After losing all my positions for three months, I learned 5 major investment lessons

"Sell when your portfolio hits its target, not until you think the market is peaking." This article is derived from an article written by Res and is compiled, compiled and written by TechFLOW. (Synopsis: Bitcoin flash crash, what signal did traders who escaped the top in advance find?) (Background added: Has Bitcoin peaked?) Sort out 15 top-fleeing technical indicators to tell you) Over the past three months, after losing most of the assets in my portfolio, I've been reflecting on a question: "Sell when your portfolio hits its target, not until you think the market has peaked." I've always believed that selling based on personal goals is counterproductive because your trading risk and behavior should be determined by the market. Incidentally, you can see @DegenSpartan's post, where he defends this view. If I achieved my goal when Bitcoin (BTC) reached $50,000, why would I sell when I thought it might rise to $100,000? It doesn't make sense to me. Similarly, if your portfolio has reached $870,000 and your goal is $1 million, you won't force the market to keep rising because your goal is $1 million, especially if the market may have peaked. You have to accept reality and let go. However, this mentality is too idealistic, or only the 0.01% can do it. Yes, it's perfect, but the reality is that you can't pinpoint the apex of the market. How many people have experienced money pulling back from their highs? I bet there are a lot of people here who once reached their dream of financial freedom months or even years ago, only to watch that wealth evaporate in a matter of weeks. Illiquid shitcoins, retaliatory trading, leveraged operations...... Some have even fallen from eight-figure assets to nothing. You can never know if the market is peaking because you don't have that ability. What makes you a lot of money is often what makes you lose everything - most of the time you are a "perma-bull", your high-risk tolerance brings huge rewards when the market is good, but this behavior pattern and positive feedback due to consistent wins can make you lose your mind when the market is bad and eventually "harvested". Not to mention the timing of the market: bottoms usually take months to form, while tops tend to appear suddenly within a few days, especially after exponential gains. Except for a very small number of good traders, most people are still bullish when they should be selling, because that's how their trading is set. And when they make mistakes, especially big ones, some people can't even bear it. If you've reached your goal, why not "save your game progress" and start over in a calm, ample and objective state? It's like playing a video game — you don't go through a level all at once without saving progress. When you lose a lot, you realize that what you once had is more real and more valuable than the numbers on your screen. On the other hand, I don't think people with a "I'll stop when I get to a certain point" mentality can succeed. This mindset will never get you close to your goal because you have to love the game: learn > boost > win. Money is just a way to measure your progress, but that doesn't mean you can "save your progress" when you reach your goals. Sometimes, more gains don't change your life much, but the risks you take are high. You'll always be tempted to think that now is the time to go all out and that you'll always have a reason to be bullish on the market. The vast majority of people who trade in these markets should adopt a systematic approach to profitability and risk management: 1. Avoid "cross-bar" behavior. Accept the reality that you are not that top trader. Maybe one day it will be, but not yet. 2. While making a profit, take out your money gradually, regardless of your view of the market. 3. Set bigger goals based on lifestyle and clarify the ratio of risk to reward (R:R). When your net worth reaches a certain level, you should start reducing your risk, because further gains may not significantly change your life, but losses can have a huge impact. For example, going from $500,000 to $900,000 may not change your life much, but the impact of going from $500,000 to $100,000 is huge, even though both have a net balance of $400,000. Take out more money at the level you set and reduce risk. Your goal is to start with an abundance mindset rather than be driven by fear and want. You'll be amazed at how objective you can become—all of a sudden, emotions no longer control you. 4. Manage risk based on market dynamics. In some cases, you can take risks more aggressively, such as when an ETF is approved, the US Federal Reserve starts cutting interest rates, Trump wins, or the next time Trump, Powell, or other key figures explicitly send a buy signal. Your risk management and portfolio allocation should be a combination of 1) market-based and 2) personal life grounds, not the result of considering just one or the other. Most people focus only on market factors and ultimately fail to achieve their goals because it is not realistic for most people. 5. Love the game and focus on progress, money will naturally follow. In order to succeed, you can never stop. If you want to stop, you'll never succeed. Related reports Ethereum Foundation "True Escape Master"! In the past 1 year, 32 ETH have been sold, 15 times have been sold at high points... Trump was also set with 5 million magnesium Mastering the Bull Market Pulse: 12 Cycle Tools and Ceiling Escape Indicators Sorted Out Shenyu analyzes the five difficulties of bull market trading: learn to "take over" instead of escaping the top "After losing all positions for three months, I learned 5 major investment lessons" This article was first published in BlockTempo's "Dynamic Trend - The Most Influential Blockchain News Media".