Revealing the truths of the crypto space! I believe everyone has heard of: 'A day in the crypto world equals ten years in the human world. Ten years of hard work can lead to nothing, while one year in crypto can make you wealthy!'
But is that really the case?
In recent years, the opportunities for getting rich in the crypto space are more than in traditional industries, but the hidden risks are equally enormous! Many people blindly follow trends because they see friends making money. However, the low entry barrier leads more people to hold onto fantasies of 'getting rich overnight', neglecting the importance of risk and understanding.
As a veteran player who has struggled in the crypto space for many years, I've summarized some secrets unknown to newcomers, hoping this article can help everyone see the reality, avoid detours, and participate rationally. Let's take a look together!
The Top Ten Truths of the Crypto Space
Truth 1: You think a certain altcoin has the potential to rise 100 times, but the reality is that 99.99% of altcoins will eventually go to zero.
Insight: Conduct thorough research and choose projects with value and ecological support; don’t blindly chase high prices.
Truth 2: When a project is heavily promoted as a 'money-making opportunity', it is likely already the time for the market makers to cash out.
Insight: Learn to think backwards, not be swayed by market sentiment, take profits in a timely manner, and avoid becoming a bag holder.
Truth 3: When retail investors are generally panicking and believe the market is about to crash, it is often a signal that a bull market is about to begin.
Insight: Market panic is a tactic used by market makers to accumulate at low prices; learn to identify bottom opportunities.
Truth 4: When you become increasingly certain about a coin’s upward trend and are ready to go all in, it’s often when the market makers are selling off.
Insight: Stay rational, don’t blindly overinvest, and learn to buy in batches and take profits.
Truth 5: You might think the win rate of contracts is 50%, but in fact, less than 10% can actually make money.
Insight: Contract trading requires extremely high position management, mindset management, and execution ability; do not be greedy and blindly leverage.
Truth 6: Most people see market makers as enemies, but the real experts learn to dance with them and follow their lead.
Insight: Being on the right team is more important than individual effort; go with the flow to gain greater profits.
Truth 7: Many people think making money in the crypto space is easy, but less than 10% can actually earn money.
Insight: The crypto space also follows the 80/20 rule, or even the 90/10 rule. Respect the market, align knowledge and action, and you can stand undefeated.
Truth 8: Don’t underestimate KOLs (Key Opinion Leaders); the expertise and market analysis they provide can help you avoid detours.
Insight: In the age of paid knowledge, be clear about whether you have received equivalent value. Ability always leads in making money.
Truth 9: The rise in coin prices, besides ecosystem implementation and value support, is more importantly about market 'consensus' and 'greed'.
Insight: Supply and demand determine price; market belief and sentiment have a huge impact on coin prices.
Truth 10: If you want to get rich in the crypto space, you need to possess the following points:
Luck - Finding truly promising targets;
Cognition - Being able to hold onto coins without being scared off by market fluctuations;
Taking profits - Knowing when to secure profits and take what’s good;
Long-termism - Persisting in long-term investments, not chasing short-term profits;
Cash flow - Continuously earning income and investing steadily in the market.
Insight: Making money in the crypto space is not easy; besides seizing opportunities, you also need luck, patience, and the right execution.
Only veteran investors understand:
1. Most DeFi projects are unsustainable Ponzi schemes, and those who excel in this area simply treat it as a money-making game.
2. A completely decentralized future is impossible; the current decentralization only serves centralization.
3. Zhao Changpeng has done a lot for this field but hasn't received the recognition he deserves.
4. 95% of participants in the crypto space have never read the project's white paper.
5. 90% of participants in the crypto space cannot explain how blockchain and decentralization work; they only care about money.
6. Most angel investors are parasites.
7. We are still in a very early stage.
8. It is always easier to bet against than to bet for.
9. Bitcoin maximalists and Ethereum maximalists both feel narrow-minded and shortsighted.
10. The convenience of seed round financing has permanently changed crypto Twitter; this community will never be the same. Veteran crypto players are now venture capitalists, and you need to get used to this.
11. The convenience of seed round financing will make people more susceptible than in the secondary market, which will be the ultimate driving force of the multi-year bear market.
12. Your favorite podcast, streaming, or space hosts start their podcasts, streams, or spaces just to enhance their value props and gain access to more seed round funding.
13. In the crypto field, most 'respected' venture capitalists only introduce their seed round funding on Twitter.
14. The line between influencers in the crypto space and venture capitalists has become indistinguishable.
15. People often complain about large foundations, but without them funding so many projects when no one else would, we wouldn't have seen the massive explosion of the cryptocurrency ecosystem in recent years, allowing so many people to make money. They may indeed sell off their tokens, but the savvy ones will profit from it.
16. Making money in the crypto space is not easy; if you think earning money is as simple as breathing, it may be time to take some profits, indicating that you have found a way to make money through your own experience, but this is very difficult to achieve.
The Top Ten Secrets of the Crypto Space
1. You think the success rate of trading contracts is 50%, but in reality, less than 10% actually make money.
2. When you hear something is very profitable, it's basically time to exit.
3. When you think the market is done for and everything is going to zero, a bull market is often just around the corner.
4. When you become increasingly certain that a coin is going to skyrocket, it is often when the market makers are taking profits.
5. You think making money in the crypto space is easy, but in fact, losing money is even easier.
6. You think KOLs make a lot of money, but in reality, KOLs who don't exploit others, deceive, or issue tokens may earn less than you.
7. You think meme coins have a chance to rise 100 times, but in reality, the zeroing rate for meme coins is 99.99%.
8. You think market makers are your enemies that you need to defeat, but in reality, market makers are our support; we need to hold onto them tightly to benefit.
9. You think the crypto space should value investment, but in reality, all coins have no value; what creates value is human greed.
10. You think getting rich in the crypto space relies on hard work, but in reality, it is entirely based on luck.
This is the revelation of truths in the crypto space shared by Fagen: 16 major truths you must know! The detailed introduction of the top ten secrets of the crypto space is hoped to be appreciated by everyone!
A prudent type of blogger, certified by Jinse Finance, focusing on spot contracts, with spot trading as a supplement and contracts as the main focus.
