1. Several tokens of Binance Alpha have crashed; I don't know if it was the market maker or the project party that directly pulled the pool and dumped the price.
They harvested money in three ways: one from retail investors adding to LP pools, one from retail traders boosting trading volume, and one from holders of these tokens. Daily trading volumes in the tens of billions are mainly contributed by these first few tokens.
Oh, I almost forgot, the market makers definitely opened contracts at high positions; they also made a lot of money from the contracts, and the ones who lost were the ones who went long.
The project party was enjoying the fees quite a bit, so why the sudden withdrawal? My answer is simple: because alpha points have been tokenized, many people are ready to give up on farming, and without them, they won't earn the fees, so they have no choice but to execute a big harvest to take wealth home for a prosperous year.
Have you ever thought about why they make money so easily? Because they are at the core of information, having an information advantage.
As a mere retail investor with no advantages, to dare to talk about making money by trading coins and harvesting others is simply a daydream.
Previously there was ACT, and then there is ZKJ; such absurd occurrences had never happened in past bull markets. There is only one explanation: the project party found that they couldn't profit from pumping the price or holding; they could only sell.
Retail investors and market makers are natural enemies. The only time they stand together is during the last bubble phase of a bull market because by then, the market makers have already made a fortune, and you can make a little; it’s up to you.
Therefore, if you are still fixated on trading coins, do not believe any information; it might be false, and the fundamentals might also be false. Just look at sentiment and market emotions; that’s all you need to do, as only emotions are real.
The only way for you to make money trading coins is through market sentiment.
Do not attempt to deduce the underlying information through token prices; this move is like trying to find the trunk of a tree by extending from its leaves. However, by going out through the trunk, you can find countless different leaves.
2. In this round, only BTC can rise. Do you think the project parties don’t want to pump? The only reason is that they can’t make money by pumping now; they have no way to pump because no one buys. If Bitcoin rises, don’t they also try to pump? But no one buys. If there was money to be made, market makers would never hesitate to pump; they could push it higher, wouldn’t they sell for more? They have long realized that their tokens are not bought by many.
Don’t fall for conspiracy theories about changing market makers or no interest rate cuts; that’s black box information, which is meaningless for us to make money.
Everyone knows that interest rate cuts can lead to increases; so how does it rise?
Trading coins should be about avoiding crowded places and not engaging in long-term benefits that come with high risks. You should avoid places where many people play; long-term interests are often accompanied by high risks.
A person trading coins who is both fearful and greedy will be in great danger, and most people are just like that, expecting various strategies and methods from different experts to help them succeed. This is also a form of greed; they can only lose their capital.
Why don’t large institutions trade altcoins? Because they have more profitable options; they would rather buy companies like MicroStrategy than various coins. As long as BTC doesn’t drop, it is a steady increase, very comfortable. If Bitcoin skyrockets, it will also rise even more, often more than BTC.
The stablecoin company's price surged right at the opening, being the only stablecoin target in the entire market, it's definitely worth trading.
A few days ago, a listed company appeared that bought ETH, and today I saw another listed company that bought SOL. You might think their goal is to accumulate coins to build the crypto world, but in reality, they had already bought stocks to trade. They just want to replicate MicroStrategy’s model; first, they earn a profit on stocks, and second, the company might revive. After all, some have succeeded. In the future, there may be more and more listed companies buying coins.
3. Yesterday someone said they had used their cold wallet many times and it was very safe, no issues. Why use it once?
If you use it once and go online, it becomes a hot wallet, and then it is no longer a cold wallet. Going online does not mean it’s unsafe, but it does mean there’s a possibility of leakage. Suppose your coins are worth 100 million; then the cost of changing wallets is almost zero, but even if there’s a 0.00001% chance of asset loss, you should be cautious.
This somewhat tedious task is rarely done by people.
Therefore, a cold wallet should be made using a phone or computer that is not connected to the internet and not used for anything else; it should never go online. This is the truly highest level of security cold wallet because currently, no one can brute-force crack a private key.
Most people's coins were stolen, got multi-signed, or whatever, all because they were used online, exposing their private keys or authorizing contracts.
Therefore, wallets should be separated: the coins should not touch the internet, while hot wallets can be used for activities like DeFi. A portion can also be stored in hardware wallets.