The development of the crypto market has always been accompanied by drastic bull and bear alternations, with each cycle resembling a brutal trial that filters out a few survivors who can adapt to the market rhythm and overcome human weaknesses. In this dual test of cyclical games and human trials, most participants leave the market quietly due to their inability to grasp the cyclical laws and being led by greed and fear in decision-making, while survivors, through profound insights into the cycle and precise control over human nature, have carved out a path for long-term survival.
Grasping the core laws of bull and bear cycles is the key prerequisite for survivors to establish themselves in the crypto market. The bull and bear cycles in the crypto market exhibit distinct phased characteristics: in the early bull market, market sentiment is low, quality assets are severely undervalued, and a few sharp participants quietly start to position themselves; in the mid-bull market, market sentiment gradually warms up, capital begins to flood in, and asset prices rise rapidly; in the late bull market, market sentiment reaches a frenzy, various air coins flood the market, retail investors rush to chase the rise, while survivors begin to gradually cash out their profits; in the early bear market, the market bubble bursts, asset prices plummet, and panic sentiment spreads; in the mid-bear market, the market enters a long period of consolidation, and most participants lose confidence and cut their losses; in the late bear market, market sentiment drops to freezing point, quality assets are once again undervalued, and survivors begin to position themselves again. Most participants fail to recognize the phased characteristics of the cycle, chasing rises at the end of the bull market and cutting losses at the end of the bear market, perfectly stepping against the market rhythm. Survivors, on the other hand, can accurately grasp the core laws of the cycle, adopting different investment strategies at different stages of the cycle to achieve 'cashing out in bubbles and positioning in undervaluation.'
Overcoming human greed and fear is the core element for survivors to win in cyclical games. Human greed and fear are infinitely amplified in the bull and bear cycles of the crypto market. At the end of a bull market, greed drives most participants to chase prices higher, even risking leverage to enter the market, hoping that asset prices will continue to rise; meanwhile, at the end of a bear market, fear causes most participants to lose their rationality, hastily cutting losses and abandoning highly undervalued quality assets. This emotion-driven decision-making ultimately leads to significant losses in the market. Survivors are able to overcome human weaknesses, remain calm during bull market frenzies, adhere to the principle of 'be fearful when others are greedy', and not be overwhelmed by short-term gains, realizing profits in a timely manner; during bear market lows, they maintain optimism, uphold the idea of 'be greedy when others are fearful', not swayed by panic, and patiently position themselves in quality assets. They understand that market emotions always swing between extreme greed and extreme fear, and only by breaking free from the shackles of emotions can rational decisions be made.
Maintaining independent thinking and rejecting blind following is an important survival trait of survivors. In the crypto market, the emotional provocation of social media, the so-called recommendations from 'influencers', and the dissemination of 'insider information' often lead most participants to blindly follow the crowd. Most people lack independent thinking and are easily swayed by external voices, drifting along in the market, ultimately becoming the 'chives' that are harvested. Survivors, on the other hand, always maintain independent thinking, do not blindly trust any external information, and conduct in-depth analysis and verification of various voices in the market, making decisions based on their own understanding and judgment. They understand that the crypto market is filled with a large amount of false information and misleading statements, and only by thinking independently can they penetrate the fog of information to find the truth of the market.
The long-term investment philosophy is an important guarantee for survivors to navigate through bull and bear cycles. Most participants pursue short-term gains in the crypto market, frequently engaging in swing trading, trying to achieve quick wealth through 'buy low, sell high'. This kind of short-term speculative behavior not only makes it difficult to grasp market rhythms but also incurs high transaction fees due to frequent trading, while increasing the risk of losses. Survivors, however, adhere to a long-term investment philosophy. They understand that the long-term development trend of the crypto market is upward, and short-term fluctuations are just normal phenomena within cycles. They choose high-quality assets with long-term value, hold them for the long term, ignore short-term market fluctuations, and achieve asset appreciation through the passage of time. This long-termism philosophy enables them to navigate through the volatility of bull and bear cycles and achieve stable long-term returns.
In summary, survivors in the crypto market are the winners of cyclical games and the victors of human nature trials. They stand out in the brutal market competition through profound insights into cyclical laws, precise control of human weaknesses, the ability to think independently, and a long-term investment philosophy. For ordinary participants, if they want to survive long-term in the crypto market, they must learn to grasp cyclical laws, overcome human weaknesses, maintain independent thinking, and adhere to long-termism. Only in this way can they survive this cyclical game and human nature trial, achieving long-term appreciation of their assets.@帝王说币 #加密市场观察 $BTC
