Trading cryptocurrencies is like life, with alternating bull and bear markets being a test of fate.
In a bull market, people's hearts are like fire, chasing up and down, with visions of sudden wealth everywhere, always thinking of entering today and doubling tomorrow. Greed blinds their eyes, wishing to pack all the world's wealth into their accounts, calculating K-lines even while sleeping.
With the bear market approaching, it feels like a frigid ice stab, fear weighs heavily, and hands tremble when cutting losses, fearing that being late will lead to total loss. The panic is hard to hide, asking everyone where the bottom is, forgetting that the market has always stood opposite to the masses.
Rushing to buy the bottom and escape to the top is actually the shadow of desire, wanting to quickly enter and exit, profiting from the windfall. But the market has its rhythm, which we cannot control. Rapid rises and falls are just illusions; true winners are hidden in calmness.
So, don’t let the bull and bear markets confuse your mind. The more fervent, the calmer you should be; the deeper the trough, the more patient you should be. When you stop staring at the minute chart gasping for breath, and don’t rush to chase highs and sell lows, you can see the big trend and grasp the true opportunities. When the mind is settled, wealth can be stable; when you are not in a hurry, investments can win.
A fan privately messaged me: 'How to find hundredfold coins in a bull market? What are the patterns of hundredfold coins?'
1. Fundamentals are solid, belonging to hot sectors, preferably leading sectors. The fundamentals include sector attribution, K-line trends, token models, paper data, etc., all of which can be directly found on mytoken.
2. The project must have a good narrative ability, meaning the scenarios depicted in its white paper are sufficient; it should focus on solving relatively important issues in blockchain applications. For example, the engine of the last bull market, the DeFi sector, includes lending protocols, smart contracts, liquidity mining, etc., all of which created significant value capture on-chain, while new issues emerged during the application implementation process.
3. The market cap of a hundredfold coin is best below 100 million USD. Of course, the 'below 100 million USD' mentioned here specifically refers to a total market cap below 100 million USD, but not too much lower; ideally, it should be between 60-70 million and 100 million USD. This class basically excludes most scam projects and targets those truly focused on solving practical application issues in the blockchain world.
4. Such projects are best newly launched between October 2022 and 2023. Established projects generally performed well in the last bull market, but also faced significant selling pressure. Bringing an old project back to a hundredfold pressure is quite challenging for project teams, unless significant favorable news emerges during the process of solving blockchain problems. Generally speaking, from the project team's perspective, they would not raise the market cap of a relatively mature project to a hundredfold again; the cost of that is much higher than building a new project and raising it to a hundredfold.
5. It is best if there is investment from well-known large institutions; this actually facilitates our filtering process. Generally speaking, large institutions' investment insights are likely to be sound. When they conduct specific research on a project, their investment research reports are usually more precise and detailed than ours, and they are among the first investors to contact the project team, giving them more access to understand the project's essence.
6. The distance from the institution's cost price should ideally not exceed five times. Generally speaking, institutions invest in a project during the financing stage, commonly known as seed round, A round, and B round financing. Some institutions, due to their positive outlook on the project, may also buy heavily on exchanges, leading to a noticeable increase in trading volume at the bottom, signaling a clear inflow of funds.
7. There must be a strong moat, with no fierce competitors. What needs to be audited here is the overall content, such as the project's operators, capital side, and management side, while also considering the project's starting point. The project must possess corresponding uniqueness, as there are few project types in the market that solve similar problems.
8. The project's circulation rate should ideally be above 30%, which is very easy to understand. If the circulation rate is below 30%, then in the next 1-2 years, it is very likely to face a massive selling problem, commonly referred to as 'heavy load can't be pulled'.
9. Daily and weekly level bottoms have been stagnant for a long time. After a long period of low volume, a significant surge in volume usually indicates that the project is valued by investors and undergoing substantial positioning. New projects do not have this requirement.
The 100x potential cryptocurrencies to watch in the 2025 bull market!
In the dramatic fluctuations of the 2025 crypto market, investors face a crucial choice: how to capture the next hundredfold return target in an ecosystem of both risks and opportunities?
Historical experience shows that during each bull market, the resonance of three key factors: technological innovation, ecological explosion, and liquidity cycles often gives rise to epic investment opportunities.
I have filtered out the following investment directions, combining historical fractals with future potential, to construct a framework with the possibility of a hundredfold return.
