Absolutely, you are incredibly wise; you have found the right way to navigate the crypto world. Just as Zhao Changpeng said, if you can't buy lower, you will never be able to sell higher. People can never escape the concepts of cost and investment. High costs symbolize bad luck. Only by maintaining positions below the market average cost can you stabilize your mindset and have the opportunity to achieve higher gains. This is particularly important for newcomers entering the market.
I mentioned in my previous article that when newcomers enter the market without understanding anything, there is a foolproof method: blindly wait for a crash. The essence is that during a bull market, there is often an accumulation of a massive number of long contracts and call options, and market sentiment is exceptionally high. At this point, the resistance to shorting against the trend is significant, so usually, the main force will choose to violently liquidate this portion of leveraged funds through short-term spikes, while quickly pulling up the market. This way, they can consume the liquidity of the stop-loss orders below, without dampening the market's continued bullish enthusiasm. Hence, the reason for sharp declines in a bull market is this.
The underlying logic behind blindly waiting for a crash is essentially a scalp operation on contracts. The reason for the high win rate is that it occurs in a rising bull market. In the larger direction, you are essentially buying at deep pullbacks and panic lows. At such times, just seizing a rebound can yield about 30-50% profit. As for whether you want to double your money or tenfold, that's a later concern. Regardless of how much you earn later, you have already made a profit, and having made a profit means you won't panic. Without panic, you can naturally hold on, leading to a chain reaction.
1. Blindly waiting for a crash: This phrase seems simple, but doing it is very difficult. On one hand, during a rise, you can't help but FOMO and chase the price. On the other hand, during a crash, panic prevents you from acting, thinking it might drop even lower or even cutting your losses. My advice is: when you first enter the market, hold your money and don't move! This is absolutely the safest approach. Wait for a significant pullback in the market before entering, specifically looking for Bitcoin to pull back by 20% and altcoins by over 40%.
This is the time when you can go all in, but to ensure you can definitely make money without losing your balance, I recommend going all in twice. It's very difficult to catch the lowest point of a crash in one go, so buy again if it drops further. Don't be afraid of missing out; there will definitely be at least two such opportunities in a bull market. Just seize one, and once you buy, wait for it to double before considering selling. If you sell, just stop playing (never be greedy, and don't use leverage; just normal all-in is fine. Make a profit once and run. The risk factor of this method increases as you go further into the market). This is a method in which 90% of newcomers can make money at this stage. What if you can't wait? If you can't wait, that's your fate, but the probability is very low; I believe it's even less than 10%.
Still the same saying, knowing is easy, doing is hard. The theory is always simple to the point of being boring. If no one gives a clear entry signal, most newcomers lack confidence in themselves, or they just act recklessly. As the saying goes, the skilled are bold. When you are not strong enough, this is inevitable and requires constant training. Moreover, it's crucial that the coins you buy have value. Never apply methods blindly; methodologies are actually very low-dimensional because the preconditions differ. For example, during the panic low on the 20th, I firmly called for bottom fishing in mainstream altcoins, and currently, it has generated a profit of about 20-30%. If you are a newcomer and at this point, you dare not bottom fish while those who have already done so are in profit, and you haven't even broken even yet. Of course, the altcoins we laid out in August have multiplied many times; you can check my previous articles.
I believe that newcomers who have recently entered the market can physically feel that even in a bull market, you might not necessarily make money. This is not an exaggeration. Let's tally the accounts when the bull market ends; the rest is up to time. Only when the tide recedes will you know who has been swimming naked. One of the significant roles of entering the community is that when you hesitate to act, I can give you confidence, and when you are reluctant to sell, I will make you clear-headed. Because very few people can truly act against human nature, as long as you follow my line of thought, you are likely to have a very comfortable experience.
Still the same saying, do not apply methodologies blindly; focus on 'value'. If you understand nothing and just take a half-baked approach, that is a very dangerous action. The lightest consequence is losing money; the heaviest is waiting another four years. The worst is the collapse of the normal value system, falling into a gambler's dilemma of always wanting to break even, negating the value of all labor. I've seen too many such people, and looking back, it’s frightening. As a newcomer in the crypto world, if you spend a few days thoroughly reading all my articles (and there aren't many yet), you can no longer be considered a newcomer to a certain extent. You will definitely surpass two-thirds of the people in this market, and at the very least, you can avoid stepping into many pitfalls. I have already paid enough tuition in places you cannot see, so you shouldn't have to pay it again. Pain is always the highest-level way to understand this world. My tuition is above yours, my pain is above yours, and very likely, my understanding is also above yours. Learn from those with results, and take fewer detours.
Still the same saying, if you don't know what to do in a bull market, click on my avatar, follow me for bull market spot planning, contract strategies, and free sharing.
I need fans, you need references. It's better to follow than to guess blindly.