Entering the cryptocurrency world, how can a beginner avoid losing money?
I think it is more important to tell you what kind of people will definitely lose money in the cryptocurrency world than to tell you how to avoid losing money!!!
There are several types of people who will definitely lose money in cryptocurrency trading!
First, pure beginners, who may have made a profit on a certain coin by luck, but will eventually lose it back through their own lack of skill! Beginners only go all in and like to chase after rising prices and panic sell, completely unaware of what position management means, what profit-taking and stop-loss are; they are always fully invested and always emotional! (Newbie, I suggest you stay away from the cryptocurrency world, it’s really easy to lose money! Watch more, do less!)
Second, small capital players, for example, if you only have a few thousand USDT! Want to earn millions! It’s not that there are no cases of a few thousand USDT turning into millions in the cryptocurrency world; there are, but most of them are from the primary market and contracts! Small capital players who choose the wrong path will also find it hard to achieve class mobility; if you want to multiply your returns with small capital, you definitely cannot choose the secondary market! The secondary market cannot give you hundredfold returns! High multiples can only be achieved in the primary market and contracts!
However, the risks in contracts and the primary market are also extremely high; only one in ten can succeed in these two paths! Watch more, do less!
Third, the giant baby in the cryptocurrency world: someone who knows nothing and needs to be fed, and even needs to be praised for the food brought to them! Such people are basically destined to be far from making money! Because no one will have the patience to keep feeding you! Even your parents will only feed you until a few years old! The giant baby in the cryptocurrency world enjoys being fed and prefers to lie flat and wait for services! Those without a good mindset can only earn or lose a little and will complain endlessly! They are destined not to last long! A bad mindset renders everything pointless!
Fourth, stubborn people, who still hold onto altcoins with both hands and never invest in BTC, ETH, or BNB! Such people have extremely poor risk tolerance! Everyone knows BTC is expensive and thinks altcoins are cheap because they have higher growth rates, but the same applies when they drop; it can be disastrous! While Bitcoin grows slowly and is expensive, it is relatively more stable compared to altcoins. Many who stubbornly hold onto altcoins may just be waiting for the announcement of their delisting from exchanges! In the cryptocurrency world, slow is fast!
The cryptocurrency world has always been a process of survival of the fittest, where only the strong survive! If you want to avoid being eliminated, you must make changes!
