Trading cryptocurrencies is not much different from trading stocks; ultimately, it is all about investment. The knowledge, skills, and concepts required for investment all need to be learned.
From macro to micro.
Macroeconomics: The direction of the global economy, whether it is prosperity, recession, or recovery, will be analyzed using various macroeconomic indicators such as CPI, PPI, GDP, PMI, etc. Pay attention to the interest rate hikes and cuts of the People's Bank of China and the Federal Reserve, as well as the trends in the US dollar index, US bonds, and US stocks. Focus on the data from a few major countries.
Study macroeconomics to judge the economic climate, the bull and bear markets in the cryptocurrency space, and the overall market trends. If there is global liquidity and ample funds, the market is basically in a bull market, so just hold stablecoins. Conversely, if the economy enters recession and depression, it is fundamentally a bear market, and it is better to stay out of the market.
Microeconomics: Study the teams, technologies, sectors, communities, promotions, market caps, number of holders, distribution of holdings, Twitter popularity, etc. of cryptocurrencies. Analyze the historical price trends, trading volumes, and various technical indicators, as well as the exchanges they are listed on. Focus on the top 50 cryptocurrencies by market cap; those with poor fundamentals will likely go to zero in the future. There are very few cryptocurrencies that can last a hundred years. Bitcoin must be one of them; if you choose poorly, just buy Bitcoin.
Study microeconomics to identify specific cryptocurrencies with potential for significant future growth.
Others can bypass restrictions, access exchanges, use wallets, understand the importance of mnemonic phrases, conduct transfers, withdraw funds, use blockchain explorers, and perform basic operations with smart contracts, DeFi, NFTs, etc. The focus should be on safety; don’t get scammed and don’t lose coins.
Trading cryptocurrencies is easy to learn but hard to master; continuous profitability is a long-term challenge.