Share a few practical tips for retail investors' short-term trading, all are summaries of pitfalls experienced in reality:
Don't panic during high-level sideways trading; it may still rise. Be cautious during low-level stagnation; it may fall further.
Don't rush to make judgments during consolidation; wait until the trend reveals itself before taking action to avoid unnecessary losses.
Don't fumble around during sideways trading.
Most people lose money because they can't stand the silence; the quieter it is, the more you should keep your cool. Random operations are worse than no operations at all.
A bearish candle might be an opportunity; don't rush to chase a bullish candle.
A daily close with a bearish candle isn't necessarily bad; it could be at a point ready for a rebound. If it has risen for several days and shows a bullish candle, be cautious of a pullback; don't follow the crowd to buy.
Slow declines lead to slow rebounds; sharp declines may lead to quick rebounds.
The rhythm of a downturn reflects market sentiment. After a sharp drop, don't rush to cut losses; wait for a rebound to reassess, but be cautious during gradual declines, as it may lead to a bottomless slide.
Don't go all in when buying cryptocurrencies; adding positions in batches is more stable.
If you want to play long-term, don't put it all on the line at once. Buy a little whenever it drops, like a pyramid, buying more as it falls, which averages out the cost and allows you to withstand volatility.
After rises and falls, there will be sideways trading; after sideways trading, there will be a change in trend.
After rising or falling, don't rush to buy or sell; observe during the sideways period. If it begins to drop from a high level after sideways trading, cut losses when necessary; as long as you have the core assets, you won't fear running out of resources.
Short-term trading is like walking a tightrope; the most important thing is to be 'steady' — don’t be greedy chasing highs, don’t rush to catch lows, and earn money that you can understand. The cryptocurrency market is highly volatile; for us retail investors, seeking stability is better than anything else.