Summary of 10 experiences in cryptocurrency trading over the past few years for your reference. If you lose money, come to me.

Coins protected by market makers:

When the market crashes and your coins don’t drop, there’s a high probability that market makers are protecting them. These coins either have solid fundamentals or potential good news, so hold on tight for greater profit potential later.

Beginner’s guide to moving averages:

Beginners should pay more attention to macro information when buying and selling. For short-term trades, look at the 5-day moving average: hold as long as it stays above, and exit if it breaks below. For medium-term trades, focus on the 20-day moving average and apply similar strategies. Stick to a simple moving average strategy and act decisively.

Short-term adjustment strategy:

If a coin bought for short-term investment doesn’t move for three days, switch it out immediately. If the price drops right after buying and you incur a 5% loss, cut your losses decisively. Efficiently utilize your capital to avoid further losses.

Timing for rebounds after sharp declines:

If a coin has been halved from a high position and has fallen for nine consecutive days, it may have nowhere left to drop, and a rebound is imminent. Act decisively to buy and catch the rebound.

Investment logic for leading coins:

When entering the cryptocurrency market, chase leading coins, which have strong upward momentum and resilience against declines. Don’t hesitate because of high prices or significant drops; buy once an upward trend is established and sell upon reversal.

Balancing bottom-fishing and trends:

Don’t be fixated on bottom-fishing; coins that are falling may have no bottom. Investments should follow trends, accurately grasping entry timing. Entering during an upward trend significantly increases the probability of profit.

Building a trading strategy:

In the cryptocurrency market, don’t get complacent after a single profit; sustaining profits is challenging. After each profit, review whether the strategy was effective or just luck, and build a strategy that suits you.

Using a cash position strategy:

When uncertain about the market, hold cash; safety of capital is paramount. Entering the cryptocurrency market should be for stable asset appreciation, not for gambling-style investments. Trading is about success rates and risk-reward ratios.

Key points for investing in new coins:

New coins often see price increases due to positive market sentiment and influx of capital; however, they may lack fundamental support. Changes in market sentiment and capital withdrawal can lead to price crashes, so investment requires careful evaluation.

Consensus and wealth in the cryptocurrency market:

Digital currencies develop through consensus mechanisms, where participants earn wealth through belief and effort, showcasing the power of consensus in the cryptocurrency market and its wealth-creating potential.

If anyone is confused due to market fluctuations and unsure how to deal with being trapped, or feels misled during operations, remember to keep learning.