Don't use those flashy indicators; those who survive in the cryptocurrency market rely primarily on this method.
In this enticing and risky investment field of cryptocurrency, countless people rush in with dreams of wealth but often find themselves confused by the complex and ever-changing market. The technical indicators are dazzling, and the truth behind market news is difficult to discern; most people get lost in chasing prices and selling low, causing their capital to continuously shrink. However, there is a seemingly 'foolish' yet extremely effective way to make money that can help you establish a foothold in the cryptocurrency market, even making market makers wary.
Three don'ts: Strengthen the risk defense line.
Do not chase prices or sell low.
When the cryptocurrency price is skyrocketing, and the market is in a frenzy, with everyone shouting 'this time is different' and rushing in, it is often a dangerous signal. Entering the market at this time can likely make you the 'bag holder' standing on the mountaintop, watching your assets shrink in the biting cold. True experts who understand the ways of cryptocurrency investment know how to think in reverse. When there is a pervasive atmosphere of pessimism across the internet, and everyone is avoiding cryptocurrency and even reluctant to open trading apps, they can keenly perceive opportunities and take decisive action. Because in times of extreme market downturns, quality cryptocurrencies are often severely undervalued, and entering the market at this time can lead to significant upward potential in the future.
Do not go all in on a single cryptocurrency.
Putting all funds into a single cryptocurrency is undoubtedly a gamble. The uncertainty in the cryptocurrency market is immense; any cryptocurrency may experience significant fluctuations due to project developments, market conditions, or policy changes. Keeping 30% of cash on hand is like retaining a 'trump card' to deal with crises. When the market plummets and everyone is panicking, you can use this 30% cash to buy your favorite cryptocurrency at a very low price, achieving a bottom-buying position. Once the market rebounds, the returns can be considerable.
Do not go all in.
Opportunities in the cryptocurrency market are always abundant, but once your funds are fully invested, it is like a hunter with bound hands and feet. When new investment opportunities arise, even if you have a keen eye, you can only watch as profitable chances slip away due to a lack of available funds. Maintain a reasonable position size so you can always be in a flexible and proactive position to seize new opportunities in the ever-changing cryptocurrency market.
Six Must-Knows: Open the Door to Profit
Be cautious of high-level consolidation and low-level bottoming.
When the cryptocurrency price is consolidating at a high level, the seemingly calm market is actually filled with hidden dangers. This consolidation may be the market maker preparing for a false breakout; once investors can't resist and rush in, they may find themselves in deep trouble. During the bottoming phase at a low level, one must also be particularly cautious, as the market may suddenly experience a surprise drop. Until the direction of the market is clearly confirmed, one must control their hands and not enter trades lightly, patiently waiting for clear market signals.
Be cautious while trading during consolidation.
The consolidation phase is the most confusing and the easiest time for investors to get liquidated. The market direction is unclear, and frequent trading only increases transaction costs, making it easy to be stopped out amid back-and-forth fluctuations. Those who cannot control their trading impulses and frequently operate often suffer heavy losses during consolidation, sometimes losing all their capital. During consolidation, maintaining a wait-and-see approach and reducing trading frequency is the wisest strategy.
Follow the principle of buying on bearish candles and selling on bullish candles.
In cryptocurrency investment, reverse operations can sometimes yield unexpected results. A bearish candle often indicates a short-term market correction; buying at this time results in a relatively low cost. Conversely, a bullish candle indicates a market rise; selling when a bullish candle appears can secure profits. Especially when a seemingly frightening large bearish candle appears, do not let fear take over; analyze calmly. If the large bearish candle is due to an overall market correction and the fundamentals of the cryptocurrency remain unchanged, it is likely that the market is giving away money, presenting an excellent buying opportunity.
Grasp the rhythm of declines and rebounds.
The speed of a price drop is closely related to the subsequent strength of the rebound. When the price drops slowly, the subsequent rebound is often mild; however, when there is a waterfall-like price drop, the strength of the rebound can be astonishing. During a slow price decline, one can gradually start to accumulate positions, but once a waterfall drop occurs, one must be prepared with funds to boldly buy at the bottom and seize the profit opportunities brought about by the subsequent strong rebounds.
Use the pyramid position increase method.
The pyramid position increase method is a scientific and reasonable position increase strategy. When the cryptocurrency price is at a bottom zone, increase the position by 10% for every 10% drop. As the price decreases, the amount purchased gradually increases, which effectively lowers the overall holding cost. When the price rebounds from the bottom, a lower cost allows investors to quickly realize profits; this position increase method can even cause market makers to feel troubled by your cost control ability.
Flexibly respond to consolidation after sharp rises and falls.
When the cryptocurrency price experiences a surge and then enters a consolidation phase, one should first withdraw the principal and leave only the profits to continue trading in the market. This way, one can ensure the initial profits are secured while still having the opportunity to profit in the event of future price increases. Conversely, if the cryptocurrency price plummets followed by consolidation, do not be overly optimistic, thinking the market will reverse immediately. At this time, one should decisively cut losses and exit the position; the speed should be as quick as Bruce Lee's punches to avoid greater losses due to hesitation.
This method does not involve flashy technical indicators or seemingly profound market predictions; it is simple and direct yet contains the core wisdom of cryptocurrency investment. It helps investors achieve stable profits while protecting the principal amount.
Three months ago, a friend approached me; at that time, he had only 1000U left in his account and was on the verge of collapse, asking if I could help him.
I looked at him and simply said, 'Don't think about getting rich overnight; focus on tripling your investment first.'
After that, he followed my rhythm in trading. The first 7 days were calm, but on the 8th day, a bullish candle suddenly shot up, earning 2800U directly.
When he sent a voice message, his voice was choked with tears, and that moment really touched me.
To be honest, I’m not the kind of cryptocurrency influencer who loves to shoot Douyin videos or go live, nor will I profit from cutting retail investors.
I focus on one thing — steadily helping others double their investments.
Many people do not understand that the key to trading cryptocurrencies is not technical analysis but rather market intuition, rhythm, and execution.
Honestly, I have never believed in technical analysis; retail investors who argue with technical analysis are merely deceiving themselves.
Want to double your investment? Stop clinging to the logic of having suffered huge losses. Those who love to over-invest, chase prices, and gamble on rebounds will eventually face liquidation.
You must learn to control your position size; each trade should have rules, and take profit and stop-loss levels must be fixed. Don't engage in unrealistic fantasy trades.
You may think I'm boasting, but look at those who criticize me; are they still playing with 10x leverage and going all in on altcoins? As a result, one bearish candle wipes out everything.
In the past few days, the brothers I have been guiding, who previously lost 100K, have nearly multiplied their investment tenfold within seven days.
Every step is solid and grounded; there are no miracles, only execution power.
It doesn't matter whether you believe me; believing in profits is what determines whether you can recover your losses.
Don't get tangled up in other things; follow the routine, take steady steps, and you'll naturally see real returns.
The way of the cryptocurrency market: A single tree cannot form a boat, and a lone sail cannot travel far! Blindly going solo will never yield opportunities; feel free to communicate anytime and seize the big market movements together!
Follow me, remember, the cryptocurrency market is never short of opportunities; what it lacks is the execution power to keep up.
