The cryptocurrency world has never lacked myths of sudden wealth, but those who can sustain profits are often those who adhere to the 'dumb methods.' The trading rules shared today may seem simple and crude, but they directly target the weaknesses of the big players—master them, and you can confidently maneuver through market fluctuations!
Three 'death red lines' in cryptocurrency trading; crossing one means losing everything!
First taboo: chasing highs and cutting losses, becoming a market puppet
90% of retail investors lose money due to 'chasing highs and cutting losses.' When the market surges, they follow the crowd shouting 'the bull market is here,' and when it crashes, they panic and cut losses, ultimately becoming the targets of the big players. True experts act during market panic—when exchanges crash and friends are lamenting, that's the golden opportunity to lay out a strategy.
Second taboo: All-in single currency, gambler's suicide
Betting all your assets on a single currency is no different from gambling with your life. Remember the iron rule: Always keep 30% cash! In a bear market, this is your lifeline; in a bull market, it's a tool for bottom-fishing. Only with ammunition can you calmly pick up chips during a crash, performing the act of 'others go bankrupt while you get rich.'
Third taboo: Full investment, losing initiative
Investing fully is like tying yourself to a roller coaster, having to leave it to fate. The market changes rapidly; being in cash is not cowardice, but the wisdom of waiting for opportunities. Position management is the lifeline of trading—reasonable allocation of positions allows for flexibility in both entry and exit, ensuring you remain undefeated.
Six major 'killing techniques' for short-term trading, hitting the crucial points
Consolidation breakout law: High-level horizontal trading is a 'trap for the greedy' set by the big players, while low-level fluctuations hide 'violent shakeouts.' Before the direction becomes clear, it is more important to hold back than to make money! Act after the trend confirms, and your win rate increases by 50%!
Horizontal trading equals crisis: Data shows that 80% of liquidations occur during horizontal trading periods! Behind seemingly calm candlesticks often lies the big players' deadly hunting. The longer the horizontal trading lasts, the stronger the impact after it breaks; never become a 'picking-up buyer'!
Buy on a bearish candle, sell on a bullish candle: anti-human operations are the way to go! When a big bearish candle appears, boldly build positions in batches; after a bullish candle rises, decisively take profits and exit. By operating in the opposite direction of retail investors, you become the market winner!
Rebound law after a sharp decline: the sharper the drop, the stronger the rebound! A waterfall-style crash is not a disaster but a money-making opportunity. Set your stop-loss, prepare your funds, and get ready for the moment of 'picking up money in a sack'!
Pyramid investment method: Increase your position by 10% for every 10% drop in the bottom area! The more you average down, the lower your cost becomes, making it difficult for the big players to shake you out. When the market reverses, your profits will double directly!
Position liquidation order during a trend change: After a surge and horizontal trading? First, withdraw your principal and let the profits run; after a drop and horizontal trading? Don't hesitate, cut losses quickly! Preserving your principal is the only chance for a comeback!
This set of 'dumb methods' does not rely on complex indicators or insider information; it relies on anti-human discipline and respect for the market. Remember: In the cryptocurrency world, living long is more important than earning a lot! Strictly adhere to these iron rules, and even the shrewdest traders can only watch your account soar!
This market changes every day; you must seize the right moment to act. If you are still too confused, you can follow me, as I regularly share some cutting-edge information and practical strategies. Feel free to discuss anytime and seize the great opportunities together!