That lamp has been on all along, but not everyone dares to follow in.

Three years ago, I entered the crypto world with 5000 yuan, basically a rookie. I couldn't understand candlestick charts at all, and my mind was only thinking about getting rich quickly. As you can imagine—within less than a month, my account was down to just a few hundred yuan. That feeling still stings when I think about it now.

Later, I spent three full years using real money to figure out a way of life. Today, I don't boast or criticize; I just want to clearly explain the pitfalls I've stepped into and the things I've summarized over the years. If your principal is around 800U and you want to survive longer in the crypto world, this article might be more useful than ten market analysis articles.

**Funds are like seeds, not bets**

Anyone who has been in the crypto space has seen players like this: they go all-in right away, full position, and get liquidated the next day. This kind of operation looks brave, but it’s actually a gambling mentality.

800U may not seem like much, but if you think about it from a different perspective—treat it as seeds rather than chips—the situation changes completely. Seeds can take root and sprout in suitable soil; chips, if lost, are just gone.

My approach is very simple: divide the money into three parts, each with its own purpose.

The first part accounts for 30%-40%, dedicated to intraday short-term trading. I only focus on BTC and ETH. When the price fluctuates by 3%-5%, I take profit directly, trading at most one or two times a day. Why do it this way? Because small funds are most vulnerable to dispersion. If you have less money and keep shifting around, you have even less chance.

The second part is also 30%-40%, used for swing trading. Wait until the 4-hour K-line clearly breaks out of a range and volume increases before entering. Hold for 3 to 5 days, aiming for a 15%-20% profit before exiting. The biggest benefit of this approach is avoiding daily trading, so trading fees don’t bleed out to the platform.

The third part accounts for 20%-30%, which is emergency funds. Even if more tempting opportunities appear, this part cannot be touched. With it, even if your account gets wiped out, you can bounce back, and your mindset remains stable. Mindset is more valuable in the crypto world than anything else.

**Why this allocation helps you survive longer**

The biggest pitfall for small capital is frequent trading and overconfidence. Try making 50-60 trades in a month, with each transaction costing 0.1%-0.2% in fees. These fees accumulate into a bottomless pit. Even more painfully, the more you trade, the higher the chance of making mistakes.

The benefit of this division method is— it allows you to participate in market opportunities without being completely knocked out by any single mistake. The short-term part might make 5% today and lose 3% tomorrow, but as long as you don’t overall lose money, it’s fine. The swing part waits for the big trend to come, making it more efficient. The emergency fund ensures you have room to maneuver even in the worst case.

The key is mindset. When you clearly know that 20%-30% of your funds are protected no matter what, you won’t go into a frenzy when trading other parts. Calm judgment often earns more than aggressive operations.

That’s how it is in the crypto world—surviving is winning, and making it to the next cycle already means you’ve beaten most people.