I am the captain of the cryptocurrency circle, from Wuhan, 32 years old, and have been in Dongguan for many years. I've been trading cryptocurrencies for 7 years, starting with a capital of 50,000 earned from working and growing it to 7 million. I've fallen into all the traps and seen all the tricks. Today, I will freely unveil six rules of hard-earned lessons; understanding one is equivalent to saving 100,000 in tuition fees; mastering three will crush 90% of the newcomers!
1. Don't panic sell when there's a rapid rise and slow fall
When the coin price skyrockets and then slowly declines? Don't rush to cut losses! This is mostly a manipulation by the market makers, specifically targeting the weak-minded newcomers. What you should really fear is that kind of sudden collapse after a sharp rise—this is a trap to lure in buyers, and it's the foolish money chasing highs that gets caught!
2. Don't be greedy when there's a sharp drop followed by a slow rebound
When there's a waterfall-like crash, followed by a sluggish rebound like a snail? Don't be smart and try to catch the bottom! This is clearly the market maker offloading, a fake rebound meant to trick you into taking the bait.
3. Don’t be afraid of high volumes at high positions, but run quickly when the volume is dead
If the coin price rises but the volume keeps increasing, it indicates there are still funds supporting it, and it may rise further. But if the high volume is stagnant like a dead pool, withdraw quickly! Without new funds coming in, a collapse can happen in an instant.
4. Don’t get excited by unusual movements at the bottom; sustained volume is the real signal
If there's a sudden massive volume at the bottom? Don’t rush in! A one-time spike in volume could just be market makers playing tricks on you.
5. The essence of trading cryptocurrencies is trading people's emotions; volume is more important than price
Don’t just stare at the K-line chart trying to figure things out; what you are essentially analyzing is the emotions of a group of people! Trading volume is a mirror of emotions; price is just a dog led by the emotions.
6. The word 'nothing' is the highest principle: no obsession, no greed, no fear
No obsession: Able to stay out of the market and wait for the perfect opportunity, without making hasty moves.
No greed: Absolutely do not chase highs; take profits when you have them, and don't fantasize about selling at the peak.
No fear: Dare to buy chips during a crash, remain steady when the knife falls.
This is not being passive; it's the highest trading mindset—only with a strong mentality can you make money! Opportunities are always abundant in the market; what’s lacking is the eye to understand the signals and the mindset to control your hands. Follow me, and I will guide you every day to debunk market tricks and preemptively lay out strategies. The rules are hard-earned lessons; don’t wait until you’ve lost everything to understand them!