A9 investors tell us 10 strategies to keep profits
Every bull market will make people rich, but they will soon lose everything due to their inflated mentality. Next, here are my 10 strategies to keep profits and stay at the table in the market:
1. Smart diversified investment
Cryptocurrency is a high-risk field. Don't put your money into 1-2 currencies. Even projects like #LUNA, which were once ranked in the top ten in market value, will be reduced to zero overnight.
A reasonable investment portfolio and weak correlation are the key to maintaining a balanced position. At the same time, determine your investment portfolio and quantity limit according to the size of funds and risk tolerance.
500,000-500,000 USD, about 10
500,000-5 million USD, about 20
More than 5 million USD, less than 30
And focus on the areas you are familiar with and the core narrative of each cycle, such as the core narrative of 2023-2025:#AI#RWA#DEPIN#GAMEFI #SOL#. #MEME
2. Regular portfolio rebalancing
Investing is a hard thing, especially for cryptocurrencies, which change too quickly and are ever-changing. It is crucial to keep regular tracking of holdings + portfolio rebalancing.
Use the data dashboard to connect your holdings to your customized dashboard through the on-chain API interface data. Follow the official Twitter and community to see the latest developments discussed by everyone.
Portfolio rebalancing, the income accounts for a large proportion of the position, and it can be appropriately dynamically balanced. Remember that the market is rotating, and it is important to cut peaks and fill valleys.
3. Risk management
Develop a practical risk control strategy, with #BTC存 as the main tone of reference. And clarify the risk control principles and management plans. Set the retracement threshold of the overall position to avoid wasting time. Remember that the risk control manager and the trader or researcher should be independent of each other.
Or simply use computer automation to execute, and avoid emotional and nostalgic feelings when doing risk control.
Our strategy is to issue a 20% retracement warning for the overall position and execute a liquidation at 30%. BTC is used as the benchmark.
4. Be cautious in greed and greed in fear
The market is facing FOMO and FUD all the time. Due to the unregulated environment of cryptocurrency and the development of social media, various voices emerge in an endless stream. But investment is often anti-human. For example, on May 1, BTC was below 59,000, and FUD was very serious. Many people saw 50,000 or 40,000, but there was no logic, and they just drew technical lines to talk about things.
If technology can beat the market, many people should be millionaires, especially now with the blessing of #AI. So think independently, macro + micro + data + funds, and make comprehensive market judgments with high probability. Determine the investment position based on probability
5. Pay attention to market sentiment
In the market, we often make two kinds of money, one is emotional money and the other is cyclical money. The former determines the track rotation, which is often triggered by events. The latter determines the position allocation and makes big money in the cycle.
It is very important to identify the end point and detonation point of the market track rotation. For example, the#RWAfever caused by BlackRock not long ago, many RWA projects, in just one week, 3-4 times
For example, the#GFI#RIO we often mention. But after a period of emotion, the pendulum effect will dissipate for a while. At this moment, it is crucial to double the principal in time or the dynamic balance strategy of the position.
6. Stay hungry and keep learning
It is very important to focus on your own track. Only take a scoop of water from the three thousand weak waters. Everyone has limited energy and learning ability. It is impossible to be comprehensive and focus on one's own track. For example, our main focus in this cycle is on the fields of#AI#RWA#SOLecology#DEPIN#GAMEFI. Although there are still hot#Restakingtracks,#MEMEtracks, and#modulartracks in the market. But we are less involved.
7. Protect your assets
Safety is always the first priority. It is recommended that users with more than 100,000 US dollars use cold wallets. Any exchange has risks. Only when the assets are in your own hands is it the safest. Learn from large institutions. They always store assets in cold wallets, and exchanges are only trading media.
Only when transactions are needed will they be transferred in and out of the exchange. At other times, assets are in cold wallets. This is the lesson of #FTX. Many people went bankrupt for this, including myself. I also suffered heavy losses.
8. Profit-taking
It is crucial. Every cycle must be planned and predicted in advance, what position to reach, what to do, instead of sprinting all the time. In the market, sometimes you have to rush, sometimes you have to stop, and stopping is more important than rushing.
9. Be patient
Investing is a long-term thing. Take a long-term view of life and think and invest like Buffett.
Always remember to make money in cycles, this is the secret to always winning. The cycle is like a pendulum, never stopping, the world is a serial drama that is constantly repeated, only the plot and characters change slightly, the essence remains the same.
For example, the longest is the Kondratieff cycle, in which multiple Kuznets cycles and Juglar cycles are nested. We have been in recession-depression-recovery-prosperity-recession, just like the well-known Merrill Lynch clock, repeating over and over again. Opportunities are forever, and life depends on Kondratieff to make a fortune, and efforts have little effect.
10. Healthy body and stable mentality
Technology + knowledge can be learned, but it is rare to become a general who always wins in investment. The core is mentality and health. What can be learned is called investment variable variables. Through the 10,000-hour rule, you can become a master or expert.
But the cultivation of mentality is an unquantifiable system. There are innate factors (talented) and the embodiment of continuous improvement. The gap between most people is not in technology + knowledge, but more in mentality.
It cannot be expressed in words, but can only be realized through repeated grief and market trials.
Finally, I wish everyone can reap the profit margins they want, and achieve fruitful results in the 2023-2025 cycle!
If you want to learn more about the relevant knowledge and first-hand cutting-edge information of the currency circle, follow me. Junyangli publishes market analysis and recommends high-quality potential currencies every day.
