The market is fluctuating, constantly oscillating between rises and pullbacks.
There are particularly many longs and shorts in this market. The bulls hesitate to enter, making it easy to form a bearish trend. Those who dare to enter the market are merely a group of fearless individuals. Looking at a bull market, those who can survive and hold on have the advantage of being persistent and resilient, characteristics that are fully inherited. The higher the market rises in a bull market, the sharper the decline in a bear market, leading to significant profits, thus the advantage of the bears is very apparent.
Of course, when it comes to the ups and downs of the market, we should not overly rely on bull and bear cycles. True experts achieve stable profits. Trends can be said to be the thoughts of most people, but the market indeed follows the 80/20 rule, as only a very few can truly rely on trends.
For example, the current gold and major cryptocurrencies are basically at high levels. Whether they will see a significant drop depends on whether institutions see enough profit potential; prices are unlikely to fall significantly.
If someone sells in the spot market, institutions will pick up the slack. Similarly, if they hold equivalent long positions in futures, they can hedge against the risks of holding at high levels.
Institutions don’t need to sell at high positions in the spot market; they just need to hold equivalent short positions. This not only allows them to enjoy the returns from fees but also enables them to profit more from short positions through spot market selling.
If most people are shorting, the main players happen to hold enough opposing positions. They just need to start a rally, and various margin calls and stop losses will trigger to lift the market. It is emphasized here that a rally requires significant capital to initiate.
Currently, market sentiment is poor, and it is often the experts who are profiting. If you are still stuck or in loss, you can follow my lead. Return to the market and pay attention to @南义在带单 .
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