I am 35 years old this year, from Guangdong, currently living in Xiamen. I started trading cryptocurrencies at 27, have two houses—one for my family and one for myself. After buying a car, my assets are only in the seven-digit range, still a bit short of breaking into eight digits! I have always believed that money that is not cashed out is just numbers! When I earn, I must cash out a portion to invest in assets and enjoy life. From making 1 million in trading to being 2 million in debt, then from a loan of 50,000 to earning 10 million, here are my six practical insights from these years of trading cryptocurrencies!
In these years of trading cryptocurrencies, I rolled 50,000 into 10 million, without insider information, not getting into euphoric markets, relying solely on a set of 'simple methods' to grind it out. Treat trading like leveling up in a game, honing skills and practicing mindset. The six points I’ll share today are all insights gained from real money, understanding them helps minimize losses, and executing them can help you outperform 90% of people.
1. Rapid rise and slow fall, the market maker is accumulating: After a sudden spike, if it slowly declines, don’t panic and cut losses; it’s just a washout; a true peak will see a violent spike followed by a waterfall crash, that’s the bait for buyers.
2. Rapid drop and slow rise, the market maker is distributing: After a sharp drop, if it slowly rebounds, don’t try to catch the falling knife; it could be the last blow, thinking 'it has dropped enough' is the most dangerous mindset.
3. Don't rush to sell at the peak with high volume; low volume is what really indicates a downturn: A high volume spike might indicate a second wave; if it suddenly drops to low volume like a ghost town, you should run, a crash is imminent.
4. Don’t rush to buy at the bottom with high volume; continuous high volume is the signal: A single volume spike could be a fake move; after a period of low volume sideways movement, continuous mild high volume is true accumulation.
5. Trading cryptocurrencies is about trading mindset, and mindset is reflected in 'volume': The candlestick chart shows the result, and the volume shows the story. Volume shrinkage means no one is playing; volume explosion means capital is entering; understanding volume means understanding emotions.
6. 'Nothing' is the most ruthless: No obsession, short when it’s time to short; don’t be greedy, don’t chase after steep rises; don’t panic, be brave enough to buy during drops, that’s mastery.
The crypto market is not short of opportunities; most people lose because they can’t control their hands and can’t see the market clearly. Don’t stumble in the dark; I wish to be a guiding light, helping you take fewer detours.
