In a bull market, the following six points are the most taboo:
1. Excessive pursuit of the bottom and ignoring the power of the trend: Many traders are obsessed with capturing the lowest point of the market, but ignore the core of the bull market - following the trend. They frequently try to short by predicting the top, but often miss the precious opportunity to follow the market up.
2. Falling into the vortex of income comparison and unbalanced mentality: In a bull market, everyone seems to be talking about their high income. This environment easily makes people feel anxious and constantly compare with others, thus ignoring the rationality and long-term nature of their own investment strategies.
3. Frequent trading and cost accumulation: Faced with the continuous rise of the market, some investors find it difficult to suppress the impulse of frequent position changes and try to capture every hot spot. However, this behavior not only increases transaction costs, but also may miss the main rising bands due to frequent entry and exit of the market.
4. Leverage increase and risk doubled: When seeing the market they missed rise rapidly, some people choose to increase leverage to try to make up for the loss. But any small correction in the market may be the last straw that breaks the camel's back, causing the position to shrink rapidly or even burst.
5. Single-minded thinking, ignoring the value of diversification: It is a narrow view to mistakenly believe that missing out on Bitcoin is equivalent to missing out on all investment opportunities. In the field of blockchain and digital currency, many high-quality projects are booming, each with its own unique value and potential.
6. Biting off more than one bites off more, lack of focus: There are many tracks in the market, each full of temptations. However, investors who can really succeed often know how to make choices and focus on areas they are good at and optimistic about, rather than trying to get a share of every field. They understand that focusing on one point can often gain more.
In short, it is crucial to keep a clear mind and rational thinking in the bull market. Investors should learn to follow market trends, avoid blindly following the trend and over-trading; at the same time, maintain a calm mind and pay attention to their own investment strategies and risk control.
As a blogger who has been working in the currency circle for many years, I am willing to share my experience and insights with you. In front of fans, my bull market strategy layout will be shared free of charge. I am only a free blogger. I need fans and you need reference.