Newcomers to cryptocurrency trading must understand the first point: that is to know how to set stop-loss and take-profit.
We trade cryptocurrencies for trading and speculation, not to hold them forever! When you're making money, you're thinking about making more, and when you're losing, you don't want to sell; this mindset is definitely not advisable. When the market goes against your position, you need to sell decisively.
The second point: Don't always think about buying at the lows and selling at the highs.
Because the market will always have lower points and higher points. Ordinary people cannot achieve this mechanism, so don't pursue the so-called highs and lows. What we really need to do is buy and sell in the bottom and top areas.
The third point: Volume and price must match perfectly.
For those positions that rise without volume or reach new highs without volume, we must be vigilant. It could be a signal of the main force being unable to offload and the rise being exhausted, so do not chase it; it's better to miss out than to make a mistake.
The fourth point: Reactions must be quick.
When information appears, we need to immediately identify which sectors and companies benefit from it. If you can't keep up with the first tier, then we need to act promptly; the second tier will also yield significant gains.
The fifth point: Learn to take breaks.
As the saying goes, it takes three months to hit the bottom and three days to hit the top. This means that the main upward wave of the known cryptocurrency price increase cycle lasts only a short time. Therefore, we need to learn to seize this main wave, and usually, we rest at other times.
The sixth point: The biggest good news in the market is a crash because after a crash, many greater opportunities often arise. When others are greedy, you need to learn to be fearful; when others are fearful, we should be greedy. So when the market crashes, don't be afraid; this is the time to select quality positions and build your holdings promptly.
