How to Deal with Market Adjustments During a Bull Market

Understanding the Nature of Bull Market Adjustments

The volatility during a bull market is significant, especially before the main upward trend starts; short-term adjustments are usually the result of clearing long positions and do not indicate a reversal of the market trend.

This volatility is a healthy price correction and serves as the foundation for subsequent rises.

Position Management: Distinguishing Between Long and Short Positions

Long Positions:

If the cryptocurrencies you hold are still at the bottom or have not experienced significant rises, hold firmly.

In a bull market, selling high-quality cryptocurrencies too early may result in missing out on later explosive gains.

Short Positions:

Used to capture market hotspots and opportunities driven by short-term news.

Set stop-loss and take-profit levels, and exit positions in a timely manner to avoid short positions turning into long ones and getting stuck.

No energy or skills? Then choose to “lie flat”

Suitable Strategy:

If you are not good at short-term trading, you can focus on long positions and patiently wait for the main upward trend of the bull market to start.

Market fluctuations before this can be viewed as “floating clouds,” and there is no need for excessive interference with positions.

Maintain a Calm Mindset and Go with the Flow

Bull market adjustments are opportunities rather than threats; rationally allocate positions and stop-loss strategies to avoid missing good opportunities due to emotional decisions.