In the coin circle, price fluctuations are like tides, and newcomers are often caught in chasing highs and selling lows. In fact, buying during major drops and selling during major rises is the correct approach. This method of 'buying the dip during a crash' allows you to grasp the benefits of a bull market and avoid the fate of being a retail investor!
1. Underlying logic: Bull markets often have sharp drops, and buying the dip profits from 'negative sentiment'.
In a bull market, the market often showcases the act of 'quick drops to liquidate leverage, quick rises to harvest liquidity':
In a bull market, accumulate a large number of bullish contracts and options. When the main force wants to harvest leveraged funds, they will violently spike down (like Bitcoin dropping 20%, altcoins dropping 40%), instantly triggering long liquidation orders.
After a sharp drop, the market quickly rebounds, absorbing low-priced chips while not undermining market confidence — this is the essence of 'bull market sharp drops'.
Newcomers who wait to buy during sharp drops are essentially buying at panic lows + deep corrections, and can earn 30-50% by seizing rebounds! A steady mindset with profits in hand allows you to wait for doubling; it's a chain reaction.
2. Practical rules: The correct way to 'brainlessly wait for a crash'.
'Waiting to buy the dip' sounds easy, but execution is hard (chasing highs and panic selling is the norm). Remember these 3 rules to get on board accurately:
1. Hold your coins, wait for signals!
Don’t act randomly when you first enter; holding cash with no position is the safest. Wait for a significant market correction before entering:
A drop of 20%+ in Bitcoin and 40%+ in altcoins is a clear signal;
Don’t believe in 'missing out anxiety'; in a bull market, there are at least 2 such opportunities — catching just one is enough!
2. Diversify your investments to control risk!
Don’t panic during sharp drops; go all in in 2 phases (buy 50% when it drops 20%, and add another 50% when it drops another 10%) to avoid 'buying halfway up the mountain'.
Remember: 'Going all in' does not equal leveraging; use your principal to operate, and only without leverage can you hold steady!
3. Hold onto profits; don’t be greedy!
Take profits on 30-50% after a 30-50% rebound (for example, sell 30% after making 50%), and consider the remaining position only when it doubles.
In a bull market, taking profit after one gain is not a loss; the further along, the higher the risk, so timely profit-taking is key!
3. Key to avoiding pitfalls: 'Value + Rhythm' dual insurance.
Buying the dip is not about luck; these 2 points determine whether you profit or lose:
1. Only buy valuable coins!
Don’t rigidly apply methodologies; select coins based on value (prioritize mainstream coins and altcoins with ecosystems). For example, our community buys mainstream altcoins at panic lows, easily achieving 20-30% profits — avoid junk coins during sharp drops; even buying the dip can lead to losses!
2. Follow the right rhythm and operate against human nature!
Don’t FOMO chase during increases (the more you chase, the more you buy at the peak);
Don’t panic and sell during sharp drops (the more you sell, the more you sell at the floor);
Communities / People with results can give you confidence: they’ll tell you when to buy the dip and remind you to take profits; operating against human nature is how to win!
4. Newcomers must do: First, catch up on knowledge, then enter the market!
Newcomers in the coin circle suffer the most from 'paying tuition with real money'. Suggestions:
Spend a few days reading all my articles (to avoid detours and bypass 90% of pitfalls);
Join communities to follow the rhythm (having someone alert you to buy the dip or take profits is 100 times steadier than operating blindly).
Remember: Pain is the tuition of cognition, but someone has already paid it for you. Learn from those with results to transform from a retail investor into a sharp investor!
5. Conclusion: Newcomers who want to make money should rely on these 3 steps.
Wait: Stay in cash and wait for a drop (Bitcoin drops 20%, altcoins drop 40%);
Buy: Diversify your investments and buy valuable coins;
Hold: Take profits on 30-50% first, and wait for the rest to double; timely exit without greed.
Bull markets don’t lack opportunities, but newcomers lack the patience to 'wait for a crash' and the mindset to 'hold on'. Remember: a low cost leads to a steady mindset, and a steady mindset leads to big profits!
Blindly acting alone will never bring opportunities; follow me, and I will guide you to discover tenfold potential coins! Top-tier first-level resources!
