Today (3), Shen Yu, co-founder of the world's largest mining pool - F2Pool, cited Bitcoin miner Peicaili's exit plan for Bitcoin, sharing his views on how to operate and the difficulty coefficients of trading in the current bull market.
He believes that different types of cryptocurrency trading operations have varying difficulties, and the skills, psychological qualities, and understanding of the market required for these operations are also different.
Difficulty one star, arbitrage
Shen Yu stated that arbitrage operations are relatively low in difficulty, usually only requiring basic mathematical calculation skills (addition and subtraction). However, despite the simplicity of the operation, the strength of execution will determine the final key.
Difficulty two stars, bottom-fishing
The difficulty of bottom-fishing operations is relatively high, especially in terms of position management and emotional control. Shen Yu pointed out that this type of operation not only requires investors to have sufficient insight into the market but also needs enough capital reserves to seize the most suitable buying opportunities, making the control of opportunities especially important!
Difficulty three stars, heavy positions after selling out
Heavy positions after selling out is a very challenging operation because it requires investors to have strong psychological qualities. This operation is usually performed after the market fluctuates significantly post-sale, and the choice of heavy positions should be based on a comprehensive assessment of risk and the ability to quickly adjust mindset, unaffected by the emotions of having sold out.
Difficulty four stars, escaping the peak
The difficulty of escaping the peak is relatively high, requiring analysis of multiple factors. Shen Yu emphasized that in addition to fundamental data, investors should also pay attention to changes in the macroeconomy and fluctuations in group sentiment. This operation requires investors to have keen insight into market trends and the ability to react quickly within a short period.
Difficulty five stars, leverage trading
Leverage trading is the most difficult operation. Shen Yu pointed out that it significantly amplifies market volatility while also reducing the survival rate. For investors, leverage trading requires not only proficiency in bottom-fishing, heavy positions, and escaping peaks but also sufficient capability to cope with high risks.
Learn to 'take over' instead of escaping the peak
Shen Yu stated that after years of experience, he no longer has high expectations for 'escaping the peak', but has instead learned how to 'take over' in the market, absorbing more assets when prices fall. Rather than wasting energy trying to capture the highest point, it is better to learn how to buy at lows, so that low buying and high selling can seize the opportunity in a bull market.