What does it take to make money in the crypto world? Instead of gambling blindly, it's better to use the simplest methods. Starting with a capital of 20,000, sticking to 50% of the position, and holding for 8 years to grow to 30 million, with monthly returns potentially reaching 60%—why can this wild approach work? The key points are:

**Position Management is the First Line of Defense**

Divide your funds into five parts, only move one-fifth at a time. Set a hard stop-loss at 10 points; each mistake only loses 2% of total capital. Even after five mistakes, only 10% is lost. But when correct, take profits above 10 points. With this approach, it's hard to get trapped.

**Follow the Trend, Don't Fight the Market**

The secret to winning is two words: follow the trend. Rebounds in a downtrend are often trap setups; corrections in an uptrend are the golden opportunities—this must be ingrained. Avoid coins that have surged wildly in the short term, whether mainstream or altcoins. Coins that can go through several main upward waves are rare; continuing to rise after a short-term surge is basically impossible. High-level stagnation will naturally lead to a decline; the logic is solid.

**MACD Indicator is Reliable and Sufficient**

A bullish crossover of DIF and DEA below the zero line, then breaking above zero—this is the entry signal. Conversely, a death cross above zero and moving downward means reduce your position and exit quickly—don't hesitate.

**Never Add to a Losing Position**

The term "averaging down" has trapped many retail investors. The more you lose, the more you add; the more you add, the more you lose—this is a big taboo in crypto trading. The rule is: never add when losing; only add when making profits.

**Understand the Volume-Price Relationship Clearly**

A volume breakout after consolidation at a low level—pay close attention; if there's high volume at a high level but no price increase, exit quickly.

**Confirm Trends Across Multiple Timeframes**

Only trade coins in an uptrend. If the 3-day moving average turns upward, there's short-term potential; if the 30-day turns upward, mid-term bullish; if the 84-day turns upward, a main upward wave is coming; if the 120-day turns upward, the long-term is stable.

**Review Every Trade**

Check if your logic for holding coins has changed, whether the weekly K-line technicals are correct, and if the trend direction has shifted. Adjust your strategy as needed—don't be stubborn. Currently, in the rising market of XRP and privacy coins, this methodology still applies.