As we all know, the crypto space often sees returns of dozens or even hundreds of times, attracting countless people to try their luck, but the vast majority will incur losses, which aligns with the 80/20 rule. In the crypto space, those who can truly make substantial profits are generally of two types:
1. Individuals with precise vision and cautious execution: Those who spend all day online showcasing their trades and frequently engage in short-term operations often find it hard to stand firm in the crypto space; they easily become targets for elimination by the market. These individuals mistakenly believe they understand market rules just because they received positive feedback from a few trades, which is a grave error. Their blind confidence ultimately leads to severe losses amid market volatility. Look at those so-called KOLs who lead trades; how many can remain active in the crypto space long-term and survive?
A true expert is someone who, based on a respectful understanding of the market, is always prepared to correct mistakes and has a clear awareness of themselves, and develops an investment strategy that fits the market and is suitable for them. In terms of my personal investment strategy, the primary principle is to reduce the frequency of operations. Those who know me well understand that I strongly disagree with frequent trading. Once I choose to allocate resources in certain areas, I will not easily change and will not engage in short-term high selling and low buying, but rather focus on capturing a trend by holding assets and waiting for their value to rise.
2. Individuals who can firmly hold their positions and do not easily exit the market: Currently, the stock market is sluggish, and the crypto space has also entered a correction phase, forcing many people to leave this market. In the investment field, the only constant may be the continuous reshuffling of wealth. Ambition and desire can achieve success for some, but excessive inflation can backfire; after reaching a peak, it can lead these individuals to failure.
Therefore, from the moment you enter the crypto space, you must think about how to stay in this market. This idea may contradict the thinking of most people, as most enter the crypto space hoping to make a quick profit and then leave to live a life of leisure and travel. However, those with this mindset often find it difficult to achieve their goals. After all, where there are people, there is competition, and with competition comes investment risk. Even if you make a profit in one area, you might suffer losses in another. Only by persisting in a market sector over the long term can you gain insight into the true development cycles of things over a longer time dimension, thereby obtaining more opportunities to grasp market rules. Identifying good coins and holding them long-term, such as BTC, has proven profitable for those who hold on long enough. Just like this wave of BNB’s market, I successfully went from having nothing to holding 36 coins, and I will continue to hold them. Additionally, I have not missed out on any opportunities for new listings and airdrops; I won’t say how much I’ve earned, but I will keep earning. Endure the loneliness, be friends with time, believe in the power of persistence, and witness the miracle of compound interest.