Key Points for Retail Investors in the Cryptocurrency Market, Sharing with Everyone!
1. Keep a Close Eye on Bitcoin Trends
In the cryptocurrency market, Bitcoin often leads the direction of price fluctuations. While Ethereum can sometimes be strong and show independent trends, most altcoins are influenced by Bitcoin.
2. Pay Attention to the Relationship Between Bitcoin and USDT
Bitcoin and USDT often move in opposite directions; when USDT rises, be cautious of Bitcoin's decline, and when Bitcoin rises, it’s an opportunity to buy USDT.
3. Seize Trading Opportunities in the Early Morning
From 12 AM to 1 AM daily, there can be a phenomenon of price spikes. Domestic cryptocurrency enthusiasts can set low buy orders for preferred coins and high sell orders before going to bed, potentially resulting in pleasant surprises and easy profits.
4. Observe the Morning Trends
From 6 AM to 8 AM daily is a crucial time to determine whether to buy or sell. If there is a continuous decline from 12 AM to 6 AM, and it continues to drop, it is advisable to buy or add to positions, as there is a higher chance of a rise that day; if it has been rising continuously, it is advisable to sell, as there is a high probability of a decline that day.
5. Pay Attention to Afternoon Volatility
Particularly at 5 PM, special attention is needed due to time zone differences, as U.S. traders begin their operations, which may cause price fluctuations. Many significant rises and falls occur during this time.
6. Be Cautious of “Black Friday”
There is a term “Black Friday” in the cryptocurrency market; while there may be significant drops on Fridays, there can also be significant rises or sideways movements, so keep an eye on the news.
7. Be Patient with Declining Coins
If a coin with a certain trading volume is declining, do not worry; holding it patiently can lead to a return on investment. This may take as short as 3-4 days or as long as a month. If you have extra funds, you can gradually add to your position to speed up the recovery, unless it's a worthless coin.
8. Stick to Long-Term Spot Trading
Engaging in spot trading with a long-term hold on the same coins and reducing transactions often yields greater returns than frequent trading; it just depends on your patience.
9. Pay Attention to External Influencing Factors
The cryptocurrency market is affected by multiple external factors, such as the attitudes of various countries towards cryptocurrencies, which can lead to declines if negative; U.S. financial policies; and the opinions of influential figures on cryptocurrencies, such as remarks by Musk. Keep an eye on financial news.
10. Maintain a Good Trading Mindset
A good mindset for trading is crucial; don't panic during significant drops, and don't become arrogant during significant rises; securing profits is essential.
