The cryptocurrency market is too risky! If you don't understand these hidden rules, your capital will eventually be wiped out!
1️⃣ Wealth Concentration:
The richest 2.4% of people control 95% of Bitcoin. Institutions and large holders make money from information asymmetry, while retail investors always buy at high prices and then see prices drop immediately after their purchase.
2️⃣ Chaotic Flow:
Internet celebrities can easily pump up coin prices just by calling out trades, while truly useful knowledge is ignored. Entertainment hype is more popular than professional analysis.
3️⃣ Harvesting Tactics:
Exchanges and investment institutions first drive up the price of new coins to attract retail investors to buy in, then they sell off. Projects supported by large institutions are likely to thrive, while small projects struggle to survive.
4️⃣ Polarization:
Popular coins become increasingly popular, while obscure coins are left unsold until they eventually become worthless. The cost of investing in Bitcoin is now much higher than before.
What to do?
✔️ Use tools to track large holders' movements and prepare in advance
✔️ Buy when others are panicking, don't follow the trend to chase highs
✔️ Build a personal brand to gain platform traffic
✔️ Hold mainstream coins for the long term, avoid worthless coins
Remember, in the cryptocurrency market, you either adapt to the rules or get eliminated!