Can ordinary people achieve asset leaps through cryptocurrency trading? The key is not in the market conditions, but in the method of operation.
There are indeed opportunities in the cryptocurrency world, but most losses are not because of misjudging the direction, but rather due to chaotic rhythm and lack of discipline.
When the market is in a sideways phase, the most reasonable choice is to wait and see.
After consolidation, a directional choice often appears. Entering before the trend is clear means taking on uncertainty in advance.
Participating only after the trend has emerged is, in itself, a way to reduce risk.
In short-term trading, popular positions are not suitable for holding onto for too long. Capital movement is the core of short-term market trends; once the excitement decreases, prices often drop quickly. If you react slowly, you can easily get stuck at a high position. Short-term positions need to be continuously switched, not held for the long term.
When prices rise slowly along the trend and volume increases simultaneously, it indicates that the market is entering a pushing phase. In this case, one should reduce frequent operations and focus on the trend.
However, if a large bullish candle with increased volume appears, regardless of its position, one must consider taking profits. Increased volume often means greater divergence and a higher probability of a pullback; exiting early is a protection of existing profits.
Buying and selling should revolve around moving averages, support levels, and resistance levels. If a judgment is wrong, timely adjustments should be made, and stop-loss measures should be executed for operational mistakes.
Short-term trading emphasizes execution, not prediction. The holding period should be controlled within a few days; exceeding this time is no longer in line with short-term logic, and subsequent trends should not be participated in.
In the cryptocurrency world, there are some basic principles that need to be repeatedly executed: do not chase after rises, do not catch falling prices, and do not act in a sideways market. Many losses do not come from one-sided markets, but from frequent actions.
Before each purchase, one must clarify the reasons for buying, the operational plan, the response plan for declines, and the handling methods after being stuck.
Funds should be used in batches to avoid a one-time investment. As long as each transaction is planned and responsive, over the long term, the results depend more on discipline than on luck.
I am Uncle Nan, using the pitfalls I've encountered to help you avoid detours.