The crypto market is always full of opportunities, but most investors fail not because of a lack of 'good coins', but because of a lack of principles and discipline. There's no need to chase news, no need to gamble on luck, just mastering the core principles can help assets avoid significant losses and even achieve sustainable growth.
Here are 6 important trading principles distilled from practical experience:
❶ Fast increase + slow decrease = The organization is quietly accumulating.
If the price spikes but then drops very slowly, it is highly likely that large funds are accumulating. This is often the initial signal for a new growth cycle.
❷ Fast decrease + slow recovery = The organization is offloading stock.
Conversely, when the price is heavily sold off and then recovers very slowly, it is a sign that 'sharks' are withdrawing capital. Retail investors jumping in at this point often become the ones bearing the risk.
❸ Large volume ≠ end, but small volume = danger.
Strong trading volume does not necessarily mean a peak, but when volume continuously declines, the market lacks vitality. At this point, the risk is very high.
❹ Do not rush to catch the bottom when there is a sudden surge in volume.
Suddenly encountering a deep red candle with large volume does not mean that 'the bottom has been reached.' Wait for accumulation and sustainable growth in volume to confirm the trend.
❺ Volume = Emotion → Price is just the result.
Trading volume reflects market psychology (greed, fear, panic). Price is just the final outcome. Those who understand volume will grasp the 'story behind the price.'
❻ 'Non-action' is the ultimate strength.
Not greedy, not afraid, not swayed by short-term fluctuations. Maintain a calm mindset, disciplined according to the plan – that is the true weapon for survival and long-term victory.
🔑 The cryptocurrency market is not the enemy; rather, it is the ego of each individual that is the greatest challenge.
You do not need to run faster than others, but need to find the bright path so as not to be stuck in a cycle of losses.
🚀 Opportunities are always ahead – just know how to see and seize them.