Essentials! Newbies in the crypto world, pay attention, I will teach you 3 tricks that will definitely improve your profitability!
1. In a bear market crash, regardless of how much the coins you hold drop, quickly switch to coins among the top 30 by market cap.
2. Only look at the 4-hour chart, ignoring everything else. If there are many green bars compared to red bars within 3 months, buy in and wait for the rise.
3. Change your mindset. During a bear market, focus on those with rapidly rising trading volumes that make it into the top ten. Engage in short-term trading, frequently change hands, and do not hold! For those trading altcoins, the main trend should still follow Bitcoin's trend. If Bitcoin is falling, even if altcoins surge today, you should still trade short-term and take profits, because this is often a personal pump by the project team or whales. There could be many reasons; anyway, it's not a trend. Don't just buy and hold, as it could very well crash by tomorrow!
Reasons why newbies lose money in the crypto bull market:
First: At the end of a bear market and the beginning of a bull market, you hesitate to buy. After experiencing a bear market, your mind is still stuck in that mentality, causing you to miss the best time to enter.
Second: In the middle of a bull market, you hesitate to buy, always thinking to wait a bit longer for lower prices. At this time, getting in could leave you stuck, possibly at the market peak, preventing you from entering.
Third: Not holding onto profits, engaging in frequent short-term trading, selling for small gains.
Fourth: Overusing leverage leads to liquidation.
Fifth: At the peak of a bull market, the market goes crazy. Under the pressure of profit, unable to resist the huge temptation, you frequently increase your positions chasing the rise, leaving yourself stuck at the top.
In summary, for me, these methods are the 'holy grail' of trading. If our mindset is incorrect or we make wrong decisions, then having an excellent trading strategy is meaningless. Use these tools as much as possible and make them a habit.