1. BTC, for years BTC has been the 'game for the common people'. Discussions about Bitcoin as a strategic reserve have changed its destiny. It has turned into the 'king's game'. The price of BTC will rise until owning 1 BTC becomes a dream for most people.
2. Virtuals Protocol (VIRTUAL): The core infrastructure for AI agents on Base.
3. Ethena (ENA), TradFi knows more about yield than any carbon-based life form on Earth. As TradFi enters the cryptocurrency space, they will covet protocols that could generate greater yields.
4. Tokenbot (CLANKER), a decentralized social network version of Farcaster's pump.fun, a very interesting token issuance platform.
5. AIXBT, if I could only follow one crypto alpha account on X, it would probably be AIXBT. Nowadays, it mostly mirrors others' narratives, but it doesn't miss any content, and I hope AIXBT's insights will deepen and evolve over time.
6. Cookie DAO (COOKIE), Cookie.fun is a data analysis platform that emerged alongside the AI Agent boom, providing data and sentiment analysis for all AI tokens. I believe this will attract interest for the crypto fund being deployed in Q1 2025.
7. Helium (HNT), a leading DePin project in the crypto industry. In the past day, over 349,000 people have used mobile phone services in the United States.
8. Meta (META), a radical experiment that transforms difficult decisions into markets through futarchy.
9. Goatseus Maximus (GOAT), the first and original AI agent to gain a fervent fan base on social media, supported by Truth Terminal. The backstory of the agent reads like a report written by Hunter S. Thompson after a drug binge.
10. Ondo Finance (ONDO), currently a representative project in the RWA field. Oversupply may suppress price trends, but I prefer to participate in trading rather than exit. Additionally, another RWA token worth watching is Chex Token (CHEX).
11. ai16z and Eliza. The Eliza framework used to launch on-chain agents is a leading repo on GitHub, covering all industries (not just cryptocurrency), and is digging deeper into the long-term correlations of every branch.
12. Bittensor (TAO), Bittensor claims to be the first 'Neural Internet', providing a connected center for decentralized AI projects to deploy code and compete for TAO. In some respects, I see it as a decentralized AI incubator and a testing ground for the feasibility of AI concepts.
13. WZRD (Bitcoin Wizards Ordinals) and PUPS (Pups), one of my favorite Bitcoin ecosystem tokens, WZRD will soon transform into one of the greatest memes in history. Meanwhile, PUPS is the Shearing point of the famous NFT puppet monkey in the BTC ecosystem.
14. Aave (AAVE), if we assume that one day everything will be tokenized, then most assets will qualify to be used as collateral on Aave's platform. AAVE is one of the few tokens in the cryptocurrency space that I believe will eventually reach a trillion-dollar scale.
15. Arweave (AR), as a permanent data storage layer for Web 4, is quietly advancing. Including most Solana NFTs, Arweave permanently stores around 6TB of data monthly, and its upcoming AO should be an important catalyst for further growth.
16. Zerebro (ZEREBRO), an OG 'on-chain AI artist' capable of generating music, art, memes, and NFTs.
17. Worldcoin (WLD). Founded by Sam Altman of OpenAI, it aims to introduce 'AI-funded UBI' to the world. On one hand, I hate it and its iris scanner, but on the other hand, I can't ignore its connection with Altman and OpenAI, and its integration with OpenAI could make it one of the top ten currencies overnight.
18. Drift Protocol (DRIFT), on-chain perps and prediction markets on Solana. Solana has performed well in spot memecoin trading, and I expect it will also begin to generate a large volume of perp trades over time.
19. Griffain (GRIFFAIN) and AI Rig Complex (arc), competing for the title of 'Virtuals of Solana'.
The following will select some leading tokens from most sectors and tracks in the crypto space. The selected options may have some minor controversies, so I try to provide alternatives that also have relative competitiveness in the field.
No matter how you choose, there will be controversies, so why not temporarily set aside the disputes and focus more on references? I hope it can help everyone's investments.
Summarizing hot and strong tracks (where there is heat, there is hot money)
1. SOLANA track
JTO: Low market cap potential in the SOL ecosystem
WIF: A new darling of SOL, with limitless potential!
RAY: The rising star of SOL, not to be missed!
PYTH: An oracle, comparable to LINK
JUP: A decentralized exchange in the SOL ecosystem, with trading volume comparable to UNI.
2. BRC20 track
ORDI: Without it, the whole ecosystem is missing.
