The Harsh Truth: 90% of Traders Lose Because of This – Not Due to Lack of Money

In the crypto market, many people believe that simply being “brave” is enough to make money. They bring a few thousand dollars, carry the dream of “doubling their account overnight,” and then quickly get “taught a lesson” by the market just after half a month. The truth is that they lack neither determination nor action — what they lack is trading principles. The crypto market does not reward those who take risks, but only rewards those who have strategy and discipline. One of the fundamental principles for newcomers is capital management. With a small amount of capital, instead of diving into highly volatile altcoins, investors should allocate appropriately: 30% for short-term trading, focusing only on high liquidity coins like Bitcoin. Each time entering a trade, only expect a profit of 2% and then take profit. 30% for medium-term trading, buying at clear support zones, holding the position for 3–5 days, not being affected by small fluctuations. The remaining 40% is for the base position, stored in a cold wallet, absolutely not touching it whether the market goes up or down. The sideways market phase is when “players are filtered out”. Many impatient investors often switch to altcoins to seek quick profits, but the result is usually losses both financially and psychologically. On the contrary, those who adhere to the plan and maintain discipline will be rewarded when a clear trend emerges. The secret of effective traders does not lie in their ability to “guess correctly” the market, but in their ability to manage risk better than others. The two unchanging principles are: Do not let a losing order exceed 1% of total capital. If wrong, cut losses immediately, without hesitation. When profits exceed 3%, close a portion to secure the gains. Do not be greedy, as real profits come from sustainability, not luck. In the volatile world of crypto, the winner is not the one who takes the biggest risks, but the one with the clearest system. With a small capital, what matters is not to “hit the big opportunity”, but to know how to survive long enough to encounter that opportunity.