The dumbest way to trade cryptocurrencies, but I made 2 million! Newbies can follow this, with a success rate close to 100%!
While some people obsessively watch the market and study technical indicators, I managed to grow my principal to 2 million using a 'dumb method.'
No exaggeration, this method looks simple as a joke, but in practice, the success rate is truly astonishing.
1. The market crashes, but your coin hasn't dropped much?
That means someone is supporting it, and there's a big player involved. Don't rush to sell such coins; keep them, as they might be the next candidates for a significant rise.
2. Can't read charts? Just look at the moving averages!
For short-term trades, watch the 5-day moving average; if the price is above it, hold; if it drops below, exit. For medium-term trades, the same logic applies to the 20-day moving average. The method that suits you best is the best; stick with it to profit.
3. Is a main upward trend coming? Don't hesitate, go for it!
If a coin starts a major upward trend but hasn't seen significant volume yet, act decisively. Hold if it rises with volume; if it pulls back on low volume without breaking the trend, continue holding. Only consider reducing your position if there's a volume-driven decline.
4. Bought and did nothing for three days? Get out!
For short-term trades, if you haven't acted in three days, it's best to pull out. If it's down, tolerate a maximum of 5% drawdown without hesitation, and cut losses.
5. Dropped for eight consecutive days + halved by 50%?
This is the classic signal of an oversold condition! A rebound could happen at any time, suitable for small positions to take a gamble.
6. Always choose leading coins!
Don't pick up junk coins; during a bull market, focus on leading coins. They surge strongly when the market is strong and are more resilient during pullbacks. Coins that have risen significantly can continue to rise; don't be trapped by the mindset of 'not daring to buy after a big rise.'
7. Trade trends, not fantasies of hitting the bottom!
Don't think about bottom fishing every time the price drops; if you've chosen the wrong direction, you'll just get more trapped. The entry point isn't about getting the lowest price, but the right trend and timing.
8. Don't rely on luck to make a living; rely on a system!
Made money today? You need to know if it's luck or skill. Reviewing trades daily and reflecting on your logic is key to progress. Building your own trading system is the core of sustained profits.
9. If you don't understand, don't mess around; staying in cash is also a tactic!
If you're unsure, don't act. The most important aspect of trading isn't frequency but the success rate. Don't panic if you're not in a trade; preserving your capital gives you the chance for the next opportunity.
The cryptocurrency world isn't something you can conquer alone; going solo will only cause you to miss opportunities. Follow the right people and team up to have a chance at capturing the entire wave of profits!