Now think about it, it makes sense. Why does BTC keep hitting new highs? Here are some mistakes that retail investors make that lead to losses.
1. No research, just blindly buying.
2. When the amount of funds is small, there are too many positions held.
3. Failure to gain in-depth understanding after suffering losses and to stop losses in time.
4. Choosing to stay flat after suffering floating losses, without continuous follow-up, feedback, and optimization of position holding strategies.
In fact, as long as you keep tracking, giving feedback, optimizing, and continuing to study and learn, it is possible to reduce losses and expand profits. An obvious rule is that when Bitcoin falls slightly (2-3%), altcoins will generally plummet, and when Bitcoin rises slightly (3-5%), altcoins will generally soar.
One thing that many beginners often forget is that after a drop at the same price level, it needs to rise more to come back. For example, buying at 10 and dropping 50% to 5 requires a 100% increase to break even.
The reasons for missing out can be summarized into four common issues.
First, we are always lazy and afraid of trouble.
Even when seeing Bitcoin's price continually hitting new highs, we are unwilling to actively understand it. We maintain a mindset that it could crash at any moment while waiting to see a joke. This mindset stems from our lack of a strong desire for money, causing us to miss various opportunities. Secondly, we have an innate resistance to new things. We always prefer the familiar and instinctively resist the unfamiliar. However, if we can combine the unfamiliar with what we already know, transforming it into something we are familiar with, we can more easily accept new things. However, most people blindly criticize and ridicule Bitcoin without understanding it, thinking it is a bubble. This approach undoubtedly makes us miss opportunities for wealth. Only when we fully understand and recognize the value and potential opportunities of new things can we make informed decisions.
In addition, there is the spirit of risk-taking, or what is known as the gambler's mindset.
Even though we fully recognize Bitcoin's investment value, we still fear failure and are reluctant to invest too much capital. This mindset limits our investment scale and potential returns.
We always tend to listen to others' opinions rather than delve into new things ourselves. This behavior not only causes us to miss opportunities for wealth but also restricts our personal growth and development.
If we cannot overcome these issues, even with another opportunity to get rich, we are likely to miss out.
The secret to a 10x return: efficient methods for trading cryptocurrencies, helping you easily double your investment!
Master low-priced chips, invest steadily, and not be influenced by market noise. When investing in the cryptocurrency market, one must first realize that low-priced chips are hard to come by, and they should never be easily taken away by market fluctuations. Hold firm beliefs, stay calm, and prevent oneself from being disturbed by strategies like wash trading or market manipulation. Chasing highs and cutting losses, or operating with all funds, is often a major investment taboo. If the market trend is favorable, building positions in batches during declines can more effectively control risks, with lower costs and greater profit margins than chasing after high prices. The key lies in reasonably allocating returns, maximizing the vitality of funds, rather than blindly increasing positions. When the market surges rapidly, first lock in some profits promptly and seek steady gains; when the market plummets, do not hastily withdraw funds, retain core positions, and stabilize your mindset. Avoid speculative shortcuts, do not be greedy for quick gains, do not fear market fluctuations, always maintain a steady mindset, and prevent operational mistakes. Early low-price layouts or privately placed low-price coins stem from market experience and future potential estimates, while the battles in the secondary market rely more on technical and information analysis. Reasonably distinguish between different phases and ensure that each step has clear logic and direction.
Building positions and selling off:
Building positions and selling off: step by step, controlling risk and returns.
Investing in cryptocurrency is a complete process from building positions to selling off, where operating in layers and segments is particularly crucial. Gradually widening price ranges, effectively controlling risk and profit ratio points, creates a more flexible operational space. Investors also need to familiarize themselves with the synergy effect, observing the trends of multiple cryptocurrencies. Each cryptocurrency's performance in the market is interconnected; they appear independent on the surface but actually influence each other.
The positions of value coins balance investment risks and profit returns; being overly conservative can lead to missed opportunities, while being overly aggressive may face high risks. Value coins have higher stability, while hot coins are highly volatile, with significant fluctuations; proper allocation is crucial.
Balanced mindset: fund management and risk prevention: balanced mindset.
In cryptocurrency investment, maintaining account liquidity, that is, 'having coins in the market, money in the account, and cash in your pocket,' is an important safeguard against market uncertainty. Never go all in, allocate funds reasonably, and master risk control principles. This not only enhances the stability of your investment mindset but also effectively controls risks. Investing with spare money rather than borrowed capital is the foundation of investment. Master basic operational skills and thinking, cultivate the habit of recording and summarizing, and treat the highs and lows of each operation as valuable experience to gradually develop the ability to filter information and make decisions. Currently, the market is tumultuous; walking alone can be lonely, so follow my profile for daily potential layouts and bull market strategies.
