Seven Stages of Survival in the Crypto World: The Transformation Journey from Retail Investor to Master 🔥🔥🔥
Stage One: Retail Investor Protection Period In a bull market, following the trend leads to easy profits, but the wealth effect can cloud judgment, leading to continuous leveraging and going all in. Ultimately, they get trapped at the peak, turning from unrealized gains to losses, and are forced into 'value investing'.
Stage Two: Technical Exploration Period After suffering losses from holding onto positions, one begins to study technical analysis, able to seize short-term trends for quick gains. However, frequent trading often results in missing out on major uptrends, limiting profits.
Stage Three: Bottom Fishing Trap Period Deep learning of bottom fishing and top-timing techniques occurs, but entry points are often in downtrends, leading to buying lower and lower, ultimately cutting losses before dawn, realizing the limitations of technical analysis.
Stage Four: Black Swan Impact Mastery of asset selection methods is gained, yet there is a lack of capital management awareness. A single black swan event (such as the LUNA crash) can lead to total loss, resulting in a collapsed mindset.
Stage Five: Conservative Observation Period The fear of cryptocurrencies grows, leading to skepticism towards news, and an independent study of fundamentals and market sentiment begins. Risk management and waiting with cash positions are learned, avoiding blind trading.
Stage Six: Reconciliation with the Market Shedding Arrogance One learns to respect the market, no longer chasing quick riches but accepting 'making money within one’s knowledge'. Finding contentment leads to a calmer mindset.
Stage Seven: Mastery Level Able to accurately identify turning points in market sentiment, being greedy in fear and calm in frenzy. No longer chasing single massive profits, but accumulating wealth by continuously capturing 3-5x opportunities. Understanding that life is greater than speculation, leaving the market at the right time leads to success in the long run.
Ultimate Principle: The essence of survival in the crypto world is a long-term game against human weaknesses. From greed to fear, from arrogance to humility, each transformation is an awakening of understanding. Ultimately, you will find that true financial freedom is not about conquering the market, but conquering oneself. 🌹🌹
If someone is confused by market fluctuations and doesn't know how to deal with being trapped, or feels misled during trading, feel free to reach out for discussion!
