How can beginners avoid pitfalls when entering the cryptocurrency space?

1. Avoid small altcoins

Most small altcoins in the cryptocurrency space are designed to exploit investors, often dropping to zero or losing over 99% of their value. If you haven't heard of it and it has a small market cap, don't invest; choose mainstream cryptocurrencies instead.

2. Don’t have overly high expectations

The era of making tenfold or hundredfold returns in the cryptocurrency space has passed. With major institutions and elites entering the market, the big profits are gone. Achieving a double in value is already quite good; if beginners can avoid losses, they have already outperformed over 90% of participants.

3. Avoid ultra-short trading

The price fluctuations in the cryptocurrency space can be extreme; for example, Bitcoin can drop 20% in a single day, and altcoins may be halved in value. It's difficult to control short-term trades, so hold onto the coins you have.

4. Set stop-loss and take-profit orders

Set goals for yourself; if the price drops to a certain level, execute your exit strategy. If it rises to a certain point, sell decisively and don’t worry about how much it goes up afterward. Many people lose in bull markets simply because they don't take profits in time.

5. Don’t invest all your funds in cryptocurrency

The risks in the cryptocurrency space are too great; both entering and exiting carry risks. It's advisable to use only your spare change and start with small amounts to practice in the cryptocurrency market.

6. Keep learning

People cannot earn money beyond their understanding. Even if you make a lot initially, if your knowledge doesn't keep pace, you'll quickly lose it all, and it could lead to significant losses. Continuous learning is essential to improve your understanding.

7. Find an experienced and reliable mentor

There are numerous pitfalls in the cryptocurrency space, and more than 99% of participants lose money. Finding a reliable and experienced mentor from whom you can learn is crucial. While it may not guarantee profits, it will at least help you avoid many pitfalls. #比特币走势观察 $BTC