The crypto world is not short of opportunities, but life is limited. Do not underestimate the volatility of spot trading, especially for mainstream core assets. This position is essential.
Before you have enough trading experience, only trade in spot. Stable profits in spot trading are the first step; don't jump into difficult contracts right away.
Before you fully grasp trend trading, avoid trying to profit from both sides, as trends have inertia. Just because you have a bearish outlook doesn't mean it will flip to bullish immediately.
You need to trade in bull trends and bear trends. If you cannot make money in both situations, focus on one trend and master it, while guarding your own territory. Don't be greedy trying to profit from both sides, or you may end up losing on both.
Many people think that only through trading can they make money. In fact, the core of making money lies in not trading, patiently waiting, and holding onto profitable positions. Trading may provide quick feedback, but waiting is very counterintuitive.
80% of the market trends test human nature; they may feel pleasant, but what feels good will certainly not lead to making money, at least not big money.
Big profits must be a combination of luck (big market movements) and self-awareness (areas for improvement). No matter how skilled you are, without a big market movement, you won't make money!
In a bear market, focus on learning, and look forward to catching the next wave of big movements. There will usually be one or two major movements each year, and trading and investing are no different. Opportunities in the crypto world generally come in waves; in a few years, there may be a big one. In life, you only need two bull markets to become wealthy.
What you need is to catch the bull market, not to struggle in a bear market. All small opportunities are meaningless to you. To change your destiny, you must rely on a bull market, or what some call a 'windfall.' Because only in a bull market or during a windfall can the majority of people make money, and so can you.
Prepare wholeheartedly; otherwise, when the market ends, you will look back on the whole big movement and find it was all in vain!
From big losses to big gains, Brother Sheng has summarized 10 iron rules as advice for all retail investors! If you want to play in the crypto world for the long term, please read this heartfelt article carefully! Newbies must keep these in mind to navigate the market smoothly.
The crypto world is full of opportunities and risks, especially for beginners. How to survive and profit in a highly volatile market is a skill that requires constant learning and practice.
1. The popular coins in a bull market drop the fastest
Those coins that are hyped up, especially projects with severe control, tend to burst their bubbles quickly. The more a coin attracts a large number of retail investors to chase prices, the greater the risk. It's like blowing up a balloon; the bigger it gets, the faster it pops. Popular coins in a bull market are often favorites of short-term speculators but are also traps that can lead to total loss.
Suggestion: Don't blindly chase rising prices, especially those that surge dramatically in a short time. Stay calm to avoid becoming the 'bag holder.'
2. The tricks of altcoins are mostly similar. The typical strategy for altcoins is to first crash the price, create panic, then slowly raise it to attract retail investors, and finally switch methods to continue harvesting. This tactic is tried and true, and beginners can easily get 'cut' by it. Suggestion: For altcoins, be mentally prepared, don't be misled by short-term gains, and don't easily load up on positions.
3. The long-term trend of the market is upward. Although the crypto world sees short-term volatility, when viewed over a longer timeline, the overall trend is upward. The historical performance of major coins like Bitcoin and Ethereum has proven this. Suggestion: If you are a long-term investor, don't be scared by short-term fluctuations; patiently hold onto quality assets, and time will reward you.
4. No one is hyping coins with real potential. Truly promising coins often remain unnoticed at the bottom, with few mentioning them. Meanwhile, coins that are wildly hyped are typically tools for big players to harvest profits. Low-key coins may quietly explode at some point. Suggestion: Pay more attention to projects with solid technology and reliable teams that haven't been overheated by the market; they may be the dark horses of the future.
5. Be cautious with newly listed coins. Coins newly listed on exchanges, especially those with extreme volatility, are often traps set by big players. These coins typically lack actual value support and are purely designed to 'cut' retail investors. Suggestion: For new coins, especially those that are highly volatile in the early stages, stay vigilant and don't enter easily.
6. Price fluctuations are common. Buying leads to a drop, selling leads to a rise; this is completely normal in the crypto world. The market is highly volatile, and short-term fluctuations do not fully reflect a project's value. Suggestion: Maintain a good mindset; don't panic due to short-term volatility. Develop your own investment strategy and stick to it.
7. The strongest rebound does not represent potential. Coins that rebound the hardest are often not truly promising, but rather speculative plays that have been inflated. The rise of these coins usually lacks fundamental support; they rise quickly and fall just as fast. Suggestion: Don't be misled by short-term surges; truly promising coins usually have relatively stable fluctuations and an upward long-term trend.
8. Be cautious of sudden pullbacks. If the coin you bought surges and then suddenly pulls back, this may signal that the big players are starting to offload. Big players usually attract retail investors by raising prices and then sell at high levels. Suggestion: When encountering sudden pullbacks, take profits or cut losses promptly to avoid becoming the 'bag holder' for the big players.
9. Coins that explode in the second half. In a bull market, coins that perform average initially may explode with several times gains in the second half. These coins are like marathon runners, building up strength in the early stages and then sprinting in the later stages. Suggestion: Don't overlook those coins that initially perform modestly but have solid fundamentals; they may be dark horses in the later stages of a bull market.
10. Coins that have been in sideways trading for months may explode. In a bull market, some coins may experience several times in gains before going sideways for months. This sideways trading usually indicates that big players are gathering strength, waiting for the next opportunity to explode. Suggestion: Keep an eye on coins that have been stagnant for a long time; they may be the protagonists of the next market cycle.
Finally, Brother Sheng summarizes: The two key points for survival in the crypto world
If you feel confused or lost in your operations, remember these two points:
1. Strong action: Opportunities are fleeting; decisive action is necessary to seize them.
2. Stay online: Information in the crypto world changes rapidly, so it is crucial to obtain the latest news and react promptly. The crypto market is full of challenges, but as long as you master these iron rules and maintain calmness and rationality, you can find your own opportunities in this market.
Remember, investing is a marathon, not a sprint. Patience and strategy are the keys to success!
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