I chatted with a few small investors who made a fortune trading cryptocurrencies, and it turns out there are reasons why they can make money.
Here are some key points of experience shared:
Due to their strong sensitivity to trading, they can quickly react when there are new voices in the market.
1.1 Quickly check Twitter, multiple active WeChat communities, and keyword searches. Observing the discussions in market communities from an outsider's perspective allows them to analyze feasibility more objectively.
1.2 Pay attention to the contract holding data of tokens, extending historical holding data to analyze from a macro perspective whether strong whales are planning to pump the market.
1.3 Analyze project endorsements, whether there are recent hot trends in the sector, and if retail investors are optimistic with light positions, while institutional big players are holding heavier positions! For instance, if there are no discussions from institutional players on a hot trend in the sector, and the market is dominated by retail voices, such coins should only be held lightly and sold quickly. I believe nothing is absolute; this is merely a reference.
One crucial point is trading insights.
Since Binance is a mainstream trading platform, there are three key indicators in trading insights that are very worth referencing:
1. Keyword searches
2. Watchlist
3. Market discussions
If these three indicators correspond with the above, it indicates that this coin is feasible.
This is their general thinking, which I find quite useful, but it still needs to be combined with practical operations for execution.
After all, the market changes rapidly, and many times it's a race against time.
When opportunities arise, quick research and decisive decision-making are essential to seize the moment.