Crypto Market Is Bad Again? Here Are 5 Tips for Beginner Traders to Survive in 2025
The last few months, the crypto market has been unfriendly. Bitcoin prices are stagnant, many altcoins have experienced sharp declines, and trading volumes have dropped drastically. Situations like this often make novice traders panic, confused about whether to hold on, buy more, or sell all their assets.
But don't worry, this is not the first time this has happened. In the crypto world, volatility is commonplace. In market conditions like this, there are opportunities for those who understand strategy and know how to survive. If you are just starting out in the world of trading, here are five important tips that can help you manage risk and survive in 2025!
Get to Know Crypto Trading Terms to Avoid Confusion
Before you start trading, it is important to understand the basic terms that are often used in the crypto world. Without this understanding, you can have difficulty understanding market analysis or even be fooled by the hype on social media.
Some terms that you must know include bull market and bear market. A bull market occurs when the price of the majority of crypto assets increases over a long period of time, while a bear market is the opposite, which is a condition where prices continue to fall over a long period. There are also terms such as support and resistance, which are price levels that often become turning points in market movements. Traders also often use trading volume, which shows how many transactions are in an asset over a certain period. The higher the volume, the greater the liquidity of the asset.
In addition, it is also important to understand the difference between market orders and limit orders. Market orders mean buying or selling assets at the current market price, while limit orders allow you to set a specific price for the order to be executed. By understanding these terms, you can be more confident when trading.
Spot market vs Futures Market
In the crypto world, there are two main types of markets to choose from: spot markets and futures markets. Each has its own advantages and risks, so you need to understand them before deciding where to trade.
In the spot market, the purchased asset is actually owned. For example, buying Bitcoin in the spot market means that the Bitcoin actually goes into the wallet and can be stored in the long term. The spot market is safer because there is no risk of liquidation.
In contrast, the futures market allows price speculation without having to actually own the asset. Futures also offer leverage, which allows you to open a position larger than the capital you have. For example, with 10x leverage, a capital of Rp1 million can be used to trade Rp10 million. But be careful, high leverage means greater risk. Just a little bit of a wrong prediction, capital can be immediately wiped out due to liquidation.
For beginners, it is better to start from the spot market first before trying futures. Learning to understand price movements without the pressure of liquidation will make you more prepared if you want to enter futures later.
Fundamental vs Technical Analysis
Successful traders do not just guess whether the price will go up or down, but use analysis to make decisions. There are two main types of analysis that are often used: fundamental and technical.
Fundamental analysis focuses on the project behind the crypto asset. This includes the development team, the technology used, the use case, and other factors that can affect the asset's value in the long term. Cryptos that have real adoption and solid partnerships tend to be more durable than projects that are just hyped.
Technical analysis focuses more on price patterns and trading volume. By looking at historical data and indicators such as Moving Averages, RSI (Relative Strength Index), MACD (Moving Average Convergence Divergence), and Fibonacci Retracement, traders can predict market trends. This technique is more often used for long-term trading.
It is very important to combine fundamentals and technicals to make better decisions. Fundamentals help you choose quality assets, while technicals help you determine the best time to enter and exit the market.
5 Tips for Beginner Traders to Outperform in 2025
a. Manage Risk Wisely
The crypto market can move wildly, so it is imperative to manage risk well. One strategy that can be used is dollar-cost averaging (DCA), which is buying assets in fixed amounts periodically to reduce the impact of price fluctuations. Also, don't put all your capital in one asset, because if the price drops, there is no backup from other assets.
b. Don't Get Caught Up in the Fear of Missing Out
FOMO (Fear of Missing Out) often makes novice traders trapped into buying assets when the price has already risen high. Once the price drops sharply after the hype is gone, they end up getting stuck. Therefore, before buying, you must always do your own research and do not be easily influenced by what other people say.
c. Use Stop-Loss and Take-Profit
Stop-loss and take-profit are important features to take advantage of. Stop-loss will automatically sell assets if the price drops to a certain limit, so as not to lose more. Take-profit, on the other hand, helps secure profits before the price drops again. Many novice traders fail to make money because they do not set a stop-loss or are too greedy and do not take profits at the right time.
d. Master Technical & Fundamental Analysis
Don't just rely on recommendations from influencers or Telegram groups. Understanding how to read charts and project analysis yourself will make you more confident in making decisions. By mastering technical indicators and fundamental research, trading decisions become more measurable, not just guesswork.
e. Diversify Portfolio and Use Multiple Exchanges to Reduce Risk
Don't just invest in one asset or use one exchange. Diversification can help minimize risk if one asset drops drastically. In addition, using several exchanges is also important to avoid technical problems if one platform experiences problems, such as system disruptions or even bankruptcy.
Conclusion
Crypto trading is not just about chasing quick profits, but about understanding the rhythm of the market, managing emotions, and building a sustainable strategy. In sluggish market conditions like now, many panic and give up, even though it is at these moments that true traders are tested. Success in trading is not determined by how fast you can make money, but how well you can survive and adapt.
Risk Disclaimer: Cryptocurrency prices are subject to high market risk and price volatility. You should only invest in products that you are familiar with and where you understand the associated risks. You should carefully consider your investment experience, financial situation, investment objectives and risk tolerance and consult an independent financial adviser prior to making any investment. This material should not be construed as financial advice. Past performance is not a reliable indicator of future performance. The value of your investment can go down as well as up, and you may not get back the amount you invested. You are solely responsible for your investment decisions
