The following ten valuable tips for trading cryptocurrencies summarized by Su Ke (must read, must save)
1. If your capital is not very large, for example, within 200,000, catching two or three main rising waves in one bull market is enough. Never be fully invested all the time. Be brave to have cash on hand and use the rolled-over funds to bet on the next main rising wave when a pullback opportunity arises.
2. A person can never earn wealth beyond their understanding. First, practice on a simulated trading account to develop your true mindset and courage. You can fail an unlimited number of times in a simulated account, but a single failure in real trading may cost you everything and could even drive you away from the market.
3. When encountering significant positive news, if you don't sell on the same day, remember to sell on the high opening the next day. Positive news often turns into negative news when realized.
4. When facing major holidays, reduce positions or even go to cash a week in advance. Historically, prices tend to drop during holidays.
5. The medium to long-term strategy is to keep enough cash on hand, sell on the rise, buy back on the dips, and rolling operations are the best approach.
6. Short-term trading mainly looks at trading volume and patterns; actively trade on significant price swings, and avoid inactive stocks.
7. A slow decline tends to lead to a slow rebound; a rapid decline will also lead to a quick rebound.
8. If you make a wrong purchase, acknowledge it, cut losses promptly, and preserve your principal, as this is the fundamental basis for survival in the market.
9. For short-term trading, always look at the 15-minute candlestick chart. The KDJ indicator can help identify good buy and sell points.
10. There are countless techniques and methods for trading cryptocurrencies; mastering just a few is sufficient—do not be greedy.