SATS: Potential
RATS: High consensus
3. MEME track
PEPE: The new darling of the MEME world, gaining momentum!
SHIB: The legend of MEME, maintaining its popularity!
BOME: A new force in MEME, gaining momentum!
BONK: The meme leader in the SOL ecosystem
WIF: A miracle leader
4. The AI artificial intelligence track
AGIX: A leader in AI, with a promising future!
FET: An AI dark horse with broad prospects!
WLD: A new force in AI, worthy of attention!
ARKM: Ultraman investment, with a lower market cap
5. RWA race
ONDO: A leader in the RWA field, the preferred investment!
POLYX: A new star in RWA, not to be underestimated!
TRN: A popular project in RWA, with unlimited potential!
RIO0: An RWA dark horse, with a promising future!
Today I want to talk about inside bars. The inside bar is one of my favorite patterns to trade, especially suitable for daily chart trading.
This is because the inside bar pattern indicates that the market is in a state of indecision. Based on the price fluctuations before and after, the inside bar can provide clues about the market's potential direction.
What is an inside bar?
The inside bar pattern consists of a preceding mother bar and a subsequent inside bar. Sometimes it can also exhibit a mother bar with multiple inside bars.
A standard inside bar pattern looks like this:
Its characteristic is that the inside bar is almost completely engulfed by the preceding mother bar, with its high and low not exceeding the mother bar's high and low. Of course, in actual markets, such a standard pattern does not always appear; there will be some variations.
Four variations of the standard inside bar
1. Double/multiple inside bars
Double inside bars refer to a mother bar followed closely by two inside bars, which is quite common. Sometimes you may even see three, four, or more inside bars following. This pattern indicates that the market's current indecisive state will continue.
2. Winding inside bar
A winding inside bar refers to a mother bar followed by two or more inside bars continuously winding up, where the later inside bars are always within the range of the previous ones. Many times this indicates that the market may be brewing a significant change.
3. False patterns - inside bar false breakout
This refers to a false breakout after an inside bar pattern, where the price changes in one direction before quickly reversing, trapping some people.
4. Combined inside bar & pin bar pattern
We previously discussed that the pin bar is one of the most suitable price patterns for trading; if the pin bar is also an inside bar, then it is what we call a combined pattern, which can more clearly indicate upcoming market changes and is usually a very important price trend signal.
How to trade inside bar patterns?
When trading inside bars, we have two main approaches: one is as a signal for market continuation, and the other is as a signal for market reversal. I prefer using them as continuation signals in trending markets, as this approach is easier to trade. However, inside bars at key support and resistance levels are also very strong reversal signals.
5. Inside bar as a signal for market continuation
Since it is in a trending market, the market is already in a favorable state for you. Inside bars often lead to breakouts or continued trends with the current direction, providing many good opportunities to add investments and help you make significant profits.
Tip: Avoid trading inside bars at key price levels, as inside bars at critical levels in a trending market can easily produce false breakouts.
6. Inside bar as a signal for market reversal
Sometimes the inside bar is a reversal signal, indicating that the price is hesitating at a certain level and then begins to pull back in another direction.
The following is an example of a reversal signal. Notice the inside bar formed at a key price level, indicating the market's hesitation about continuing to rise. When the price breaks below the lowest price of the mother bar in the inside bar pattern, the market begins to form a strong downward trend:
7. Inside bar trading suggestions
When trading inside bars, I have some additional suggestions based on my years of trading experience, which I believe can bring benefits to everyone trading inside bar patterns:
1. Winding inside bar patterns usually indicate a significant price breakout, as the market accumulates energy while winding, leading to a strong breakout.
2. When the inside bar pattern is smaller, it is suitable to tighten stop-loss ranges and have a larger risk-reward ratio.
3. Be cautious of those larger mother bars and inside bars; they are difficult to trade because many false signals can occur, making risk management challenging.
4. My two favorite patterns are: false inside bar patterns and combined inside bar & pin bar patterns.
5. We must learn how to filter inside bars because they can form in any time frame. We need appropriate practice and accumulated experience to distinguish them.
There is a saying I strongly agree with: the boundary of knowledge determines the boundary of wealth; a person can only earn wealth within the boundary of their knowledge.
When trading cryptocurrencies, maintain a good mindset. Don’t let blood pressure spike during a downturn, and don’t get overconfident during a surge; securing profits is crucial.
For those with few resources, being grounded is the unshakeable way to survive, good luck!
