dumping—if you don’t run, you’re holding the bag.

**Review each day with three questions—every penny you save is real money**
Why did I buy? Why did I sell? How can I improve next time? Ask yourself these three questions for 30 days straight, and you’ll avoid more pitfalls than you can imagine.

How you allocate funds, when you enter, how you control your pace—these sound simple but are all about the details in practice. But as long as you stick to your bottom lines, follow the trend, and control your desires, stabilizing your account is only a matter of time.