First, let's analyze why losses occur.
I personally believe there are three situations where one keeps losing.
The first scenario is that you are a gambler. Gamblers lose money regardless of the speculative market they play in.
The second scenario is that you are a fool. What does being a fool mean in trading? Frequent trading, heavily investing recklessly, buying high and selling low, chasing rises and selling falls, letting the market dictate your actions.
The third scenario is having low awareness. You might not be a fool, but your understanding cannot assimilate market information; naturally, the market will not pay for your wallet.
To elaborate on the first point, why does a gambler always lose?
Because they want to recover their losses, the desire to recover leads to impatience, and impatience inevitably results in mistakes. The direct consequence of mistakes is foolish operations—namely, the chasing rises and selling falls, reckless heavy investment, and frequent trading mentioned in the second scenario, which naturally creates a vicious cycle, leaving their wallets empty.
Another major trait of gamblers is their unwavering belief that they are born trading prodigies. They might have occasionally achieved tenfold or hundredfold returns in the past, attributing good market conditions and luck to their 'genius.' They refuse to leave high leverage, firmly believing their losses are due to a bad market, not their own problem, and that the money earned through luck is because they are 'geniuses.'
I have too many gamblers around me. Although they refuse to admit they are gamblers, they firmly believe they are trading geniuses. But in the end, their wallets are empty. They seem to realize their gambling nature is strong. Their trading methods might not be fundamentally flawed, but they forget one thing: 'money does not enter through urgent doors.' Many friends start losing when they engage with contracts. Why? Because it triggers their gambling nature. Once the gambling nature is activated, it can only lead to losses—unstoppable losses, increasing losses, and more gambling. In the end, they lose everything.
To elaborate on the second point, what are the ways fools lose money?
Firstly, fools lose money everywhere, and this is indisputable. But if you unleash your foolish intelligence in the cryptocurrency space, your losses will be tremendous. At the same time, the money you should have earned will also be lost. This results in losses on both ends!
For example, a group friend’s operation with a minor player is as follows: if it rises by ten percent, he runs; he thinks he’s made a fortune, but it later skyrockets tenfold, and he slaps his thigh in regret. If it drops by ten percent, he holds on desperately, wanting to break even, but it ends up at zero, and he hates himself and the market.
(It can be argued the other way too. I personally think this cannot be solely attributed to the market but rather to one's own foolishness, not actively seeking information and understanding the market.) There are many methods to lose money, like what I mentioned: reckless heavy investment (lacking position management); frequent trading (not having a personal trading system); buying high and selling low (impatient, jumping in when others make a move, and not analyzing for themselves); chasing rises and selling falls (being led by the market, manipulated by various influencers). That's being a fool!
The third point discusses insufficient awareness.
In the cryptocurrency space, being overly obsessed with a losing path, not knowing how to trade, and continuously trading. Not knowing how to leverage, yet constantly opening leverage to gamble. Losing continuously like a minor player, researching for a long time but still losing. Constantly getting airdrops but never reflecting on their own issues.
You should know that the cryptocurrency space is far more than just these things; all sectors and paths are surface phenomena. Once you dig deep into each sector, you will discover a new world. I follow others in contracts, spot trading, and minor players. Although my understanding in this area is low, I have paid around $4,000 in tuition so far just to stay in sync with the 'experts' in these sectors. Even if I get cut, at least I gain some useful knowledge to maintain relative synchronization with them.
In the airdrop sector, I have conducted in-depth research. Currently, the most advanced play in this sector is not randomly searching for projects to engage with, becoming a black slave.
A more advanced play is to become a tester for project parties! Currently, I am applying to be part of Monad's internal testing team, which can be understood as working for them. This type of profit is particularly rich! In terms of awareness, most people probably don't even know how to apply for internal testing positions. There are many advanced plays that I won’t list; I need to become a black slave now. I’ll come back when I have time.
In conclusion: there are indeed too many ways to make money in the cryptocurrency space compared to traditional society. If you are genuinely losing continuously, it’s time to reflect on yourself, settle down, and seriously consider whether you are suited for this market, whether you fit into this grand speculative paradise. If you can find a sector that resonates with you and delve deep into it, you definitely won’t become the type who is 'always losing money.'
