Normal Pullbacks in a Bull Market
Many people lack basic trading knowledge
Crypto / Especially Bitcoin's long positions have surged dramatically
The funding rate for long positions has reached a historical high of 66% annualized
The market has collapsed and pulled back
This can be understood as the bow being pulled too tight
The arrow is on the string, and it must be released
Long and short positions are undergoing adjustments
No one can call for Bitcoin to collapse
Is this pullback the end of the short-term trend? I don't know.
What I want to say is that before the drop,
Many people saw the possibility of a decline
And many spoke up after seeing it
But those who really cleared their positions and shorted
Even those who made money on both sides
I don't know many.
Stay calm, if your style is to hold, don't fantasize about swing trading
Only very skilled traders can succeed in swing trading and making money on both sides; most are just showing off small trades and are saying things after the fact
The reason many people lose money
Is because they believe various chaotic surface news
Without thinking about the substance behind price fluctuations
Contract trading is the most challenging job on Earth
If you don't have the skills, just hold spot
It has no impact on spot
And it provides some averaging opportunities
It will rise back in a few days
The bull market is still here
Many people have developed a bear market mentality, and when they see a drop, they feel like it's a bottomless pit. They can't hold on when there's a pullback.
A bull market is actually a healthy process of rising, pulling back, rising, and pulling back.
By the time we react, it’s already too late.
Just like I said in August and September this year, altcoins looked trashy, but in a bull market, everywhere is filled with gold.