What is the greatest test for people in a bull market? — 'Holding On'
The biggest test of a bull market is not how many successful trades you make, but whether you can persist in 'holding on.' Why is this so important?
1. Market Volatility
In a bull market, the market is extremely volatile, with rapid price increases and sudden deep pullbacks often leaving people startled. Each pullback can make investors uneasy, especially when you find yourself in what seems to be a 'decline,' causing significant psychological pressure.
2. Fear Psychology
As the price of cryptocurrencies continues to rise, investors' 'fear of heights' emotions also come into play. Each increase is accompanied by worries of 'could this become a bubble?' When seeing prices soar, it’s easy for people to develop a fear of 'buying at a high point,' becoming increasingly anxious as prices rise, worried about missing the peak or suffering significant losses after a price drop.
3. Gradually Rising Bottom
In a bull market, the market's bottom often gradually rises without anyone realizing it, making it difficult for investors to accurately grasp the best buying opportunities. Many times, the bottom has already risen, yet you are still waiting for the ideal buying point, missing out on numerous opportunities.
4. Comparison Psychology
Seeing others' cryptocurrencies skyrocketing while your investment lags can lead many to self-doubt. Especially during periods of price consolidation or pullbacks, it’s easy to be tempted to sell, and the result is often that once you sell, the price begins to soar, leading to deep regret over the 'rise after selling' scenario.
5. Information Interference
On social media, various posts showcasing profits are endless, with some people sharing profits in the millions or tens of millions, making you feel anxious and unsettled. Even if you have already achieved some gains, seeing the speed and amounts others are making can still lead you to doubt your investments, or even waver.
These emotions and psychological reactions are common challenges in a bull market, and many investors are easily influenced by market fluctuations and external noise during this phase. However, the true winners are often those who can hold firm and remain calm. As an experienced investor once said: 'The hardest part is not catching the rise, but holding on to what you have already caught.'
