Do you remember that I spent 3 years losing money in the crypto market and 2 years making profits? Now I support my family by trading cryptocurrencies and have gained 5 precious insights. Although the content is not extensive, every word is worth its weight in gold!
1. Trade strong cryptocurrencies. If you don't know how to assess the strength of a cryptocurrency, use the 60-day moving average as a dividing line. When the price is above the 60-day line and stabilizes, you can enter the market or increase your position. Exit if it falls below the 60-day line. Strictly adhering to this applies to most assets!
2. Avoid touching coins that have risen more than 50% consecutively. If it rises a little, you won't be able to hold on and will end up worrying. In comparison, lower positions offer greater advantages and better value for money. First, risk can be controlled, and the upward momentum is stronger, increasing the chances of success.
3. Before a main upward trend forms, there will be obvious characteristics, usually a fluctuation of -10% to 20% with small candles in a shrinking volume. When the price is at a relatively low level, you can actively participate in batches, and there is a 90% chance of a market rally.
4. When a new concept or opportunity arises in the market, there is a high probability of 3-5 days of upward movement. Grasping this rule allows you to easily ride on the coattails of the main players!
5. When a bear market arrives, at least stay in cash for more than six months. When the market is poor, trade less. Knowing how to buy is what a novice does, knowing how to sell is what a master does, and knowing when to stay in cash and rest is what a true expert does!
As an investor, while pursuing high returns, it is essential to carefully assess risks and invest rationally. Follow me on my homepage; I will share valuable insights for free every day to help you navigate the crypto market without getting lost, steady as a rock!
