Cryptocurrency trading isn't actually complicated, what's truly complicated is your hand, always impulsively clicking around. Let me tell you about my simple method: only focus on one pattern, and if the market is unfavorable, I'd rather turn off my phone and walk the dog.
Here are four golden rules, remember them well:
1. When prices rise quickly but fall slowly, it means the major players are preparing a big move.
After a surge, if the price slowly retraces, it's not a rest, it's the major players secretly accumulating more assets. Don't ask why I know, it's all experience gained from being burned.
2. When prices fall quickly but rise slowly, it's basically giving you a chance to escape.
If the price is plummeting like a waterfall, but the rebound is weak like a cough, don't be fooled, this is called the "distribution phase." If you don't leave, you'll become a model bagholder.
3. Don't panic sell when there's high volume at the top; run quickly when there's low volume at the top.
High volume indicates there's still a chance; there might be one last positive candle to send you off.
But if there's no volume even at the top, and you can't even convince yourself, then don't hesitate, running is the beginning of dignity.
4. Cryptocurrency trading is about trading emotions; the market relies on consensus, not empathy.
Trading volume is a voting machine, not a lie detector. Only when everyone rushes in is there a real market; if no one cares, don't fantasize about miracles.
Ultimately, the crypto world isn't short of opportunities; it's short of the patience to wait for them.
Don't always think "this time is different." Major players don't want to perform a new play every time; they love your stubbornness.
Anyway, in one sentence: act only when you're sure; avoid ambiguous market conditions; think before you act, and figure out whether you're the hunter or the prey.
I hope we all avoid getting liquidated before dawn and wait together for the sun to rise 🌞
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