The cryptocurrency market is ever-changing. How should one choose between short-term and long-term trading?
In the crypto market, the choice between short-term and long-term trading confuses many participants. In fact, which method is more suitable depends not only on market fluctuations but also on individual factors such as time, energy, skills, and capital scale.
Many people wonder: Is it still suitable to do short-term trading now? If recent short-term trading has resulted in losses, the problem often lies not in the market conditions but in one's own choices. The core of short-term trading is to enter and exit quickly, but when both sides of the market are in fierce contest, it is difficult to achieve substantial profits even with excellent skills. Frequent operations and heavy investments will only increase losses, so the entry position is extremely critical.
1. Suitable for short-term trading:
Those who can quickly adapt to market fluctuations and possess a high level of concentration. Short-term trading requires traders to closely monitor market dynamics and adjust strategies at any moment. If one does not have enough time and energy to pay attention to the market, engaging in short-term trading during unclear market conditions is akin to gambling. This is also why many short-term experts choose to hold light positions or even no positions during market fluctuations, waiting for better opportunities.
2. Suitable for long-term trading:
Long-term trading has a more stable rhythm, suitable for those who cannot constantly watch the market but have confidence in capturing major trends. If engaging in long-term trading, experiencing a drawdown that turns unrealized gains into unrealized losses is not a significant issue. This is because the long-term goal is not to react to short-term fluctuations but to patiently wait and seize larger trends. As long as one has enough trust in the assets held and does not waver easily, the market will eventually reward them.
