In the crypto world, those who can truly make money are often not the clever ones but those who stick to 'simple methods'. Today, I will share a simple yet extreme trading strategy; as long as you can strictly execute it, even the big players will fear you!
Three major taboos in crypto trading: break one, and you might lose three years!
Never chase highs or sell lows.
Never enter the market when the emotions are at their peak! When the screen is filled with good news and the community is in a frenzy, that is precisely when the big players are quietly unloading. Remember,the more panic in the market, the greater the potential opportunity.Calmly waiting is the best strategy.Refuse to go all-in on a single coin.
Never put all your chips on one coin. Always keep 30% cash on hand; wait for the market to crash before entering. This is the true essence of 'buying the dip when others panic', which not only diversifies risk but also seizes opportunities.Absolutely not fully invested
In the crypto world, opportunities are always more plentiful than the funds in your hands. Being fully invested means losing the space for adjustment; once the market reverses, you can only watch as you get harvested. Real experts understand the importance of position management to control risk!
Six practical short-term trading maxims: each one strikes at the heart!
Consolidation must change direction; be patient and wait for the signal.
After a long period of sideways movement, there is likely a drop; after a long period of consolidation, there is likely a rise, as per market rules. High-level sideways movement is often a false breakout to lure in more buyers, while low-level fluctuations may scare away retail investors. Never act rashly before a change in direction; confirm the direction before taking action to increase your success rate.Sideways movement is a liquidation trap; if you can't see clearly, stay out.
True liquidations often do not occur during large rises or falls, but during sideways movement with frequent wrong directional trades. If you can't see the trend clearly, it's better to stay out and observe; don't let your fingers get itchy and click randomly. Preserving your capital is more important than anything else.Buy on bearish candles, sell on bullish candles.
A large bearish candle is not the end of the world; rather, it signals an opportunity. Stay calm and enter the market during times of panic, and decisively exit when everyone else is greedy. When others are panicking, you remain rational, and you can naturally become one of the few winners.When a sharp drop accelerates, it is actually a buildup for a rebound.
Slowly declining markets can easily trap people, while fast declines are more likely to see a V-shaped recovery. When you see panic selling, instead of fleeing in a hurry, decisively 'catch the falling knife' and seize the reversal opportunity.Pyramid-style position building; steady and methodical.
In the bottom area, increase your position by 10% for every 10% drop. This method stabilizes your holding cost, reduces risk, and allows for rolling profits. It is a long-validated strategy by institutions and is worth emulating.The clearing rule for sideways movement: fast, accurate, and ruthless!
Sideways movement after a sharp rise is likely the big players unloading; at this time, you must decisively take profit and secure your gains.
Sideways movement after a sharp decline often means that the chips are loosening; you must decisively cut losses and not linger.
Take profits when they are due, cut losses when necessary; operations must be fast, accurate, and ruthless in order to take the initiative in short-term games.
The core of this strategy lies in the restraint and execution of 'anti-human nature'—be vigilant when others are greedy, stay calm when others are panicking, and use rules to combat emotions to gain a long-term foothold in the crypto world.
