From 8000U to 35 million, my journey of reversal in the cryptocurrency world
I started with only 8000U in the market, and after experiencing significant losses, I gradually climbed back up, having stumbled into many pitfalls. Today, I want to share some of my experiences and strategies with you to help you avoid taking the wrong path and stepping into fewer traps.
1. Capital Management: Protecting the principal is the most important
I never invest heavily; I use at most 20% of my funds for each trade. If the market is unfavorable, I immediately cut losses, admitting defeat if losses do not exceed 10%. Remember, the principal is always the priority; as long as the principal is intact, opportunities will keep coming.
2. Don't try to catch the bottom when the trend hasn't reversed
Don't rush to catch rebounds during a downturn. Before the trend changes, buying low is often a trap. Many times it's more prudent to wait until the rebound is confirmed and the trading volume increases before entering the market.
3. Choosing Coins: Stability over Impulse
Coins that surge appear tempting but often come with huge risks. Every time I see market enthusiasm, I remind myself to stay calm and not to chase after rising prices blindly. Remember, a rational market is the most reliable one, and the crazier the market, the easier it is to get trapped.
4. Technical Indicators: MACD and moving averages are my common basic tools
When making decisions, MACD and moving averages are my most important references. The golden cross of DIF and DEA crossing above the 0 axis is my most commonly used entry signal; when a death cross occurs or the volume shrinks, I decisively reduce my position. Charts and technical indicators do not lie; they are my most trusted "friends."
5. Absolutely do not average down
I have always adhered to the principle of not averaging down when in loss; accepting losses and exiting is my guiding principle. Averaging down does not mean being brave; it is blind and foolish. In the cryptocurrency world, only those who follow market trends can move forward steadily.
6. Go with the trend; execution is key
When trading volume increases, moving averages turn upwards, and prices break through, I will act decisively in line with the trend. Quick profits from short-term trades or rolling positions, execution is the key to my success. The cryptocurrency world does not require geniuses; execution and patience are the keys to success.
If you also want to learn more about cryptocurrency trading skills or have your own experiences and thoughts, feel free to communicate with me. Let’s grow steadily in this market together.
