Many people have been trading in the crypto space all day, losing a lot, and end up confused. I ask: Are you a left-side trader or a right-side trader?
As a result, the other party was confused: what is left-side, what is right-side? I really feel helpless; if you can't even understand left-side and right-side and expect to make money in the crypto space, my friend, isn't that just relying on luck?
Know yourself and know your enemy, and you will never be defeated; if you know neither yourself nor your enemy, you will always be defeated. The crypto market is a battlefield; if you do not understand yourself or the market, can you really expect to get rich? Is that possible? Therefore, every crypto trader must first clarify what suits them. Today, we will start discussing left-side and right-side trading to help you find direction.
1: What are left-side trading and right-side trading?
Left-side trading: counter-trend operations. Simply put, you have to be a 'prophet', predicting that the price will reverse and acting early. For example, if BTC drops to $90,000 and you think it will rebound, decisively buy at the bottom; or if it rises to $100,000 and you think it will fall, sell in advance. This approach has high risk and high reward; succeeding once can yield significant profits and allow you to boast about your 'prophetic abilities', but it is very challenging, requiring either extraordinary patience to wait or precise predictive ability. In summary: foresight is key, guess the rise or fall in advance, and trade a step earlier.
Right-side trading:
Follow the trend: wait for the trend to be clear before entering the market. For example, when BTC rises to $90,000, breaking through resistance, and the trend is confirmed upwards, you enter; or if it breaks through key support, the trend is downwards, you sell. Right-side trading has high certainty and low difficulty, but the returns are lower because you are always half a beat behind, only able to capture profits in the middle segment, and cannot boast about how great you are. In summary: hindsight is 20/20, buy after it has risen, sell after it has fallen.
For example, the professional short-seller, the contract influencer Liangxi, is a representative of left-side trading. During market panic, as prices plummet, he might make a huge profit. Right-side trading representatives can be said to be most of the steady traders, like some technical analysts who prefer to confirm trends using moving averages and MACD before acting, moving steadily.
Below is a comparison chart of left-side and right-side trading in crypto, clear and straightforward:
2. Should you use left-side or right-side trading for crypto?
After reading the above, someone will surely ask: so should I choose left-side or right-side? There is no absolute good or bad here, only what suits you.
Left-side trading is more suitable for two types of people:
1. True big players have strong predictive abilities and can accurately capture price reversal points;
Secondly, there are pure newcomers who think they are great, daring to buy at the bottom without understanding anything, resulting in either huge profits or total losses.
Right-side trading is more suitable for most people; it has lower risk, higher win rates, and although the returns are not as exaggerated, at least you won't suffer too badly.
I personally use right-side trading most of the time in the crypto space. Why? Because it's simple, has a high win rate, and is easier to make money. Although it might be half a beat slow, the returns are a bit less, but it's reliable! Especially in trending markets, right-side trading works particularly well; for example, when BTC continues to rise, following the trend, you can steadily capture profits.
Left-side trading is more suitable for genuine value investors. For example, if you believe in a project that is undervalued, and the price drops to the floor price, you gradually build your position, buying more as it falls, waiting for the market to warm up for a big profit. Some institutional investors or large players often use left-side trading because they need to accumulate shares and cannot chase high prices, otherwise buying would push the price up, leading to high costs.
But I have to complain a bit; many people completely get it wrong when trading crypto: they chase high prices when the price is skyrocketing, but are hesitant to buy when it falls. This is not left-side trading at all; it's purely chasing highs and selling lows, and they deserve to lose money!
3. How to use right-side trading in crypto? My experience sharing
Since I am used to right-side trading, let's focus on how to effectively utilize right-side trading in crypto trading:
Avoid choppy markets: the biggest pitfall of right-side trading is a volatile market. If the price breaks through today and you buy, but falls back tomorrow, you stop loss; after a few days, it breaks through again, you buy again, and it drops back… Choppy markets are a nightmare for right-side traders. So I only choose strong coins, and I will only act when the trend is clear; I directly pass on volatile ones.
Act decisively: once the trend is confirmed, for example, if the price breaks through key resistance, and I am optimistic, I immediately enter the market, even if the price has already risen significantly. Don’t wait for a pullback because waiting for a pullback often leads to missed opportunities. The crypto market changes rapidly, and being slow could mean missing out on big gains.
Don't pursue maximum returns: right-side trading can only capture the body of the fish; the head and tail are not yours. Don't think about buying at the bottom and selling at the top; that's not how right-side trading works. Being able to capture profits in the middle segment is sufficient; the key is to steadily secure your gains.
Before trading crypto, first clarify whether you are suited for left-side or right-side trading.
In the crypto space, left-side trading suits those with strong predictive abilities, large capital, and the ability to decisively stop losses, such as big players and institutions; right-side trading is more suitable for ordinary people, with low risk, high win rates, and a steady approach can also earn money.
The crypto market is full of uncertainty and challenges, but it also contains potential opportunities. Investors should fully understand the associated risks when participating in crypto investments, remain calm and rational, and respond to market changes with a solid strategy!
