The fact that your account is still in the negative even though BTC has reached an ATH (All-Time High) of 99k can be due to several reasons. Here are some common reasons you may consider:
1. Altcoins not keeping up with BTC
• The "Bitcoin Dominance" effect: When BTC rises sharply, capital often flows into BTC instead of altcoins. Many altcoins even decrease in price or increase insignificantly compared to BTC.
• If most of your assets are altcoins, they may not yield profits like BTC, or may even lose value compared to USD/BTC.
2. Buying at a higher than average price
• If you buy BTC or altcoins at high price levels (FOMO), then even if BTC rises again, you still need the price to be higher than your purchase price to make a profit
• Additionally, if you have sold part of your assets at a loss during the price decline, you may have missed the opportunity for recovery.
3. Leverage Trading
• Using high leverage without risk management can lead to liquidation (account wipeout) even if the overall market is rising.
• Interest costs and transaction fees also reduce profits if you hold positions for a long time.
4. Not taking profits or reinvesting at the wrong time
• If you do not take profits during smaller price increases (or reinvest in the wrong assets), your total assets may not increase as expected.
• Continuously switching from one coin to another during market fluctuations can also lead to significant transaction fees.
5. Impact from costs and taxes
• Transaction fees, coin swaps, or taxes (if any) can also reduce investment efficiency.
6. Unbalanced portfolio investment
• If your portfolio is heavily weighted towards risky projects (low-cap altcoins, newly launched tokens) instead of major assets like BTC/ETH, you are more susceptible to market volatility.
Suggested solutions
1. Reassess the portfolio:
• Consider the BTC/altcoin ratio in your portfolio. If it leans too much towards altcoins, consider adjusting it.
2. Focus on BTC/ETH:
• These are two major, more stable assets in the long run. When the market grows, they often lead the way.
3. Better capital management:
• Do not put all your capital into one type of asset or use excessively high leverage. Always keep a portion of your capital for backup.
4. Monitor market trends:
• Pay attention to Bitcoin Dominance, market sentiment, and major cycles to adjust your strategy.
5. Recheck your trading strategy:
• If you find it difficult, you may need a more specific plan, such as long-term investment or using dollar-cost averaging (DCA).
If you want, I can help you analyze your portfolio or current strategy in more depth. Don't worry too much, losing in the crypto market is very common; what's important is to learn lessons to improve!
