Cryptocurrency investment tips: How to distinguish information gaps from ways to make money
In the cryptocurrency world, which is full of opportunities and risks, many people want to know how to distinguish information gaps and make millions of dollars. But in fact, cryptocurrency trading cannot rely solely on news. It can even be said that sometimes it is more reliable to just look at the candlestick chart than the news. Why is this? Let's listen to what Theophilus, a well-known KOL in the Chinese cryptocurrency world, has to say.
Theophilus is a well-known trader and YouTube blogger, known as the "No. 1 Chinese Cryptocurrency Trader". The cryptocurrencies KOL aggregator he recommended is super easy to use, and can aggregate paid community content from more than 30 cryptocurrencies KOLs. It is a must-have tool for cryptocurrencies advancement.
Theophilus: The reason why people who invest in the cryptocurrency circle rarely read news
1. Most news is promotional soft articles
A lot of news in the cryptocurrency circle are propaganda articles produced by project owners, which are used to praise the cryptocurrencies that are good at publicity. They can boast 800 positive news every day, but the actual growth is not very good. Moreover, it is difficult to find highly credible news media organizations in the cryptocurrency circle. Coindesk and Chain News can only be said to be barely credible. Therefore, the cryptocurrency news you see may be just advertising soft articles.
2. The proliferation of fake news on self-media
The cryptocurrency community not only lacks the ability to spread real news, but also a large number of self-media deliberately fabricate false news in order to gain clicks. The more diligently they update, the more false news they produce, but there is no credible organization to come out and refute the rumors.
3. Information acquisition is prone to one-sidedness
Even if you are exposed to real news, everyone has limited time to collect information, and it is likely that they will only get partial information, just like a blind man touching an elephant, and their cognition is easily biased. Moreover, the rise in the price of coins, like the rise in stock prices, relies on collective consensus, which cannot be perceived from news alone. If you happen to buy impulsively after seeing some news, there may be no one to take over your order.
4. K-line has predicted in advance
Many times, the K-line has already predicted the news before it comes out. For example, a few hours before the government issued the ban, the K-line showed a certain trend, and it was obvious that insiders had already started to act. After the big dealers absorb the funds, they will release news to increase the price of the currency. Experienced technical analysts can see through it at the first time, follow the dealers to buy at the lowest price, and wait for the market to pull up. The same is true when the price falls. Bad news is usually released after the currency price has fallen for a long time, because the well-informed dealers have already quietly shipped the goods. After the goods are sold, the bad news will be allowed to be released.
I can’t be like those amazing people who can skillfully distinguish true and false news and have a super-sensitive sense of smell, and it’s hard for me to learn. So, I just focus on the K-line pattern indicators.
Finally, everyone must be rational when investing. Don't invest all your money into this muddy water when you don't quite understand it. I have seen too many people who think they have a good understanding and rush forward regardless of everything. In the end, the market will teach you a lesson! Although this is a bit heartbreaking, it is all my valuable experience in the past few years.
Remember, capital comes first, risk comes second, and profit comes third! Patience, thinking, execution, and self-discipline are all necessary qualities for your success in the cryptocurrency world! #BTC☀ #ETH🔥🔥🔥🔥
