Having been through the ups and downs of the cryptocurrency market for many years, here are a few points of experience for reference!
1. If the market crashes and your coins haven’t dropped much, it means there are market makers supporting the price. Hold onto such coins tightly; there will definitely be profits ahead!
2. Newbies should remember when trading: for short-term, watch the 5-day moving average; if the price is above it, hold on, and if it breaks below, run quickly. For medium-term, focus on the 20-day moving average, same principle. Don't get caught up in fancy tricks; once you decide, act decisively!
3. If you hold a coin for three days without any movement, quickly switch to the next one. If you buy and it drops, and you’re down by 5%, don’t hesitate, cut your losses immediately!
4. If a coin has plummeted from its peak and is still struggling, it has likely hit the bottom, and a rebound is imminent; this is the time to decisively enter!
5. When trading coins, chase the leaders; they are the ones that rise the most and are also the most resilient to drops. Don’t be afraid to buy at a higher price, and don’t catch falling knives just because a coin has dropped significantly; chasing the leaders means following the trends!
6. Don’t always think about catching the bottom; falling coins are like jumping off a building, there’s no bottom line. If you need to cut losses, do so; following the trend is the way to go. It’s not about buying at the lowest price, but rather about seizing the right opportunity!
7. Don’t get carried away just because you made a little money; making a profit once is easy, but making it consistently is hard. Every time you make money, look back and see if it’s due to your skill or just luck. Developing your own trading strategy is key!
8. If you’re unsure, stay out of the market. It’s not shameful to hold cash; losing money is what’s shameful. Remember, you are here to preserve your capital, not to become a gambling god! Trading is not about speed; it’s about success rate and risk-reward ratio!
