Cryptocurrency Blacklist for Chinese Projects
DeFi Mining: It was booming in 2021, but now it's cooling down. The essence is exchanging your real money for worthless coins; high annual returns can't offset the plummeting coin prices (impermanent loss). For example, CAKE, entered at 15U, cut losses at 7U, now at 1.7U, the Telegram group has turned into a "family group." There is no easy money in the crypto world unless your cost is negative.
Signal Providers: 90% are counter-indicators. Having followed ZG (a notorious counter-indicator), I ended up making a profit by doing the opposite. Some well-known figures are ambiguous, hard-pushing that "BTC will drop to 11111," leaving others stranded. Free signal services are even worse, with frequent trades + stop-losses, all the lost money goes into the pockets of the signal providers and exchanges.
Technical Analysis: Elliott Wave Theory, Harmonics, Morphology… all are after-the-fact analysis. What is truly useful is order flow and liquidation distribution. Nowadays, short-term trading has been ruined by quant strategies, with false breakouts everywhere; using traditional methods means going hungry for three days.
Domestic Projects: CFX, EOS, FIL, BTT, ICP… all are traps. If the team is based in China, stay away (like Multichain's collapse, where 1.8 billion dollars were frozen).
Ways to Make Money are Few
Spot Trading: Only buy BTC/ETH, buy when RSI < 30, sell when > 70.
Dual-Currency Financial Products: Sell PUT options to buy spot at a low price, and also earn premiums (options roulette strategy).
Altcoins: Buy new ones and avoid old ones; blacklisting those that have been speculated.
In the cryptocurrency world, making money is always a minority, don’t be fooled by high returns; protecting your principal is the most important thing.
