Recently, Bitcoin has shown strong momentum, breaking through $90,000 overnight with an impressive increase and almost no signs of stopping. Ethereum is also performing well, reaching a high of $3,394. At this moment, we can see that the market sentiment remains bullish, which means the upward trend may continue for a while. Typically, market fluctuations are more intense at night, while daytime markets offer more opportunities for altcoins.

The rise and fall rhythm of altcoins

Yesterday, Ethereum-related altcoins also saw a wave of catching up as expected. During the day, altcoins like DOGE continued to surge, with its price rising from $0.2 to $0.4 in just four days! Such rapid increases are often followed by pullbacks, especially for those coins that rise steeply; better buying opportunities may arise after a pullback. In contrast, coins that rise slowly and steadily tend to show stronger sustainability.

In short-term trading, everyone should learn to operate in waves and not chase in because of sudden price increases. Coins that surge quickly are prone to significant pullbacks due to short-term over-speculation. Yesterday, ENS had a wave of positive news that directly lifted it by over 10%, but then it pulled back. Similarly, UNI had a similar surge; although it increased by over 10%, its sustainability is weak.

How to deal with short-term fluctuations

Therefore, if you don’t have a position, don’t blindly chase highs. If you already have a position, you can choose to operate in appropriate waves, taking profits in time to avoid losses due to extreme price fluctuations. For mid to long-term investors, short-term fluctuations can be disregarded, focusing instead on long-term trends.

Do not blindly chase highs and cut losses

In the current market, as long as you don’t blindly chase highs or cut losses, you can actually make money. Whether you are doing short-term or long-term trading, as long as you hold patiently, there is a chance to profit. Don’t expect miracles like DOGE doubling in just a few days, especially with the recently hot ACT, where many people turned a few hundred dollars into millions; it seems like market opportunities are limitless, but this situation is just 'survivor bias,' and the real winners are few.

This also tells us that there are indeed many opportunities in the market, but not every project will explode. When the market is good, don’t rush to heavily bet on a specific coin; market movements cannot be predicted absolutely, only relatively. For example, although Bitcoin has broken through $90,000, it does not mean it won’t quickly fall back to $70,000. This is the charm of the market: every price has buyers and sellers, and price fluctuations are determined by the game between both sides.

The multiplicity of market prices

When we understand that the probabilities of each price rising and falling are roughly the same, we can view market fluctuations more rationally. Many times, investors are eager to see immediate profits upon entering the market, but market developments are often more complex than we imagine. Even if the price ultimately reaches our expected target, the key is whether we can hold firm during price corrections.

Each time we enter the market, we cannot just think about 'making money right away'; we must also be psychologically prepared for potential floating losses and consider the risk of liquidation in extreme market conditions. It is known that fluctuations in a bull market are often more severe than in a bear market, and many people overestimate their risk tolerance during a bull market. Therefore, even when knowing the market is in a bull phase, many still short the market contrary to the trend, resulting in losses. This also proves the 'zero-sum game' nature of financial markets: one person’s profit inevitably means another person’s loss.

Manage risks, control the pace

So, when you make money, understand that there are others losing with their strategies they think will earn them money; when you lose, don’t be too discouraged. The market’s ups and downs are that simple. Controlling the pace and patiently waiting is very important. Many people see the market improving and frequently switch positions; in reality, this frequent trading often leads to missing out on significant gains. You see, everyone said Ethereum was bad, and ADA was not good, but now they have both risen, indicating that the market has its own rhythm.

Mid to long-term holding, patiently wait

For mid to long-term investors, the most important thing is to hold firm and not make frequent adjustments. The long-term trend of the market will prove that patience is the key to success. Don’t get caught up in short-term fluctuations; keep your eyes on the long-term, and the future is vast and bright!

Summary

In summary, in the face of the current market situation, we need to learn to operate rationally, without blindly chasing highs or cutting losses. In short-term trading, learn to operate in waves, and in mid to long-term investing, hold firmly and not be influenced by short-term fluctuations. The market offers many opportunities, but it is also full of uncertainties; we must remain calm, manage risks well, and patiently wait for opportunities that the market presents.