Playing in the coin circle is like being in an amusement park – some ride the carousel steadily, while others choose to challenge the roller coaster. It's thrilling, but when you get off, your legs are weak. Have you also experienced this?
Watching others get rich while you get stuck as soon as you enter, thinking 'if only I had known...'
Just after cutting losses, a rebound occurs, frustratingly slapping your thigh, only to chase in and get stuck again.
Learned a bunch of technical indicators, the K-line chart looks like abstract art, but in the end, it still relies on luck.
Don't rush; these are all necessary paths. Today, we won't talk about those abstract theories, just discuss how to survive in the coin circle and still make some money.
1. Mindset section: first control your hands, then talk about making money.
The most common mistake beginners make is: when they make money, they think they are awesome, but when they lose, they blame the market.
Correct posture:
When making money: remind yourself 'I'm lucky,' don't get carried away.
When losing money: first close the trading software, go out for a walk.
Feeling an itch to trade: ask yourself 'Is this position worth betting on?'
Fatal operation:
"If it drops another 5%, I'll add more" → ended up buying into bankruptcy.
"This time I can definitely recover losses" → then lost even more.
"The big shot said this coin will rise 100 times" → you are the one holding the bag.
Remember: The market specializes in dealing with disobedience; the more anxious you are to recover losses, the more it makes you doubt life.
2. Trading strategies: keep it simple; the way to make money should be simple.
Many people make trading too complicated; the core of making money boils down to three points:
Trend:
Upward trend: only go long, don't guess the top.
Downward trend: only go short, don't try to buy the bottom.
"Making money with the trend, losing money against the trend" – this is the iron rule.
Position:
"Buy on dips, sell on rebounds."
Don't chase orders during wild fluctuations; wait for the market to calm down.
Position:
"Use 10% of your funds to test the waters; if you make money, then add more."
"Don't put all your money on one coin" (unless you want to experience the thrill of going to zero).
3. Technical analysis: just focus on these points.
Don't get confused by those flashy indicators; the truly useful ones are just these few:
MACD practical mantra (must-read for beginners)
Golden cross above the zero line → Upward trend confirmed, look for buying opportunities.
Dead cross below the zero line → Downward trend confirmed, look for short opportunities.
Top divergence (new highs in price, but not in indicators) → likely to fall, hurry and run.
Bottom divergence (new lows in price, but not in indicators) → likely to rise, prepare to buy the dip.
Key K-line patterns
"Morning star" (a reversal signal after a significant drop) → can consider a long position.
"Evening star" (a reversal signal after a significant rise) → can consider a short position.
"Long upper shadow" (surging high and then falling back) → indicates a short-term peak, don't chase anymore.
4. Contract trading: high returns, but easier to face liquidation.
Playing with contracts is like racing cars – if you step on the gas too hard, you can easily flip over.
Guaranteed profit techniques (reduce the probability of liquidation).
Don't set leverage too high (10-20 times is enough; 100 times is gambling with your life).
Avoid trading during the early morning hours (poor liquidity, easy to get caught in a spike and face liquidation).
Set stop-loss (don't think 'I'll just hold on'; the market punishes disobedience).
Suicidal operations (never try this).
"I think it can still rise, just hold on a bit longer" → Resulted in liquidation.
"Others made 100 times, I want to as well" → Then it went to zero.
"The big shot called a trade, hurry to follow" → Only to find it's a hot potato.
5. 10 lessons learned the hard way, every word is the truth.
Don't believe in 'guaranteed profits' strategies – if there were truly guaranteed methods, people would have quietly made a fortune.
Don't go all in on one coin – even if you are bullish, buy in batches.
Don't go against the trend – the trend is your friend, don't oppose it.
Don't hold onto losing positions – admit you're wrong; stop-loss is your lifeline.
Don't trade frequently – transaction fees can eat away your profits.
Don't be greedy – take some profits first, set a stop-loss for the remainder.
Don't be emotional – trading is a probability game, don't get carried away.
Don't trade altcoin contracts – easy to be manipulated by big players, liquidation is non-negotiable.
Don't blindly follow trades – the big shots might be looking for a scapegoat.
Keep learning – the market changes, and strategies need to be updated.
The ultimate truth: The coin circle is a zero-sum game.
"The money you earn is the money others lose," so:
Don't expect to get rich overnight; slowly accumulating is the right path.
Observe the movements of big funds (inflow and outflow of exchange funds).
Avoid news-driven coins (many favorable news are just for unloading).
Remember: The coin circle is a game between big players and retail investors. Without insider information, it's easy to be cut down. Keep learning and manage risks to survive in the market. Remember: The coin circle is a game between big players and retail investors. Without insider information, it's easy to be cut down. Keep learning and manage risks to survive in the market.