After trading for a whole year, is your account still stuck in place? Have you even lost money for bubble tea? Don't panic, it's not that you're unlucky, it's just that no one dares to tell you these heartfelt truths!
I am Old Lin, I've been in the crypto circle for 8 years, and the losses I've incurred could fill a hot pot table. The money I've made is enough to buy a new large apartment for my family. From being a newbie who couldn't even recognize all the K-lines to now being an analyst who can steadily earn profits, today I'm sharing my top 10 experiences with you, each worth six figures. Pay close attention, and next time at a gathering, you can be the host.
1. Don't waste small money, being fully invested is equivalent to surrendering.
Friends with only two to three hundred thousand, don’t think about going all in every day. Early in my career, I went all in with 100,000 chasing highs, and lost 30,000 in a day; I couldn't even add sausage to my instant noodles. Remember, the core for small funds is 'waiting for opportunities'; catching a big market trend once a year is enough to sustain. When the market isn’t coming, if you trade less once, you’re better off than 90% of retail investors. Patience is more useful in the crypto circle than leverage.
2. If your understanding is inadequate, making money is just 'road money'
Don't envy those who suddenly become rich; many who make money cannot hold onto it because they don’t understand how money comes. I suggest beginners practice with a simulation account for 3 months to stabilize their mindset. In a simulation, losing 1 million won't hurt, but in a real account, one impulsive move could lead to immediate exit. First, understand what moving averages and trading volumes are, then enter with real money; that’s the stable path.
3. Good news shouts, quickly show your chips
"Good news turns bad" is something I have engraved on my computer screen. There was a hot project that released good news; a group of people rushed in, and the next day it opened high and closed low, all getting trapped. Remember, if you haven't gotten in on a major news announcement on the day it comes out, don’t touch it if it rises the next day. The big players are just waiting for retail investors to take over; don’t be that 'bag holder'.
4. Don't be greedy during holidays; being in cash allows you to sleep soundly
With 8 years of experience, I tell you: during holidays, reduce your position first. Whether it's the Spring Festival or National Day, the crypto circle loves to 'stir things up'. A few years ago during the Mid-Autumn Festival, I held positions during the holiday and lost 20% in three days; I couldn't even enjoy mooncakes. Reduce your position before the holiday; even if it does rise, don’t regret it; it’s better than crying over losses, and only those who can sleep well are the winners.
5. In medium to long-term investing, don’t 'hold on dead', cash is the backbone
Many people invest all their money in medium to long-term and panic when the market corrects. The essence of medium to long-term investing is 'having grain in hand, no panic in heart'; always keep more than 30% in cash. Sell some when it rises and buy a little when it falls; rolling operations are the way to go. Don’t think about hitting the top in one wave; that’s the script for big players. As retail investors, it’s enough to play a supporting role and earn a little.
6. For short-term trades, 'pick the fat and discard the thin'; don't touch the obscure ones
Trading short-term is like finding a partner; you need to find the 'active' ones. Those cryptocurrencies with low trading volume, which don’t move for half a day, are like a silent gourd. Wasting time on them will only affect your mindset. Choose those that fluctuate greatly every day, with active trading, making it easy to enter and exit; you can run away quickly if you make a profit, and cut losses quickly if you incur a loss.
7. The sharper the drop, the stronger the rebound may be
The market is like a spring; the more it's compressed, the higher it bounces. If it slowly declines, the rebound will also be sluggish; but if it suddenly drops, don’t panic and cut losses; it may rebound quickly. I once encountered a sharp drop and almost cut losses at the bottom; the next day it rebounded by 15%, and I still have nightmares about it. Timing this rhythm helps you avoid many pitfalls.
8. Admit when you're wrong; cutting losses is more important than making money
This is a lesson I learned after three liquidation experiences: if you buy the wrong thing, don’t hold on stubbornly. Early on, I held a cryptocurrency that dropped from 10 to 3 but was reluctant to sell, and it eventually fell to 1; I lost half my capital. Set a stop-loss line, like selling if it drops by 5%; don’t be attached to that little money. As long as the capital is there, opportunities are always there; this is fundamental to surviving in the crypto world.
9. When watching short-term trades, focus on the right candlestick chart
When trading short-term, don't stare at the screen blindly; just look at the 15-minute candlestick chart, combined with the KDJ indicator, and the buy/sell points become clear. I currently rely on these two tools for short-term trading, looking for half an hour in the morning and half an hour in the afternoon, without needing to monitor all day, yet I can accurately find buy/sell points, earning more steadily than those who stay up all night watching the market.
10. It's not about the number of techniques; mastering them to perfection is the secret skill
Don't be fooled by flashy technical indicators like MACD and RSI; you don't need to master them all. I only specialize in moving averages and KDJ, practicing for 5 years, and now I can judge the market roughly even with my eyes closed. Technology is like martial arts; mastering one move can allow you to thrive; the key is to refine it to perfection.
These experiences are all earned with real money, 100 times more useful than those 'secret techniques' found online. In the crypto circle, avoiding detours means making money; if you avoid a pitfall today, you might earn enough for a car tomorrow.
If you still look confused, buying when it drops and selling when it rises, don't force it. Follow me@男神讲趋势 #加密市场反弹 $BTC
