There is a deeply ingrained misconception circulating in the crypto world — treating it like a casino.

Casinos rely on luck, betting on chance to win or lose. But those who understand the game know that this is actually a battlefield of strategy and discipline. Especially when capital is limited, survival is the first lesson.

I once mentored a friend whose initial capital was only 1200U. When he first traded the coin JOE, he was so nervous that his palms were sweating. Afraid that one wrong move would completely wipe him out.

I told him eight words: Don’t chase quick money, follow the rules first.

Three months later, his account balance stabilized at 32,000U.

Many people say it was good luck, but I know the truth — it’s the core principles ingrained in his bones that made the difference.

**Principle 1: Capital must be layered, never go all-in**

Trading funds, trial-and-error funds, and off-platform reserve funds should be like three separate rivers that never cross.

With positions on the exchange and supplies off the platform, you can maintain mental stability amid market fluctuations. Those who go all-in often get wiped out in a single correction, while layered traders can endure until the next opportunity. This isn’t about skill; it’s about survival.

**Principle 2: Only act when signals are clear**

Most of the time, the market is oscillating back and forth. Frequent trading during this time isn’t really trading — it’s just generating revenue for the exchange.

Wait for signals; act only when you see them. When profits reach your target, take profits in stages. Don’t always dream of buying at the bottom and selling at the top. That’s a fairy tale. In real markets, every profit should be met with gratitude.

**Principle 3: Rules override emotions**

Stop-loss isn’t a forced choice after losses, but a firm bottom line set before placing an order.

Don’t let greed trap you when you’re profitable, and don’t let luck deceive you when you’re losing. The entry and exit points, risk ratios for each trade should be planned calmly beforehand. Follow through when executing, and don’t let market volatility change your judgment.

The crypto market is always testing human nature, examining whether you can stick to rationality. Rules are your amulet.

If you’re still trading based on feelings and being manipulated by emotions, it’s time to reevaluate your trading system. There’s no secret to overnight riches — only fundamental principles that help you stay steady and survive longer in this market.