If you plan to invest in the cryptocurrency circle, please take a few minutes to read my answer word for word, as it may save your life and your family.
Thousands of originally happy families end up destroyed, stemming from the pursuit of the unattainable dream of making a fortune in the cryptocurrency world.
I think if I really want to continue on the trading path, I still need to study diligently. In addition to understanding the basic knowledge, analyzing news, and studying technical indicators should also be part of it.
If you do not conduct in-depth research and rationally plan how to manage your money, your funds will only be consumed. In the end, as a retail investor with no foundation, you will only joyfully enter the market and leave in despair.
Some well-known technical indicators have been passed down for a reason. For example, the MACD divergence signal, KDJ overbought and oversold signals, and support and resistance signals, etc. While they cannot guarantee profitability, they allow you to conduct quantitative analysis on a relatively mature model, providing investors with a basic direction.
In the cryptocurrency world, earning 100,000 USDT from a few thousand USDT has only one path, which is rolling the warehouse.
Once you have 1 million in capital, you will find that your entire life seems different. Even if you do not use leverage, a 20% rise in spot prices will give you 200,000, which is already the income ceiling for the vast majority of people in a year.
Don't just think about millions or billions casually; start from your own actual situation. Trading requires the ability to recognize the size of opportunities; you can't always have a light position or a heavy position. Usually, play with a small position, and when a big opportunity comes, pull out your big guns.
For example, rolling warehouse A can only be operated when a big opportunity arises. You can't keep rolling; it's okay to miss out because you only need to roll successfully three or four times in your life!
First, we need to know under what circumstances rolling warehouse operations are suitable:
Currently, only the following three situations are suitable for rolling warehouses:
1 - Direction choice after long-term sideways volatility 'new low'
2 - Buy on dips after a significant drop in a bullish market
3 - Breakthrough of major resistance and support levels on a weekly chart
In general, only the above three situations have a higher chance of success; all other opportunities should be abandoned.
The following are the methods for rolling warehouse operations:
Floating profit add position: After obtaining floating profits, consider adding positions. However, ensure that the holding cost has been reduced before adding positions to minimize the risk of loss. This does not mean blindly adding positions after making profits, but rather doing so at the right moment.
Base warehouse + T trading rolling warehouse operation: Split the funds into multiple parts, keeping a portion of the base warehouse intact while using another part for high selling and low buying operations. The specific ratio can be chosen based on personal risk preferences and fund size. For example, you can choose half a warehouse to roll for T, three-tenths for base warehouse rolling for T, or seven-tenths for base warehouse rolling for T, etc. This operation can reduce holding costs and increase profits.
The martial arts secrets have been given to you; whether you can become famous in the martial world depends on yourself.
Playing in the cryptocurrency circle is essentially a contest between retail investors and major players. If you don't have cutting-edge news or first-hand information, you can only be cut! If you want to layout together and harvest the big players together, you can join!