For those with weak hearts, it’s truly unbearable; one second you’re laughing, and the next second you’re crying.
1: Let's take the classic example of Luna*: You have 10,000 Luna, which was worth 1 million USDT when you went to sleep; when you woke up, it became 700,000 USDT. You think, having been in the crypto world for so long, a mere 30% pullback, with UST only decoupling by 10%, I believe in DoKwon+, so you sleep soundly again.
The next day, you wake up to find it’s worth 10,000 USDT; at this point, you think it has dropped 99%, it should have bottomed out, so you go in at the bottom expecting it to rise to 10 USDT, which would be a tenfold increase. So, you sell your possessions and gather 200,000 USDT to buy 200,000 Luna. Now you can't sleep, you're constantly watching it hoping it will rebound.
But you can only watch helplessly as the price falls from 1 to 0.1, all the way to 0.000001, finally being delisted, and in three days your 1.2 million USDT asset shrinks to the cost of a breakfast. You are completely devastated. Apart from Luna, there are many differences between the crypto world and traditional financial markets.
1. 7*24 hours without rest,
Two, there are no price limits,
Three, the entry threshold is extremely low,
Four, the number of people abusing leverage is extremely high,
Five, the fluctuations of altcoins have no bounds.
It’s perfectly normal for points three, four, and five to combine to make one night rich and the next night bankrupt.
Be cautious with leverage, everyone; you may think five times leverage is low, but you don’t realize that there are days with more than 20% fluctuations every year. Because of leverage, the more it drops, the harder it is to stop, ultimately leading to a chain of liquidations.
As someone with over 10 years in the crypto world, starting at 8,000, reaching tens of millions, then debt of 8 million, and finally back to several million in wealth, achieving financial freedom and class leap! Realizing these points, I share them with those destined to receive them!
Investment Mindset and Strategy
Mindset is paramount: Stay patient and calm, think rationally, and do not be swayed by emotions. Define your strategy: Determine your entry and exit points before entering the market; this is key to steady investment. Breaking into the market: Get used to entering during volume breakouts and pullbacks to reduce risk, focusing on major mainstream coins.
Investment Skills
Long-term weekly: Not only look at daily charts, but also pay attention to weekly charts; strip away bottom coins; holding coins for a long period can also make money.
Retracement Opportunity: Opportunities often arise during retracements, don't be afraid of retracements; it is a good time to buy.
Contrarian Thinking: When others are enthusiastic, we remain calm; when others abandon, we look for opportunities; contrarian operations often lead to profits.
Quick, accurate, and ruthless: In short-term operations, if the trend does not meet expectations within three days, decisively exit; if losses reach 20%, stop-loss unconditionally.
Investment Principles
Go with the trend: The price of the coin is not better just because it is cheaper; the entry point is key.
Learn to follow the trend, embrace the trend; invest in new rather than old.
Give up on obscure coins:
Obscure coins carry high risks and unstable returns; you should learn to give them up and focus on mainstream and promising coins.
Rises quickly and falls slowly, the market makers may be accumulating shares.
Prices surge up quickly but drop slowly; this may indicate that market makers are secretly accumulating shares, preparing for another big push.
Drops quickly and rises slowly, be careful of market makers unloading.
Prices decline rapidly but recover slowly like a snail; this often indicates that market makers are gradually unloading, suggesting the market may be heading downhill.
Don’t rush when volume increases at the peak, run fast when there’s no volume.
When prices are sky-high, don’t rush when volume is high; it may rise further, but if volume decreases, you need to withdraw quickly; it’s losing momentum.
Watch the volume at the bottom carefully; only act when the volume continues to increase.
When prices drop to the bottom, and volume increases, don’t rush to buy; it could be a resting point for the decline. If the volume remains high, it indicates that funds are starting to flow in, and then you can consider buying at the bottom.
Trading coins is about trading emotions; consensus is reflected in trading volume.
Trading coins is really about everyone’s emotions; when emotions fluctuate, coin prices follow suit. Trading volume reflects the consensus of everyone’s opinions.
Accurate control, maneuvering freely in the crypto world, mastering the pulse of money, one article teaches you how to operate!!
Small capital, great wisdom: Not much capital? No problem! Capture a main rising wave once a year*, don’t be greedy and go all in, leave enough cash for emergencies. Remember, capital safety is the way to go!
Cognitive Upgrade, Wealth Comes Naturally: Your understanding determines your wealth limit. Practice with demo accounts, but real combat is where the real skills lie. Start with small funds, learn while earning, and upgrade both cognition and ability!
Sell on good news, take the profit: A major positive development? Don’t hesitate; if you haven’t sold on the day of the news, then decisively sell on the next day’s high opening! The market may have significant selling pressure, remember not to be greedy with short-term trades!
Holiday Risk Avoidance, Stability First: With holidays approaching, reduce positions or go to cash in advance to avoid uncertain risks. Historical data tells you that steady investment is the way to go!
Medium to long-term strategy: Rolling operations: In medium to long-term investments, keeping enough cash is key. When the market rises, sell, when it dips, buy back; rolling operations lower costs and maintain flexibility!
Short-term trading: Active coins are king: In short-term trading, choose active coins! Increased trading volume and large price fluctuations provide many opportunities. Inactive ones...
Coin types? Don’t touch them at all!
Downward rebound, timing is king: Slow declines and slow rebounds, rapid declines and rapid rebounds. Master this rule, and you can easily buy at the bottom and sell at the top!
Stop-loss is golden, protect your capital: Bought the wrong thing? Accept it! Timely stop-loss is key. There are many opportunities in the market; protecting your capital is essential for long-term profits!