The bull market is coming, and this token is expected to hit a thousand-fold return
With the loss of CEX liquidity, secondary trading has become increasingly difficult, and I began to notice on-chain projects. If you are a novice on the chain, the following three points may help you:
1. Establish an on-chain cognitive framework
When I first came to the chain, I rushed in a hurry and followed up when I saw the popularity was high. As a result, I often bought Pixiu plates or was trapped on the top of the mountain. Now, I think projects can be divided into four categories: pure MEME, MEME narrative, on-chain products, and on-chain product tracks/narratives.
Most projects do not have market value management, and the rise mainly depends on consensus. The motivation for the rise of different types of on-chain projects and the conditions for promoting consensus are different. For example, for on-chain products, the conditions such as releasing product concepts, roadmaps, actual landing, good data running, optimizing token models, and obtaining financing can stimulate consensus and drive up the price of coins.
Pure MEME depends on the discussion direction of large communities.
2. Why do retail investors lose money when following orders? How to make a profit?
Many retail investors will find when following orders that this SM is very profitable, why do I lose money when I follow orders? In fact, the secret lies in the winning rate and odds.
Most SMs have a winning rate of about 40%, but they control losses and risk exposure through position management, making more money when they are profitable and less money when they are losing money, so the overall profit curve continues to rise. When retail investors follow orders, they are likely to follow losing orders. If SM sells immediately after buying, and retail investors fail to catch it in time, it is likely that SM will leave with less loss, but retail investors will lose a lot.
So can retail investors follow orders? You can try, but pay attention to the following points:
Establish an SM cluster and do not rely on the trading information of a single SM.
Refined management and maintenance of SM clusters, observe and familiarize yourself with the trading preferences and styles of each SM.
Prioritize varieties that are cross-held by multiple SMs, as they have a higher winning rate.
