When I started crypto trading, I lost money faster than I could count.
Basically, I made every mistake you can imagine (and I mean EVERY!!).
I used leverage, traded every token I could find, and tried many different trading strategies.
And these are just a few examples.
The Birth of the 6×1 Rule — My “Starting With Crypto Trading” Framework
After a month or so, I sat down and confronted myself with the disaster I had created.
It was strange. I felt devastated and motivated at the same time.
I was angry because I made all the mistakes I had read about before I started. Obvious and unnecessary mistakes.
However, I knew I could do better.
That was the time when I created my 6×1 Rule.
It became my mantra for a long time. Even today, I follow many of the aspects of trading.
This might be a helpful framework if you are about to start crypto trading. Let’s dive in!
1 Token
The crypto world seems to be full of opportunities. However, too many opportunities can also lead to distraction.
On top of that, trying to trade several tokens can quickly become overwhelming.
Don’t do that in the beginning. There are so many things to be learned. Don’t add additional and unnecessary complexity.
Choose one token and focus on it.
Don’t look left and right. You have to become one with that token.
Once you’re truly comfortable and generate sustainable success rates, you can slowly expand to an additional token (however, this isn’t even mandatory).
1 Timeframe
Choose one timeframe (the higher, the better) and stick to it. Don’t switch, don’t mix it. Solely trade this timeframe.
This is so super important. Different timeframes, such as the daily or hourly chart, require completely different thinking. Trade length, stop loss, profit potential, or win rates are just a few examples.
Again, concentrate on one timeframe and master it.
1 Trading Strategy
One of the most common mistakes new traders make is the following:
They start with a trading strategy and switch to the next if it doesn’t work after a few days.
It’s one of the biggest mistakes you can make. Crypto trading isn’t that simple. You can’t just pick a strategy and expect you to make magic money.
Instead, get started with one strategy.
Then, monitor, improve, adjust, and maintain this strategy.
But stick to it. Don’t jump between strategies, and try new ones every day. Crypto trading is about consistency.
1 Trade at a Time
Usually, this is the result of the above, but I added this to my rules set because I always wanted to remind myself explicitly.
Multi-tasking is an illusion. It’s only one trade at the time. Period.
1% of Assets
This is probably the most important rule I implemented to save my assets.
Don’t risk more than 1% of your assets with a trade. I know this sounds ridiculously low.
But you have to remember, you are just getting started.
So, it’s much better to play defense when you get started instead of losing everything in a kamikaze trade.
Even if a trade looks like a super sure thing, it’s 1%—not a single digit more.
Again, once your strategy works sustainably, you can slowly (SLOWLY) increase the percentage.
1x Leverage
In other words, NO LEVERAGE. Even for expert traders, leverage can be the killer. Crypto markets are so volatile. Therefore, never use leverage when you start.
Starting with Crypto Trading? Here’s something for you!
If you want to get started with trading systems, you can check out Crypto OS.
It’s the platform I’ve developed based on all the mistakes I made.
It contains data-driven trade signals, backtest data, AI forecast, trading bots, and much more. Try it for free!
