Many people are curious, didn't Bitcoin just fall by 12%? This is just a drop in the bucket in the big A, but do you know that this small drop has left 1.6 million people with nothing, and 19.1 billion dollars evaporated in an instant? The most ironic thing is that among these people who got liquidated, 87% are ordinary people who believed the bull run would continue. They are not gamblers or market makers, but like you and me, watching the market rise sharply, thinking this time I must not miss out. Many people say this is all the fault of leverage, but I don’t think so. Leverage is just a magnifying glass; what really causes people to get liquidated is the obsession with believing in something they cannot see clearly. Getting liquidated itself is not scary; what’s scary is that after a round of it, you still haven’t learned anything. When the market comes again, you still rush in and repeat the mistakes. So today, let’s use hindsight wisdom to review where it all went wrong, why, despite seeing the direction, did we still lose so badly? The first core point, and also the most fatal mistake, is not being able to see the structure of the trend, mistaking a rebound for a reversal. A mature trader has a high-voltage wire in their mind called the 4x principle, which means using a very slow moving average system to tell you the current weather of the market. When the price is running below this slow-moving tunnel, it’s like the weather forecast telling you that winter has arrived. At this time, any upward pump can only be seen as a rebound in winter, when the sun occasionally shines, not that spring has come. Those who got liquidated saw the sun in winter and thought spring had arrived, so they went all in with leverage and ended up being buried by a sudden snowstorm. The second fatal mistake is not having a concept of risk-reward ratio, turning trading into a gamble with extremely poor odds. Ask yourself, when you chase the price, have you calculated how much you can earn if you’re right and how much you’ll lose if you’re wrong? Most of the people who got liquidated rushed in at the most frenzied moment of market sentiment, but at that position, there might only be a 10% upside, but if it pulls back, it’s a 50% abyss. This is a trade with a very poor risk-reward ratio. Professional traders act like shrewd hunters, patiently waiting for their prey, entering at the position with the least risk, while amateur traders act like gamblers, placing heavy bets based on feelings. The third core knowledge point, and also the most common mistake, is treating emotions as signals, impulsively entering the market when everything seems beautiful. Those who like flowers rush towards them when they bloom, but they forget that blooming is just the climax of the process, not the starting point. The more splendid the bloom, the closer it is to withering. Retail investors chasing price are the same; they see the beautiful flowers but overlook that the roots of risk are rotting below. A reliable system trader does not chase when they see red, nor cut losses when they see green; they wait until the main trend, secondary trend, and trading volume structure line give them a clear signal before acting. The rebound before this big dump did not provide any reliable trend confirmation; it was merely a premature reversal illusion. Those who rushed in were not trading based on signals; they were trading their own hopes and fears. If you can still keep up with my rhythm after seeing this yet still look confused, then don’t stop here. Go watch the system and strategy videos I’ve posted; that will truly help you understand the market and yourself. Alright, today we reviewed the structure, odds, and timing, these three most fatal mistakes. Did you notice that behind this is essentially a confrontation between two mindsets: one is the gambler’s mindset, and the other is the operator’s mindset. Gamblers always want to catch every fluctuation in the market, while operators only bet in their advantageous zones. Gamblers care about how much they can earn this time, while operators care about whether this business is cost-effective. So before the next big dump arrives, what you really need to do is not predict the points but to first ask yourself, am I sitting at this poker table as a gambler or as an operator?