I see you all want to buy at the bottom, so let me tell you

Generally speaking, few people can buy at the bottom accurately. Those who can buy are just lucky. You all know this premise, so our operating space is generally on the left and right sides of this bottom.

The picture is drawn casually. There are many bottom forms. This is just one of them. It is not recommended to carve it.

It can be seen that because the bottom position is uncertain, the left side needs to be bought in batches multiple times, which means that the left side purchase has high requirements for the ability to allocate funds and the fundamentals of the underlying assets. At least it is highly likely that it will not return to zero while buying. At present, in my narrow cognition, only Bitcoin can be bought on the left side of the crypto market. The risk of returning to zero after all other currencies enter a downward trend will be relatively large, especially DeFi currencies that may cause on-chain stampedes.

The stop loss on the left side is not so fixed. It may change with the indicators used in personal trading strategies. The most common example is that if it falls below MA120 or EMA200, the left side purchase will be stopped and the loss will be stopped. Some do not have a stop loss, such as the Martingale strategy.

At the same time, buying on the left side also means that traders need to extend the battle line, because no one knows how many times they will have to buy in batches before the official breakthrough. The specific length of the battle line depends on their own trading level, so they must be mentally prepared before starting left-side trading.

After the breakthrough, it is right-side trading. The advantage is that it is more flexible and the stop loss is clearer. You can choose whether to trade in waves or long-term according to the market situation. Although there may be false breakthroughs/failed breakthroughs, thanks to the existence of clear stop losses, you can leave the market in advance and look for opportunities, thus avoiding excessive floating losses.

Whether it is the left or the right side depends purely on personal preference and trading style. I prefer the right side, but for Bitcoin, I occasionally participate in left-side trading at a large level.

P.s Don't do contracts on the left side.