“I heard that a certain coin is going to be heavily invested by institutions, I need to buy quickly!” “Insider news, this project is going to be listed on a major exchange next month, it’s still not too late to buy now!” In the cryptocurrency world, such “rumors” are everywhere, and many newcomers suffer huge losses because they blindly trust these messages. I also lost 100,000 because I believed in “rumors” at one point; later, I completely abandoned “rumors” and switched to using tools to analyze the market, improving my accuracy to over 80%. Today, I’ll share these two core tools with you, and after watching, you’ll be able to operate without being taken advantage of by “rumors”!
The 'rumors' in the cryptocurrency space are 99% scams, either positive news released by project parties to pump prices, or lies fabricated by 'scammers' to make newbies take the bait. I was once deceived by a so-called 'insider information'. Someone said a certain project would be heavily invested by a well-known institution. I believed it, bought in fully, and shortly after, the project party released an announcement to refute the rumor, causing the coin price to plummet by 50%. I lost 100,000 in capital. Later I realized that in the cryptocurrency world, only data does not lie. Investing based on 'rumors' is no different from gambling.
After years of practice, I have discovered two of the most practical cryptocurrency analysis tools that beginners must learn to use:
First, Nansen. This is an on-chain data analysis tool that can monitor the flow of large funds in real time, changes in whale addresses' holdings, NFT trading conditions, and more. Through Nansen, we can clearly see whether the main funds are buying or selling, thus judging the market trend. For example, if we see a large number of whale addresses increasing their holdings of a certain coin, and the capital inflow continues to rise, it indicates that this coin may have upward potential; if we see whale addresses continuously selling off, we must be alert to the risks.
Second, Dune Analytics. This is an on-chain data visualization platform with many dashboards created by developers, which can intuitively display project on-chain activity, transaction amounts, user growth, and other data. Through Dune Analytics, we can quickly understand the true situation of a project. For example, if a project's on-chain transaction amount continues to decline and the number of users keeps decreasing, it indicates that the project may be on a downward trend. No matter how many positive news there are, it is not advisable to invest.
My view is: in the cryptocurrency space, information asymmetry is the core of making money, but we need to obtain 'effective information', not 'rumors'. Newbies must learn to use on-chain analysis tools to see through the market truth via data, rather than blindly believing others' rumors. After all, in this age of information explosion, there is too much false information. Only by mastering the ability to analyze data can we make correct decisions in the market.
Tomorrow I will tell you about 'the core logic of portfolio diversification in investment', teaching you how to build a robust cryptocurrency investment portfolio that maximizes returns while controlling risks. Follow me to master the core investment skills in the crypto space, turning from 'blindly following trends' to 'rational investment', achieving a true wealth reversal!
If you currently feel helpless and confused in trading, and want to learn more about cryptocurrency knowledge and first-hand cutting-edge information, follow me@标哥说币
