Many people always think they can cash out in a bull market and bottom-fish in a bear market.
In fact, bull markets and bear markets are only recognized after the fact; during this process, you cannot know.
Based on your lack of knowledge, which means you have no judging conditions, the so-called cashing out in a bull market and bottom-fishing in a bear market becomes an unattainable concept.
Many people say, how could one not know? 100,000 is a bull market, and 70,000 is a bear market. Then I ask you, what about 150,000? 200,000? And then it drops to 50,000 or 60,000? What do you say then?
The actions based on cashing out in a bull market and bottom-fishing in a bear market have all been successful due to luck.
The only two actions you can truly control in the crypto circle are buying and selling, and one variable: how much to buy or sell.
Everything else is beyond your control.
From a hindsight perspective, for example today, you would think you should have sold at 100,000. But when should you bottom-fish? You don't know; when it drops to 50,000 and then to 20,000, you'd think 50-80,000 is the time to buy. But if it hasn’t dropped or risen, at that moment, you will never know.
Thus, the ideas of cashing out during a bull market and bottom-fishing in a bear market are both incorrect concepts. If the concept is wrong, the understanding is wrong; if the understanding is wrong, the behavior is wrong; if the behavior is wrong, making money becomes very difficult.
A rule in the crypto circle I want to talk about today is rapid rises and slow declines.
Bitcoin rising from 15,000 to 100,000 dollars seems like a highly emotional process, all part of an upward trend.
In fact, the real explosive growth only happens in a few days; most of the time, if you look closely, it’s all just oscillation.
After a certain period of oscillation, there will be a rapid increase. If you are not always in the car, you cannot keep up.
Just like when you are in a car, and the vehicle suddenly accelerates, how could you possibly catch up? Unless you are always in the car.
The transition from a bull market to a bear market is even harder to detect.
For example, it’s currently at 80,000 dollars. Altcoins have dropped 70%. Altcoins might continue to drop by 50%.
Why is it that when the price drops, you see it but still don’t sell? You’d rather be deeply trapped than break free.
This is because the decline in the crypto market is very slow. The specific situation might be like this: you bought for 1 million, it rose to 3 million, and finally dropped to 2.7 million. You don’t want to sell, thinking of 3 million. Then it rebounds to 2.8 million, and continues to drop to 2.5 million. You think you should sell at 2.8 million, but it goes straight down to 2 million. You simply don't sell, and then it drops to 1 million, then rises to 1.5 million, and you can only pretend not to see it. 1 million becomes 500,000, and when it rises to 700,000, you feel helpless, thinking, let it be. Throughout this process, at each rebound, you hope to return to the original price, but the market is no longer what it used to be.
Why doesn’t the market decline rapidly? This is because if the market makers sell all at once, they won't get a good price due to their large volume; they can only sell slowly, taking advantage of various positive news at each rebound. The occurrence of catastrophic market conditions is actually caused by chain reactions, and such opportunities are money-making chances. After a crash, it won't be long before there’s a rebound, and many daring individuals will take the risk to bet on emotional money. Therefore, during a decline, it’s very tormenting, especially for altcoins; if there’s a panic sell-off, you might really be scared into cutting losses, but in reality, such rapid crashes are rare; they usually oscillate, like the price being 10, and after six months suddenly becoming 1, a 90% drop. Throughout this process, it seems like something is blocking your vision, and you have no idea.
In fact, you just haven't undergone deliberate training, so your perception of the downward trend in prices is not clear. This is the fundamental reason why newcomers cannot make money in their first cycle.
In your second cycle, if you are still mixing with altcoins, you will have gained experience, and after selling altcoins a few times, you will be used to cutting losses. Once the market starts to decline abnormally, you will be very alert; for instance, if you've made ten times your investment and it drops to seven times, you will leave immediately, not lingering to think about how much more you could earn.
This cognitive process: hearing it from others a few times does not compare to experiencing it yourself. After losing money once, you feel pain the first time, numbness the second, calmness the third, and ease the fourth time. Then you have succeeded; if you've made money on any altcoin, you will not be fooled again, and you will immediately cut losses and exit.
I’ve seen many people who earn but are unwilling to sell, waiting to break even; selling coins feels as painful as selling a child. This is all due to their lack of deliberate training.
The market operates according to human nature; in fact, it’s all about human nature. People desire rapid increases, so the market will unintentionally rise quickly. People want it to drop slowly, to rebound, to return, so it drops very slowly.
However, those who see through human nature remain calm in the face of rapid increases and are alert when facing slow declines; at the first sign of trouble, they have already exited.
What remains are just the people left holding the bags, and they still hope that their next altcoin can rise again, but in fact, it's already impossible.
The market has already completed a wealth transfer through a wave of trends, and this process is quiet. Only those who have trained deliberately can feel it and profit from the bubbles.
Following the right strategies, using precise analysis and massive AI big data selection, can keep you in an unbeatable position? The market never lacks opportunities; the question is whether you can seize them. We can only earn more by following experienced and reliable people!