4 Major Ways to Make Money in the Crypto World: Master the Following Three and Earn Easily!
1. Long-term Holding Method: Suitable for Bull and Bear Markets
The long-term holding method is one of the simplest yet most challenging strategies. Choose some cryptocurrencies and hold them for more than six months or a year without making any trades. Typically, this strategy can yield at least ten times the investment return. However, many beginners find it difficult to stick with it due to price fluctuations, which is the biggest challenge of this strategy.
2. Bull Market Momentum Method: Suitable Only for Bull Markets
In a bull market, use no more than one-fifth of the total funds as idle capital. This strategy is suitable for selecting cryptocurrencies ranked between 20 and 100 in market capitalization, as these cryptocurrencies are generally less likely to get stuck for long periods. For example, when a certain altcoin rises by 50% or more, it can be exchanged for another temporarily declining cryptocurrency, and this cycle continues. If the selected cryptocurrency gets stuck, be patient and wait, as bull markets often bring opportunities to break free. However, the success of this strategy depends on the quality of the selected cryptocurrencies and the market environment, so beginners should operate cautiously.
3. Capital Hourglass Strategy: Suitable for Bull Markets
In a bull market, capital usually gradually flows from large-cap cryptocurrencies to small-cap cryptocurrencies, a phenomenon akin to a giant hourglass. Price increases typically start with leading large-cap cryptocurrencies and then gradually spread to other cryptocurrencies.
4. Pyramid Bottom Buying Method: Suitable for Predictable Major Drops
This strategy is suitable for situations where a significant drop can be anticipated. When buying at the bottom, orders can be placed in batches at 80%, 70%, 60%, and 50% of the cryptocurrency price, using one-tenth, one-fifth, one-third, and one-fourth of the capital allocation ratio.
These strategies each have their advantages and risks, and choosing a strategy that suits one's risk tolerance and market environment is crucial.
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