There is a very foolish way to trade cryptocurrencies, but this method can almost eat away all the profits, so learn slowly. First, when trading cryptocurrencies, we should never do three things. The first thing is to never buy when prices are rising; be greedy when others are fearful and fearful when others are greedy. You should develop the habit of buying when prices are falling.
The second is to never place large orders. The third is to never go all-in; being all-in makes you very passive, and this market is not short of opportunities. The opportunity cost of being all-in can be very high.
Now let's talk about the six principles of short-term cryptocurrency trading. The first is that after the price consolidates at a high level, there will usually be a new high. Conversely, after it consolidates at a low level, it often reaches a new low again. So wait until the direction of the market change is clear before taking action.
The second is to avoid trading during sideways markets. Most people lose money trading cryptocurrencies because they can't adhere to this simplest of rules.
The third is that when choosing candlesticks, buy when a bearish candle appears and sell when a bullish candle appears.
The fourth is that when the downtrend slows, the rebound is also slow; when the downtrend accelerates, the rebound speeds up.
The fifth is to build positions using the pyramid buying method; this is the only unchanging principle of value investing.
The sixth is that when a cryptocurrency continues to rise, after a sustained decline, it will inevitably enter a sideways state. At this time, there is no need to sell everything at high prices, nor is it necessary to go all-in at low prices. Because after consolidation, the market will face a change. If the market changes downward from a high level, you need to clear your positions promptly; in short, you must act in a timely manner.
Follow for more insights; I have navigated the market for many years and deeply understand its opportunities and pitfalls. If your investments are not going well and you're feeling reluctant about your losses, comment 111🚗 $BTC $ETH
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content.See T&Cs.
