Investing with spare money is a hard rule!
The risk of trading cryptocurrencies is extremely high. Do not invest essential living funds, such as money for buying a house or for your child's milk powder, in it. Only use discretionary funds that won't affect your life even if you incur losses for investment, so you can sleep soundly at night. A stable mindset is key to holding long-term.
Don't be a bag holder!
When you see a certain cryptocurrency suddenly skyrocket, don’t get envious. Chasing highs is like trying to catch a flying knife, with great risk involved. Typically, after a significant rise, there will be a pullback; wait for the price to fall back to a certain level before considering buying. This strategy can significantly reduce your losses.
Candlestick analysis is fundamental!
Understanding technical terms like support and resistance levels is basic knowledge. Although technical analysis is not omnipotent, it can help you avoid some obvious traps, just like checking navigation while driving. It may not guarantee you reach your destination, but at least you won't get lost.
Building positions in batches is more prudent!
Going all in is the behavior of a gambler; seasoned traders know the importance of entering the market in batches. For example, divide your funds into several parts and add to your position each time it drops by a certain percentage. This not only averages down your cost but also helps avoid being deeply trapped.
Be decisive with stop-losses!
Even for cryptocurrencies you are optimistic about, you need to set stop-loss points to protect your bottom line. For example, sell decisively when the price falls below important support levels; do not have a gambling mindset. Timely stop-loss can preserve your capital.
Avoid blindly following the crowd!
Listening to the 'hundredfold coins' in trading groups is enough; those who truly make money rarely publicly share information. Researching the project's white paper, team background, and community activity is essential; only cryptocurrencies you understand deeply are worth holding.
Patience is more valuable than gold!
Stories of becoming rich quickly in the cryptocurrency market are best taken lightly; those who truly make big money are often the investors who can hold long-term. I once experienced a 90% retracement when holding Bitcoin, but sticking it out has led to today’s gains. Frequent trading often only increases transaction costs; it's better to stay still.
One last piece of honest advice: those who survive in the cryptocurrency market are all individuals who understand how to control their desires. Preserving your capital is more important than anything else; when the next bull market arrives, you will have enough funds to buy at the bottom. Those who chase hot news often become stepping stones for others to profit. Remember, surviving in the cryptocurrency market is the way to go.#白宫首届加密货币峰会 #CZ分享KOL时间代币化构想
