The best teachers in the crypto world are, frankly, those painful losses that cut deep into your heart. I’ve seen many traders who survive, and they all come to understand a simple truth: principal is the bottom line, profits are the bullets.

Three months ago, I only had $5,000 left in my account. To put it bluntly, that wasn’t even the principal anymore; it was the remnants left after being trapped and cutting losses. Those days were incredibly tough—my wife scolded me every day for not focusing on my proper job, and I was losing hair rapidly. I was up at 3 a.m. watching the Federal Reserve’s moves, trembling as the K-line flickered, grabbing any opportunity to go all-in.

When influential figures in the group called for trades, I followed blindly, not paying attention to position sizes or entry points. And what happened? My account plummeted from $20,000 to $5,000. My mindset completely shattered, and I even considered deleting all trading apps altogether.

Now, that $5,000 account has grown to $120,000. It’s not luck—it’s entirely the result of a complete change in trading mindset.

**The root cause of losses, 90% of players can’t avoid these three pitfalls**

The crypto world is never a gentle place; it’s more like a jungle—opportunities are everywhere, but traps are even more numerous. Many players end up losing not because they lack skills, but because they are defeated by their own human nature.

The first pitfall is blindly adding to a position after being trapped. Thinking “if I add a little more, I can dilute the cost, and it will rebound next second,” but instead, they add more and more, eventually putting all their principal into it. This is classic greed.

The second pitfall is getting carried away when making profits and stubbornly holding losses. Taking profit at 3% and closing immediately, but when losing, holding on from a 5% loss to a 50% loss, and finally being forced to cut losses. Emotions completely hijack decision-making.

The third and most hidden pitfall is treating rolling trades as gambling. No plan, no risk control—pure luck-based.

The moment I truly turned things around was when I let go of all my illusions of luck.