Spot + can only buy long, contracts + can short, with more money buy spot in batches, avoid altcoins, just buy BTC + ETH, you can also opt for dollar-cost averaging. With less money, buy contracts and take a chance to turn a bicycle into a motorcycle. Or when the market is down, you can also buy contracts to short.
It took me nearly two years to truly earn my first pot of gold in the crypto world. I got involved in crypto contract trading in 2018, and at that time, I was fearless. Relying on my own strength, I lost over 800,000 in half a year. At that time, I was still working, and although most of it was my savings, I didn’t dare to let my family know because they didn’t understand and support me at first. I felt that the most painful part was not how much I lost, but the feeling of loss, the negative emotions under long-term pressure, leaving me in a state of gloom.
Survival guide in the crypto world: Revealing super practical trading techniques (purely practical tips).
Navigating in the crypto world, trading strategies are your 'secret weapons'. The following tips are the crystallization of practical experience!
- Entry section: Test the waters in the crypto world; prepare to enter steadily, refusing to rush in.
- Consolidation section: Low-level consolidation creating new lows is the right time to buy heavily; high-level consolidation with a breakout, sell decisively without hesitation.
- Volatility section: Sell on spikes; enter quickly on drops; watch and wait during consolidation to reduce trading. Consolidation means holding tight, and a rise may be just a moment away; during rapid rises, be wary of sudden drops and be ready to secure profits; a slow decline is a good time for gradual averaging down.
- Timing of buy and sell: Don't sell when prices rise; don't buy when they drop; don't trade during consolidation. Buy on a bearish candlestick and sell on a bullish one; contrarian trading is how you stand out. Buy on a big drop in the morning, sell on a big rise; don't chase high in the afternoon's significant rise, buy after a drop in the afternoon the next day; don't cut losses on a big drop in the morning; if prices are stagnant, take a rest; average down on trapped positions to seek capital preservation; excessive greed is not acceptable.
- Risk awareness section: A calm lake can suddenly have high waves; after a big rise, there must be a pullback, with candlesticks showing a triangle for many days. In an uptrend, look for support; in a downtrend, look for resistance. Over-leveraging is a big taboo; being stubborn is not feasible; face the uncertainty, know when to stop, and seize the opportunity to enter and exit. Trading cryptocurrencies is essentially trading your mindset; greed and fear are the main enemies; be cautious when chasing highs and cutting losses, and keep a calm heart for peace.
In addition to the tips, I have also compiled several super practical trading methods that can benefit both novice traders and seasoned players.
Volatility trading method: Most market conditions are in a volatile pattern; utilizing high sell and low buy within the range is the foundation for stable profits. Use BOLL indicators and range theory, combine technical indicators and patterns to find resistance and support accurately. Follow short-term trading principles and avoid greed.
Breakout trading method: After a long period of consolidation, the market will choose a direction; entering after a breakout can yield quick profits. However, you need to have accurate judgment skills for breakouts, maintain a stable mindset, and avoid greed and fear.
Unilateral trend trading method: After breaking through the market, a unilateral trend will form; trading in the direction of the trend is key to making profits. Enter during pullbacks or rebounds, refer to candlesticks, moving averages, BOLL, trend lines, etc.; mastering them will allow you to operate with ease.
Resistance and support trading method: When the market encounters key resistance and support levels, it often faces obstacles or gains support; entering at this time is a common strategy. Use trend lines, moving averages, Bollinger Bands, parabolic indicators, etc., to accurately judge resistance and support levels.
Callback rebound trading method: After a significant rise or fall, there will be a brief pullback or rebound; seize the opportunity to profit easily. The main basis for judgment is the candlestick pattern, and good market intuition can help you accurately grasp high and low points.
Time period trading method: The morning and afternoon sessions have small fluctuations, suitable for conservative investors; although the time to profit from placing orders is long, the market is easier to grasp; the evening and late-night sessions have large fluctuations, suitable for aggressive investors; they can profit quickly but face higher difficulty, with strict requirements on technical skills and judgment.
Here are a few things you need to do.
1. First, adjust your mindset. Treat trading cryptocurrencies as a game; winning or losing doesn’t matter. Only in this way can you trade cryptocurrencies lightly.
2. Use spare money to trade. The funds for trading cryptocurrencies must be spare money that won’t affect your life if lost; only then can you trade with confidence.
3. Make the most of your time to learn. If you want to trade cryptocurrencies well, clarify practical technical indicators and trading strategies as soon as possible, engage in more practice, and summarize your experiences.
4. Be cautious in the initial battle. Retail investors typically have limited funds, so effectiveness is crucial. Especially for first-time traders, careful preparation is essential to strive for a successful first battle. Before trading, make good use of simulation systems for practice; after gaining some experience, then take action. Otherwise, entering the market may lead to being trapped or cutting losses, which significantly impacts confidence.
5. Preserve your capital; using the money earned to trade cryptocurrencies will make you feel more relaxed and allow for more freedom in your trading.
If you are just entering the market, come directly, and I will teach you to learn while operating; if you are already in it and it's not ideal, you can also come; I will help you and won't let you keep making mistakes; if your position is trapped, I will provide reasonable solutions based on your entry point. Because everyone's trapped position is different, the solutions will also vary; some are suitable for conservative traders, and some for aggressive ones. I will definitely use the most suitable methods to genuinely solve problems for you and assist you in exiting.
If price movements are random, why do so many classic chart patterns appear? The answer is that 'the vast majority of market participants have similar mindsets and decision-making processes.' If a certain price level (price pattern) is tested multiple times by the market but fails to break through, it will give traders more confidence; they will be more convinced of the reliability of this price pattern.
Ten small trading tips for earning a million a year!
1. Stay calm and rational: In the crypto world, rationality and patience are the cornerstones of success. Avoid impulsive actions driven by greed to prevent missing good opportunities.
2. Understand the market as a whole: Don't just focus on the 'big players'; the market is influenced by multiple factors such as the global economic environment, policy dynamics, technological innovations, etc., and requires comprehensive consideration.
3. Understand the difficulties of the main players: Grasp the logic and difficulties of the main players' operations, but maintain independent thinking and not be swayed by their actions. The market is complex and variable, and the intentions of the main players are hard to grasp.
4. Pay attention to unusual movements at the bottom: A volume increase at the bottom may indicate a capital influx, but it should be analyzed comprehensively with other indicators to beware of false breakout traps.
5. Respond calmly to market shakeouts: Shakeouts are a normal market occurrence, aimed at eliminating impulsive investors. Maintain composure and wait for the trend to clarify before making decisions.
6. Mid-term layout and position control: Select cryptocurrencies to hold long-term while reserving some funds for flexible operations, optimizing investment efficiency through a rolling strategy.
7. Essence of short-term trading: Short-term trading requires sharp market insight and decisiveness. Pay attention to candlestick patterns, market sentiment, changes in popularity, and the rate of price increases.
8. Bottom buying strategy: Buying during the bottom formation is relatively stable, but it requires patience to wait for confirmation signals and avoid blindly bottom-fishing.
9. Be cautious when chasing highs: Chasing highs may lead to quick profits, but risks also increase. Accurately assess the sustainability of the upward trend to avoid getting caught at high levels.
10. Comprehensive use of technical indicators: Divergence is an important signal in technical analysis, but it should be combined with other analysis tools and market realities to avoid one-sided judgments.
I have been navigating the market for many years, well aware of the opportunities and traps within; if your investments are not going well and you feel discontent with your losses, leave a 999 in the comments! Sharing insights on uncertainty.
