Recently, there have been quite a few inquiries from the backend — during market downturns, should you cut losses or buy the dip? Watching many traders glued to their screens in the middle of the night chasing rallies and panic selling, I thought I'd share my own painful experience. Once I had six-figure profits, but ended up with only scraps left. The lessons from these three years may help you avoid taking detours.

After years immersed in the crypto market, I've gradually come to realize one reality: ordinary retail capital shouldn't try to hard-compete in high-threshold mainstream assets. It's not that they aren't excellent, but the entry cost of tens of thousands of dollars directly excludes most people. Even when the market warms up and valuations recover, profit margins are quite limited. Expecting to achieve wealth leaps through this path? Basically a fantasy.

My initial accumulation actually came from early low-priced popular community tokens. After earning six figures, I wisely withdrew half to lock in profits, but wanted to push forward with the remaining half. What happened? A classic retail trap — chasing new concepts today, cutting back on pullbacks tomorrow, gradually consuming all the profits I had in hand. It wasn't until recently reviewing my trades that I realized: during market downturns, choosing to "stay put" is a million times harder than "frequent trading," but this is precisely the winning move for preserving capital and waiting for rebounds.

From a practical standpoint, my positioning strategy focuses on targets with "low entry barriers + strong community consensus." You can accumulate sufficient positions without massive capital, and the stronger the community cohesion, the greater the upside potential in subsequent market recovery. Of course, not all low-priced assets deserve entry. My screening criteria include three dimensions: the genuine activity level of the community, the strength of fundamental support, and liquidity health metrics. These are the key factors in determining whether an asset can achieve valuation recovery in the next market upturn.