As an experienced trader, let me share some old rules from the industry to remind the brothers still on the journey:
1. The cryptocurrency market is a battleground between the East and West, and real significant movements occur between 21:30 Beijing time and 7:30 the next morning. Prices tend to drop during the day and generally recover at night; when prices rise during the day, they often drop back at night.
2. Look for bottom buying during the day, and don’t chase highs impulsively. A significant drop during the day is often an opportunity, with foreign traders picking up the pieces at night; when there’s a big surge during the day, hold back a bit, as it’s likely to be sold off at night.
3. A spike is a signal; the deeper the spike, the more crucial the buying and selling point. Don’t ignore the “language” on the candlestick chart.
4. Good news is often used to offload positions. Before a major conference or significant news, there may be a rise, but once the news breaks, it’s usually followed by a sell-off. This script has been seen too many times.
5. Coins that are hotly discussed in communities should often be traded in the opposite direction. The more mystical the talk, the harsher the trap; conversely, coins that everyone overlooks can often soar unexpectedly.
6. When you are heavily invested, bankruptcy is not far away. Don’t ask why; you are already on the exchange’s radar.
7. Just when you close a losing position, it plummets; just when you are about to break even, it rebounds and stops suddenly. It’s not that you can’t do it; it’s that you got off too early or are too heavily invested.
8. When you take profits, it spikes; when you are excited, a drop is already brewing. Your emotions are the indicators that the market makers refer to.
9. When you are broke and see everything rising, it’s the FOMO trap. It’s not that you missed the opportunity; the market is baiting you.
In summary: 80% of market movements are manipulated; the core of trading is not intelligence, but rather "patience + discipline + waiting for signals".
Don’t be cannon fodder; be a hunter.
