The cryptocurrency market offers enormous profit opportunities but also comes with extremely high risks. If you are trading crypto, remember that you are betting your entire financial stake in a highly volatile field.

1. Highly Volatile Market

Cryptocurrency is one of the most volatile financial markets in the world. When the market goes down, it often plummets sharply, taking the assets of millions of investors with it. The 'big players' dominating the market do not make it easy for you to profit. They often target traders using leverage, deliberately creating large fluctuations to liquidate the positions of retail investors.

2. Safer Strategy: HODL

Instead of trading, a safer strategy is to hold assets in spot trading accounts (non-leveraged trading). With this approach:

  • You will avoid the risk of liquidation due to price fluctuations.

  • During market recovery phases, your assets will still hold value and may even grow significantly.

  • In contrast, 95% of leveraged traders often find themselves in a state of account liquidation when the market drops sharply.

3. Success of Smart Investors

Only 5% of smart investors, those who know how to keep their assets safe, will become new millionaires in the crypto market. They do not let themselves be swept away by short-term price fluctuations but patiently wait for long-term value growth.

4. Trading is Not a Guaranteed Path

In reality, even the most experienced traders cannot avoid losses.

  • The cryptocurrency market often does not follow technical analysis patterns such as RSI, MACD, or EMA.

  • Charts and signals are only supportive tools, but cannot accurately predict market behavior.

5. Recommendations for New Participants

If you are new to crypto:

  • Limit trading. Don't let advertisements or trading signals make you lose control.

  • Focus on learning and long-term investing by buying and holding promising coins.

For experienced investors:

  • Acknowledge that trading is high-risk. We need to stop encouraging others to trade without fully understanding the underlying risks.

6. Development Drivers of the Crypto Market

The success of the crypto market in the past is mainly due to long-term investors buying and holding assets.

  • Since 2023, short-term trading has exploded and become a major source of revenue for exchanges. However, this does not bring real benefits to the cryptocurrency market but only enriches exchanges.

Conclusion

Crypto can be a double-edged sword: it opens the door to wealth, but can also pull you into financial ruin. Instead of trading in an unpredictable market, consider long-term, safe, and sustainable investments. The market rewards those who are patient, not those seeking quick profits.