Cryptocurrency Newcomer's Guide: Safe Navigation, Avoiding Hidden Reefs! (Part 2)

4. Avoid Frequent Trading

The fluctuations in the crypto world are like ocean waves, sometimes surging and sometimes calm as a mirror. It's not uncommon for Bitcoin to drop 20% in a day, and altcoins can even be halved. For beginners, it's challenging to manage these short-term fluctuations. So, hold on to your coins and patiently wait for the waves to push you to the shore.

5. Set Stop-Loss and Take-Profit Levels

Set a goal for yourself! If the price drops to a certain level, firmly execute your stop-loss strategy and exit promptly. Similarly, if it rises to a certain level, sell decisively; subsequent ups and downs are no longer your concern. Remember, many people lose money in bull markets simply because they don’t take profits in time.

6. Don’t Go All In

The risks in the crypto world are like storms at sea, potentially striking at any moment. Therefore, do not risk all your funds. It is advisable to start with spare money or small amounts to practice, and consider increasing your investment once you gain more experience.

7. Continuous Learning to Enhance Understanding

A person cannot earn money beyond their understanding. Even if you make a lot of money at first, if your understanding does not reach that height, you will quickly lose it back. Therefore, continuously learn and improve your level of understanding. Just like navigators need to constantly study charts and learn navigation skills.

Finally, remember: The trends in the crypto market are full of uncertainty and challenges. But as long as you remain calm and rational, respond to market changes with a steady strategy, and continuously enhance your understanding, you will surely find your treasure in this vast ocean!

As an experienced cryptocurrency investor, I share my experiences and insights: interested in the crypto world but don't know where to start? Follow me to see my homepage, and I will guide you to achieve freedom in this bull market.