Although it is difficult, why do so many people still love to play with cryptocurrency? #美国大选如何影响加密产业？ #BTC能否站穩6W5？ #BTC
I don't know why other people play. I only know that the fastest depreciating thing in this society is education. As you can see, it is difficult for young people to buy cars and houses in my city when they enter any platform. The upward channel of our generation has been blocked. For people born in the 1990s, there are really few opportunities in this society. You can only learn new things and find opportunities to turn over. Web3, artificial intelligence, and cryptocurrency may be the most promising and best-paying opportunities for ordinary people. I originally had nothing. 1000u, 2000u, I just tried hard to save the money of going to KTV twice. But I study hard and see the opportunity. Maybe it's a brand new world. Thank you for my feelings. If you are interested, you can take a look at my other articles, including how to trade, how to make contracts, and how I accumulated my money. If you want to trade, it's best to ask me first to avoid detours. Today I will answer the feelings of the contract. I won't post my screenshots here, which are easily harmonized. If you have to argue, you can ask me separately. I wrote an article and hope it can help friends who are just getting started with digital currency contracts. I also hope to help you avoid some detours, and most importantly, avoid your positions from being blown up. In fact, it is easier to make money in the cryptocurrency circle than in the A-share market. The A-share market has been around 3,000 points for the past ten years, and ordinary people can only go long. In addition, the information is symmetrical, and institutions have a lot of inside information and financial advantages. Not to mention the major shareholders, they can easily arbitrage between the primary and secondary markets. In the cryptocurrency circle, at least all information is public, and you can query all the information about this coin.
You can analyze the market's long and short sentiment based on these data. Secondly, the cryptocurrency world is not like stocks. You need to understand the operating conditions of many listed companies and their industry development cycles. When doing contracts in the cryptocurrency world, you only need to respect the trend. If you don't hold spot for a long time, you don't need to consider the fundamentals of the coin at all.
If you want to do well in contract investment, you need to know the following basic concepts.
1. What is the essence of a contract? The biggest difference between a contract and a spot is that it has leverage. For example, on January 3, 2024, the breaking news was that the Bitcoin ETF would not pass, and BTC was dead for you to see. It plunged 10% in an instant, and there were many copycats that fell 20%. At this time, if you bought Bitcoin with 10X leverage, you would be blown up. Later, BTC directly rose to 45,000 on January 8, and this has nothing to do with you. If you hold spot, it is obvious that your decline on that day is much less than that of your A shares on that day. So what you actually earn from contracts is short-term volatility. If you hold contracts for a long time, you may have to pay a very high funding rate. The fundamental reason why you participate in contracts is that you want to do short-term trading and run away after making a big profit.
2. Before doing a contract, you need to understand the basic concepts of position by position, full position, funding rate, long-short ratio, leverage position limit, what multiples of leverage to use for trading, contract position size, how to calculate handling fees, etc. If you don't understand, you can check it on Baidu. The content is relatively basic, so I won't expand on it here.
3. Pull back to my own trading system. I mainly do intraday trends, mainly against the 15-minute line to do trend investment. People who are used to stock T0 usually do this, which is not too difficult. Find the right leverage for yourself on this trend, and do high-win transactions many times and at a high frequency. Over time, the power of compound interest will come. Sometimes I may make hundreds of transactions a day. So you must also find a commission for the handling fee. You can find my referral code here. The rebate ratio is very high. I remember a wave of ordi and SOL market in December, which made my account grow from 400,000 to 700,000+. The ordi wave fluctuated greatly, and I earned 7,000. At this time, the total number of transactions was hundreds of transactions per day, and the highest daily profit was $18,000). My approach is "small position, large number of orders, choose large trading volume, and high market enthusiasm for long positions". After all, if the volatility is insufficient and the profit per order is not enough, it means excessive frequent trading, which will lose too much handling fees. Then, on the evening of January 3, there was a big fluctuation. The news that Bitcoin spot was not approved came out. All altcoins fell by 20% directly, and ORDI fell by more than 20%. For the first time, my single-day loss exceeded 10,000, close to -$12,000. At that time, I also summarized the problem I faced, which was that I did not strictly set a self-stop loss. In the following days, I made my first single profit of over 10,000 (Ethereum), and then Pepe's second wave of surge was also certain.
4. Contract trading must set a stop loss immediately after placing an order because there are too many cases of multiple explosions due to one or two pieces of news. Moreover, trading is 24 hours a day, and you may be blown up at any time when you sleep, so you must have the habit of making stop losses. In addition, I usually do trend trading. If a trend is wrong, don't hold the order, because sometimes once the emotional consensus is established, there are many cases of 100% rise and fall in one direction, and you can't bear it no matter how much money you have. If you don't believe it, look at TRB, which is lower than 12. It has risen from 120 to more than 700 in ten consecutive trading days, without any callback in the middle. If you are short, you would have been blown up even with 0.5 times leverage. So don't wait until one day you blow up to know the importance of stop loss.
5. Don't gamble and don't have any fluke mentality, because you are doing a contract. If you are right nine times out of ten and make a lot of money, as long as you are wrong once and you are willful and resist the order, you will also be 100% liquidated. Liquidation has a huge impact on your confidence and your mentality, so I suggest that as long as a contract loses more than 30%, you should close the position and take a break, and think about whether you have made a mistake. A 20% fluctuation in the currency circle in two days is too normal, and it will be encountered every day, so if you want to beat the market in the long run, you must avoid these factors that may cause you to fail. 6. If you have just entered the currency circle and all your assets are more than 20% in digital currency, please withdraw this proportion immediately to less than 10%. Otherwise, this fluctuation will keep you awake and affect your operations.
My name is Mr. Duan. I currently focus on investment guidance for mainstream currencies. If you want to follow me or learn how to operate, you can talk to me and pay attention to my usual ideas and strategies!
