Most people think making money in crypto depends on inside information, luck, or some mysterious technical indicator. That’s completely wrong. If you stay in the market long enough, you’ll realize that those who consistently make profits use the simplest and most straightforward logic. The real issue isn’t whether you understand the technology, but whether you can endure the repeated emotional blows from the market and persist until the power of compounding kicks in.

The fundamental workings of this market have never really changed: price cycles repeat, and human error plays out over and over again. Many traders lose money not because their analysis is wrong, but because they can’t see through the real intentions behind price fluctuations.

Take the "spike and pullback" pattern, for example. The price suddenly surges, then starts to slowly decline. What’s most people’s first reaction? “It’s over, this is the top, I need to get out fast!” And the result? They miss out. This type of move isn’t a signal of a top at all; it’s more like "shaking out weak hands"—a quick pump lets short-term traders cash out, then a slow drop scares out the hesitant ones. Once most of the retail hands are cleared, the next surge can come at any time. A real top is always followed by a straight-up crash after a violent pump—so fast you can’t even react, and by the time you try to sell, you’re already stuck at the peak.

The reverse scenario is the same trap. A "sharp drop followed by a slow climb" looks like the price has bottomed and it’s time to buy the dip. But what’s really happening? The big players are "luring buyers"—they create a fake rebound to make you think this is your last chance to get in. Once you chase the price, the real drop is just beginning.

The market keeps using the same tricks to harvest the same group of people. It’s not because they’re so cunning, but because too many people refuse to stop and think about the true meaning behind price movements.