Guide to Surviving in the Crypto World: The 'Dumb Method' for Steady Profits and Short-Term Trading Secrets (Part 1)
In the crypto world, there is a method that seems clumsy but is actually very effective, helping investors to profit steadily. For those who want to achieve gains in the cryptocurrency market, there are three things you must absolutely avoid.
Three Major Trading Taboos
1. Chasing After Prices is Not Advisable: Do not rush to buy when the price is rising; learn to think contrarily. When the crowd is fearful and the market is sluggish, it often contains buying opportunities; conversely, when the market is euphoric, you need to remain vigilant and consider exiting at the right time.
2. Avoid Putting All Your Eggs in One Basket: Never invest all your funds into a single cryptocurrency, as this carries significant risk. If the cryptocurrency encounters issues, your funds are at risk of total loss. Diversifying your investments and reasonably allocating funds across different cryptocurrencies is the key to steady profits.
3. Avoid Full Margin Trading: Always keep a certain amount of funds available when trading cryptocurrencies. Going all-in can put investors in a passive position when facing new investment opportunities or needing to adjust strategies, leading to a loss of flexibility. Reserving funds allows you to respond flexibly to market changes and reduces opportunity costs.