Teaching you how to make guaranteed profits in the cryptocurrency market through hedging arbitrage (good stuff to collect and share)
First, the four necessary conditions for hedging arbitrage 1. Opposite direction, one short position, one long position 2. The values on both sides are equal, for example, both opening 1000U 3. Open positions simultaneously, close positions simultaneously 4. The selected varieties in the hedging group should generally have consistent trends; the key is to rise and fall together, but with different amplitudes. The profit principle of hedging arbitrage: Rise and fall together, but with different amplitudes, thus forming a spread, which can be profitable. For example, ETH short 100U and SOL long 100U are both opened; after one hour, ETH rises by 5% and SOL rises by 3%, then closing positions simultaneously results in a profit and loss, equivalent to a 2% profit.#加密市场回调 $ICP
Good Evening, The mood remains cautious as the Crypto Fear & Greed Index sits in the “Fear” range. Use this calmer phase to review your trades, tighten your risk controls, and stay ready for the next shift.
It forces you to confront greed, fear, and impulse. Some criticize the dealer for being ruthless, but the most ruthless dealer is yourself. A true master does not catch every market movement, but learns to stay clear-headed amidst chaos.
In the past 24 hours, the price of SOL has increased by 4.5%-5.65%, rebounding from around $150 to the range of $160-164, with trading volume surging to $6.2-6.5 billion, leading the recovery of major cryptocurrencies. The hotspots stem from institutional inflows and ETF expectations: Grayscale Solana ETF has no management fee until AUM reaches $1 billion; USDC minting of $1.25 billion boosts liquidity; Bitcoin Hyper integrates SVM to enhance cross-chain; Sonami launches Solana L2 tokens to alleviate congestion. Despite a 13.7% drop over 7 days, whales and the community are accumulating, with short-term targets aimed directly at $180-200, cautioning against market volatility. Solana (SOL) is a high-performance Layer 1 blockchain, founded by Anatoly Yakovenko in 2017, and its mainnet launched in 2020. It innovatively combines Proof of History (PoH) and Proof of Stake (PoS) consensus, achieving tens of thousands of transactions per second, sub-second confirmations, and extremely low fees (<$0.01), far exceeding Ethereum. SOL, as the native token, is used for paying gas fees, staking, and governance, supporting DeFi, NFTs, gaming, and meme coin ecosystems. Currently, its market capitalization is approximately $89 billion, with a circulating supply of 553 million SOL, and total supply is unlimited but trends toward deflation through a burning mechanism, collaborating with Visa, Google, etc., to promote RWA and mobile Web3 applications. $BTC {future}(BTCUSDT) $SOL {future}(SOLUSDT) $BNB {future}(BNBUSDT)
According to the planned profit of 100 points, it was secured in the early morning, leaving some positions to continue the layout. Now, although it has increased more than six times, the actual profit should only be around three to four times, because I had already exited most of my positions midway.
I am wondering if this situation is similar to the top escape in Wyckoff's trading method, where the effect of shaking the positions is not satisfactory, and then there is a final tremor, a strong rally that exposes the greedy faces of those who haven't boarded the train, leading to blind purchases, regardless of whether it’s a big correction turning bearish or bullish. As I mentioned earlier, this wave will definitely rise, to 3500 or even 3800.
Today and tomorrow, those with orders can relax a bit and manage stop losses and take profits well. It won't be as thrilling as during the week. What needs attention is tomorrow night and early Monday morning, to prevent a big plunge. Tonight, it's fine to sleep peacefully, no problem $ETH .