I am 35 years old, from Shenzhen. Three years ago, I ventured into the cryptocurrency world with 5000 yuan, starting as a complete novice. Today, my account balance has reached eight figures, and I've earned over 1.7 million U in just half a year. Now, I own a house in Shenzhen and a villa in Foshan, have freedom of time, and a stable mind.
In my opinion, a cryptocurrency expert is not someone who charges in wildly but someone who can remain calm and endure. Below are 7 practical experiences I have summarized. Understanding one can save you hundreds of thousands, and grasping three can help you outperform 80% of retail investors.
Firstly, many people focus solely on price when trading cryptocurrencies but ignore trading volume. In fact, trading volume is the key to the market; understanding it is the real entry point.
Secondly, after a sharp price increase followed by a slight drop, don’t panic; it could be that the big players are accumulating. Be wary of large bearish candles following a surge in trading volume, as this is a "bait and switch" tactic, and rushing to exit can lead to being trapped.
Thirdly, after a flash crash and a slow recovery, don’t rush to buy the dip; this might be the main force's last sell-off. The market loves to punish those who think the price has bottomed.
Fourthly, regarding trading volume, an increase in volume isn’t necessarily a peak, while a decrease can be more dangerous. If there's strong buying volume, the market is hot; if trading is quiet, a crash may be imminent.
Fifthly, don’t act impulsively at the bottom just because of a sudden spike in volume; one day of high volume doesn’t necessarily signify the true bottom. Reversals need to be assessed based on the sustainability after consolidation; staying calm is essential to see the direction clearly.
Sixthly, trading cryptocurrencies is about understanding people's sentiments; trading volume reflects consensus, and price embodies emotions. Understanding trading volume allows you to catch the rhythm accurately.
Seventhly, the highest realm of trading is "nothingness"—not greedy, not fearful, not rushed. Being able to wait without a position and decisively take action when needed is key.
Winners in the cryptocurrency world are not those who react quickly but those who are stable and patient. If you feel you are always going the wrong way and want to turn things around, come find me, Yuzhe, and let’s explore the cryptocurrency world together. #ETH走势分析
