After years of navigating the Crypto Assets market, I have summarized 8 valuable investment rules that helped me grow my initial capital of 80,000 yuan to an astonishing 40 million yuan. Here are my insights, hoping to provide some reference and inspiration for everyone.

First of all, capital management is crucial. I recommend dividing the total capital into 5 parts, using only one part for investment at a time. At the same time, strictly implement a 10% stop-loss strategy, so that even if the judgment is wrong, the maximum loss will only be 2% of the total capital. Correspondingly, set a profit-taking point of no less than 10%, which can effectively avoid the risk of being trapped.

Secondly, going with the trend is key to improving the winning rate. In a downtrend, each rebound may be a trap for the bulls; while in an uptrend, each pullback may create a low-buying opportunity. Compared to blindly trying to buy at the bottom, following the trend for low buying is often easier to profit.

Third, be wary of coins that experience a short-term surge. Whether mainstream coins or niche coins, it is rare for a coin to sustain multiple waves of rising markets. Typically, after a rapid short-term rise, the difficulty of continuing to rise is high, and a prolonged stagnation at high levels often indicates an impending decline.

Fourth, make good use of technical indicators to assist in judgment. For example, the MACD indicator can be used to find entry and exit opportunities. When the DIF line and DEA line form a golden cross below the zero axis and break through the zero axis, it can be regarded as a good buy signal; while when the MACD forms a death cross above the zero axis, one may consider reducing positions.

Fifth, be cautious about the behavior of averaging down. Averaging down when in a loss often leads to a vicious cycle of increasing losses with each additional purchase. The correct approach is to moderately increase your position when in profit, rather than blindly averaging down during a loss.

Sixth, closely monitor changes in trading volume. Trading volume is the lifeline of the market; a breakout with increased volume at low levels is often worth noting, while increased volume with stagnation at high levels may indicate that the market is about to reverse.

Seventh, prioritize choosing coins that are in a rise trend. You can judge the trend by observing the moving averages of different periods: a rising 3-day moving average indicates a short-term increase, a rising 30-day moving average suggests a medium-term increase, a rising 84-day moving average may indicate the beginning of a main upward wave, and a rising 120-day moving average signals a long-term upward market.

Finally, it is very important to insist on regular reviews. Reviewing the holding logic weekly, checking whether the weekly candlestick trends meet expectations, and promptly adjusting trading strategies are key to maintaining long-term profitability.

These are my eight investment rules, and I hope they can inspire everyone. Remember, investment requires rationality and patience, and do not blindly chase rises or sell on dips. I wish everyone can achieve ideal returns in the Crypto Assets circle.