Brother Sheng has been in the cryptocurrency circle for over ten years. I started as a small retail investor with 5000 yuan, and after struggling in the cryptocurrency circle, I have now achieved a level in the tens of millions. Today, I will share my personal experience with everyone.
First, let’s talk about capital management. Never invest all your money at once. I prefer to operate in batches, so even if I lose, it won’t be too disastrous.
I don’t care what the market is like, even if I suffer consecutive losses, it won’t be devastating. But if I make a profit! I set a rule for myself: once I lose to a certain extent, I decisively withdraw, and the profits can be quite considerable. Even if trapped, I can maintain my mindset.
Going with the market trend is definitely correct. When the market is falling, don’t always think about bottom-fishing; it’s unrealistic. When the market is rising and pulling back, that’s a good opportunity; at this time, buying low is much safer than stubbornly trying to catch the bottom.
Choosing coins requires vision; those coins that suddenly surge, whether mainstream or altcoins, should be approached with caution. A rapid rise often leads to a sharp pullback, and it’s easy to get trapped.
In terms of technical indicators, I often use MACD. When the DIF line and DEA line cross below the 0 axis and then break above the 0 axis, this is a buy signal. If they cross above the 0 axis and then move down, it’s time to reduce positions. Don't easily try to average down.
If you lose, don’t make up for it. Many people lose more and more, and in the end, they lose everything. Remember, losses must be cut, and profits can increase positions.
Trading volume is also very important. When the price breaks through at a low level, if the trading volume increases, it could be a big opportunity.
The most crucial thing is to go with the trend and seize the trend. By combining daily and monthly lines for a comprehensive judgment, when a line turns upwards, one knows how to operate.
In short, trading coins carries risks and opportunities. I hope my experience can help everyone, but I still want to remind you that investment must be cautious!
Many coin friends ask about the skills of trading coins, so today let's talk about some tips. First, let's talk about the pressure line: the resistance line is a type of tangent theory line, serving as a benchmark for judging the coin price trend.
The resistance line, also called the resistance line, appears when the coin price rises to a certain price level, where sellers increase and buyers decrease, thereby stopping the price from rising and potentially causing a pullback. This price line that prevents the coin price from continuing to rise is called the resistance line.
When analyzing using the resistance line, the following points should be noted:
In a downtrend, if a rebound occurs and the bullish candle is weaker than the previous bearish candle, especially near the resistance price level, if the trading volume fails to increase, and the subsequent bearish candle quickly engulfs the bullish candle, causing the coin price to drop again, this is a strong resistance.
A strong rebound appears in a downtrend, with bullish candles frequently appearing and strong bullish momentum. Even if there is a slight pullback near the resistance line, if the trading volume is active, the coin price will surely break through the resistance line and end the downtrend.
After passing near the resistance line for a period of consolidation, if a long bearish candle appears, the resistance line is naturally effective.
After passing near the resistance line and a period of consolidation, if a long bullish candle appears breaking upwards, with increased trading volume and someone taking over at a low level, it will encourage buyers, and the coin price will rise again.
When the coin price breaks upward through the resistance line from below, if the trading volume also increases, it indicates that the resistance line has been effectively broken, and the trend will shift from a downward trend to an upward trend.
If the coin price surges upward toward the resistance line but fails to break through and turns back, a new downtrend may emerge. At this time, regardless of profit or loss, one should promptly close positions and exit.
When the coin price breaks through the resistance line from below with a significant increase in trading volume, one should buy in time; if the resistance line is broken but the trading volume does not increase, it is advisable to wait and observe, as it may be a false breakout with insufficient momentum and resistance causing a pullback, and one should not rush to follow.
When the coin price breaks upward through the resistance line from below, if the trading volume does not increase significantly, one can wait for a pullback. If there is no increase in volume during the pullback, then consider buying in; if there is no pullback, as long as the breakout of the resistance is confirmed to be effective, buying in again can still yield profits, because the resistance line has been effectively broken, and generally, there will be a segment of market movement!
In the cryptocurrency circle of 2025: do you think it's better to trade contracts or spot?
Everyone's personality is different, and naturally, strategies differ. Investment personality determines investment destiny. For most beginners, playing spot does not require further reading. How to turn around in the cryptocurrency circle? The most important thing is to earn the first bucket of gold.
The first bucket of gold must rely on leveraged multiplication (which means there is indeed a gambling component. This step must repeatedly build your own trading system, many people fail at this step) The secret that the main force least wants retail investors to know is the two major characteristics before he runs away.
First, remember that the main force always runs away after a continuous large rise at a high position. The first feature: a large volume rise at a high position or a significant high opening followed by a massive fluctuation, which means that there isn’t much of an increase, also called self-increasing with volume, mainly by the main force attracting a large number of followers to enter the market.
The main force can take the opportunity to sell at a good price, but the main force has too many chips. He cannot sell all at once like retail investors. So what can be done? Next, there will be high-level fluctuations up and down, creating a false appearance that the main force is absorbing, attracting retail investors to continue entering the market.
For example, on the same day, there may be a surge followed by a pullback, where the main force sells a batch first. After a significant drop in the morning of the next day, there may be a violent rebound in the afternoon, creating an illusion for retail investors that it can’t drop any further. After this repeated turmoil, retail investors will relax their vigilance and increase their positions.
It's like after shouting 'the wolf is coming' a few times, there is no crash at this time, and then there is no silver lining. During this process, the main force can smoothly offload.
The second feature: although it has the highest accuracy, it is also the most complex and difficult to understand. I summarize it in six words: the higher the top, the stronger it is. You may question that this is not right! If the main force has offloaded, how can it be stronger?
The chips in the hands of the main force are massive. He cannot sell all at once like retail investors:
In fact, being the main force is also very tough. Especially when offloading, he has to work harder. He must drag the coin price to give retail investors confidence while secretly selling. If he is not careful and messes up the act, letting retail investors run first, the main force may also be unable to offload at a high position, so he has to repeatedly push down and pull up, or even continuously create new highs to stimulate the highest desire of retail investors. Therefore, the closer to the top area for offloading, the harder the main force has to perform.
Then reflected in the trend is that it feels very strong, and in terms of technical indicators, it will show divergence after a shakeout or divergence after continuous adjustments and new highs. This is the logical principle of divergence and reversal.
These days I am preparing for the layout of a divine order that is about to start!!!
