#美SEC促进加密资产创新监管框架 Why does more trading often lead to more losses?

I’ve seen too many investors—whether in stocks, futures, or crypto—share the same problem: they feel compelled to move their accounts every day, afraid of missing any opportunity.

This impatience leads to a vicious cycle:

Impatience breeds panic, panic leads to reckless trading, and reckless trading turns small losses into big ones.

For many people, losses are not really a technical issue—the problem is that they sabotage themselves: frequent in-and-out trades, repeated stop-losses, and eventually, their accounts are drained by their own emotions.

This is the problem of mindset.

Why does short-term trading lead to increasing losses?

Unless you’ve developed a very mature short-term trading system, the outcome of high-frequency trading is almost predetermined:

Over time, you become prey for quant algorithms.

Think about the three advantages of quantitative trading machines:

- 24/7 uninterrupted market monitoring
- Emotionless, cold-blooded execution
- Decision-making speed and precision far beyond human capabilities

Humans are fundamentally the weaker party in this contest. In electronic markets, we can never be faster than the algorithms.

Here’s what I do

Rather than trading every day, I spend my time where it truly matters.

I devote enough time to deeply research a target—its fundamentals, cycle characteristics, and market position—until I truly understand it inside and out. Once I decide, I hold it for months or even years, letting time do the work.

No chasing gains, no panic. When a drawdown comes? I stay calm because I’ve already left enough psychological room for myself with solid position management.

This logic helped me grow my futures account from 2 million to 14 million in the past year. This wasn’t luck—it was the direct result of knowledge, patience, and disciplined execution.

The real logic of wealth is actually simple

If you spot a trend, you need the courage to hold on;

If you pick the right direction, you need the willpower to stick it out.

Those who want to go fast often end up the slowest;

Those who can slow down ultimately run the fastest.

What you’re truly holding isn’t just a candlestick chart or a coin address, but your conviction in the future trend, your mindset that can withstand volatility, and the depth of understanding that supports it all.

These things can’t be acquired overnight, but once you have them, they become your real moat.