Spot Investment in the Cryptocurrency Market: Key Points for Steady Profit

Core Opinion: Long-term focus on spot investment, combined with value recognition and discipline, is a more stable profit path for ordinary people in the cryptocurrency market (but it is by no means risk-free).

🔑 Key Points

Significant Advantages of Spot (VS Futures):

Low Risk: No risk of leveraged liquidation, unrealized losses ≠ realized losses, high margin for error.

Long Cycle: Aligns with market cycles, no need for precise judgment of short-term fluctuations.

Low Pressure: No need to monitor the market 24/7, more stable mindset, more relaxed life.

Cognitive Match: More suitable for investors with larger volumes, not seeking to “get rich quick,” and those with a stable fundamental base off-market.

High-Risk Roots of Futures:

High Leverage: Accelerates profits, but also accelerates demise.

Short Cycle + High Costs: Forces short-term decisions, high transaction/financing rates erode profits, very low margin for error.

Massive Psychological Pressure: Seriously affects sleep and quality of life,容易导致情绪化操作.

Core Profit Laws:

Don't Invest Without Understanding! (Most Important):

Deeply research the asset (such as Ethereum), understand its core value and logic.

Refuse to buy in just because “others say it’s good.”

Lack of understanding is the main cause of panic, cutting losses, and losses.

Patiently Wait for Good Prices:

No matter how good the asset, buying at a high (FOMO) carries enormous risk.

Buy when “on sale”: Wait for market corrections or panic-induced drops for opportunities.

If there’s no opportunity, wait or look for the next one: Excellent investors are like hunters, patiently waiting for the best moment, not acting blindly.