Starting from a principal of 60,000, I slowly rolled it over to over 5 million, and later to 24 million, all using this trick of mastering the buy and sell points, summarized as follows.
First, those who can buy are the disciples.
The best trading method in the crypto circle is:
a. Regardless of bull or bear markets, 5 layers of positions should be in BTC and ETH, while the remaining 5 layers should be used to seize big opportunities.
b. When the bull market retraces, many altcoins drop to 10% or even 1%, at which point it is very cheap to buy some promising altcoins with wide consensus, and then wait for the bull market to arrive.
c. During a bull market, various hot topics emerge, such as artificial intelligence, gamefi, RWA, public chains, and platform coins. You can participate in hot speculation with a small amount of funds, and after making more than 5 times the profit, take profits in time and convert everything to BTC and ETH, clearly distinguishing between 'living' and 'playing'.
The essence of finance is a Ponzi scheme; when the tide goes out, you will know who is swimming naked. Leaving promptly before the bubbles of various new projects burst is a very smart move.
Second, the one who can sell is the master
When trading coins, you become a shareholder. Never think you can sell at the highest point; the highest point can only be known in hindsight. Two more reliable selling methods: target profit-taking method and technical indicator method.
Target profit-taking method: Be content and happy; money is never-ending. Nothing can rise infinitely; fluctuations are the essence of the trading market, and everything has its cycles. Set your profit target or expected price, and place a limit order in advance. For example, if you need 1 million to buy a house this year, then set a price that allows you to earn 1 million and place the order in advance. Once the target is reached, it will execute automatically. Alternatively, use the ATH price as a reference point, as breaking through the previous high is very difficult and usually involves a significant drop.
Set the selling price to about 4% below the peak of the stage.
Technical profit-taking method: Set MACD to (12,26,9), select the 5-day and 7-day moving averages on the K-line chart. When the 5-day moving average crosses below the 7-day moving average to form a death cross, and the MACD's DIF line crosses below the DEA to form a death cross, it indicates that a significant drop is about to start.
Taking ETH as an example, ETH experienced significant drops on December 4, 2021, September 7, and May 13, and we can see that this theory is quite correct.
Third, only those who can stay in cash are the true masters.
In a bull market, firmly hold onto your coins; in a bear market, firmly stay in cash. The highest realm of trading is to stay in cash, as waiting for a big drop and entering during a time of carnage allows for the greatest profit. Staying in cash is still quite difficult because you have to endure long periods of tedious waiting and suffer from FOMO after seeing others continuously make money. Based on ETH's volatility, there is a 20% chance of a drop, which can be grasped well 4-5 times a year!
