Once newcomers in the crypto world grasp these six iron rules, they can thrive in trading cryptocurrencies and easily manage risks!
1. Market volatility, mindset is key: Don’t easily call a peak when prices rise, and don’t assert a bottom when they fall. Just like whether Bitcoin can reach $150,000 can only be revealed when the market goes crazy. What you think is the bottom may just be a brief stop; the true bottom is always unfathomable.
2. Build positions in batches, stability is king: Experienced traders never rush to succeed when building positions, keeping each trade within one percent. This strategy allows them more chances to make mistakes, lower costs, and reduced risks.
3. Dare to chase highs, achieve the extraordinary: In the crypto world, fearing highs leads to hardship. Understand that the main players’ costs in a cryptocurrency are far more complex than you might imagine, including promotion fees, chip costs, development fees, etc., which could be several times or even tens of times the initial investment. Therefore, daring to chase highs is essential to seize genuine opportunities.
4. Bull market turnaround, don’t miss the chance: A bull market is the only opportunity for a turnaround. Just like Buffett, no matter how smart he is, if he misses the bull market, he can only wait silently in a bear market. Therefore, in the crypto world, seizing the bull market means holding the key to wealth.
5. Technical indicators are for reference only: Technical indicators often lag behind and should be used as references rather than the primary basis for buying or selling. While technical indicators may look good during a strong rise, prices may already be high, so chasing prices needs caution.
6. Full of confidence, unafraid of the market: True crypto trading experts are full of confidence; they have experienced losses but have never been defeated. They firmly believe they will ultimately conquer the market, and this belief is key to their success.
Trading cryptocurrencies is not only a battle of skills and luck but also a test of mindset and wisdom. Only those who master these iron rules and strictly adhere to them can remain undefeated in the crypto world!$BTC $ETH
