Bitcoin's third attempt to hit 21,500 today still ended in failure. Theoretically, it has reached the point of exhaustion, but Bitcoin does not seem to have any intention of giving up and is still eager to try. As players, we must learn to control risks. Don't rush to cover your positions if you miss out. Those who have a bottom position can continue to wait and see. In the short term, the probability of a callback is slightly higher. Especially for cottage players, you must learn to reduce your positions. If Bitcoin continues to pull back, it will be a devastating blow to cottages. When Bitcoin sucks blood and rises, reducing your cottage positions is always the best choice.
Today I suddenly had a thought: is it possible for Bitcoin to fluctuate widely around 18,500 to 25,000 for half a year?
At present, this trend is not impossible: if it breaks through, theoretically we should buy, but it is rare for a breakthrough to succeed, and emotional pursuit of highs can easily lead to being trapped; if it falls below the support, theoretically we should sell, but panic selling can easily lead to selling out. Of course, this is just a picture I drew based on my imaginary trend. In fact, the pressure support position still has a strong theoretical basis, but what if the market is playing a joke on you?
Many people asked me what I should do now. I built a cheap base position in the early stage, and now that the price is rising, I am struggling whether to continue to add to the position? Personally, I will not add to it. This wave is rising too fast. Most people only have a base position. If you buy in hastily with FOMO, you may lose both the principal and the interest. There are only two possibilities for the current consolidation at a high level: one is to accumulate momentum and break through with the trend. But what about after the breakthrough? The current market funds determine that it is impossible to rise all the time. Either it will continue to rise in one go, or it will come down as soon as it encounters pressure; the second is to go sideways at a high level and wait for buying orders, cultivate high-cost longs, and draw a gate directly when the time is right. You can say that I am a coward, but it is better to be a little cowardly. The important thing in a bear market is not to make money, but to survive. Only by surviving can you make more, right? Besides, most people are betting on a rebound now, and it is not time to make a profit yet.
Many times I don’t like to analyze the market, because the analysis may make me more entangled. I still like to analyze the fundamentals of the currency, the track, and find high-quality copycats. After the analysis is done, just buy it directly, and sell it when the value is realized. There is no need to draw all kinds of broken charts and guess various entry and exit points. Of course, the general trend of Bitcoin still needs to be analyzed. Unless you do contracts, there is really no need to care about small ranges. Here I have to sigh again about the happy life of the coin hoarders. They don’t care about the price at all. The more it falls, the happier they are. Who makes them buy coins besides eating? Of course they are happy to buy at a low price.
You can talk a lot of nonsense, but you can’t stop pumping blood. The New Year market is coming, so everyone should cherish every moment.
I have said a lot, but it seems that I have not said much. In short, I still have great hope for the next few months. At least we will not experience the darkness of last year. Pessimism and optimism are just a thought away. Keep your mind and make money optimistically.
The above content is purely for personal entertainment and does not constitute any investment advice.