#加密市场回调 Recently, I have come into contact with many spot traders, and their losses are staggering. After communicating with them, I found that most people feel like they have been tricked. Why is there such a feeling? It is largely because the voice of 'spot trading should just hold on' is too rampant in the market. What do you mean by mindless holding? It's utterly absurd! On online platforms and various groups, such 'mindless holding' rhetoric is everywhere. Looking back at the end of 2021, the crypto space was bustling, and many 'experts' who gave trading signals appeared, whether in the spot or contract fields, their presence was everywhere. These people have no concept of the bull and bear cycles of the market and only encourage investors to hold on mindlessly. When a black swan event occurs, they disappear without a trace, leaving behind retail investors who are struggling in the whirlpool of the market. I have a deep disdain for those who shout to hold on mindlessly. Statements like 'As long as you don't cut your losses, the market can't cut you' and 'If you hold from the bear market to the peak of the bull market, you will make money' have misled a large number of investors. In reality, most retail investors lack the concept of bull and bear markets, often chasing highs and cutting losses, and they do not understand the technique of buying low and selling high. The so-called holding from the bottom of a bear market to the top of a bull market is something only a few can achieve; more often, they buy at the bottom and helplessly cut losses again. Those who advocate mindless holding in the spot market either do not understand the transition of bull and bear cycles or limit their market observation to small cycles below the daily chart. Such people should stop misleading the public. Small cycles are simply not suitable for spot trading; if you want to trade yourself, do it quietly and do not express such harmful opinions in public. After all, in today's online environment, as long as you accumulate a certain number of followers on a platform, even if your statements are worthless, there will be people who blindly believe and follow your operations. As a result, those who follow often end up with losses. So, why is mindless holding in the spot market not recommended? It is important to understand that the market has cyclical patterns. If you can accurately catch the bottom, holding for a long time is indeed feasible. But the key issue is that the vast majority of retail investors cannot catch the lowest point; instead, they are always on the path of chasing highs and cutting losses. Therefore, we must pay attention to the market's periodic peaks. Take this wave of the market as an example: when the price approached around $70,000, I judged that there would be a wave of correction and timely warned about the risks. However, many people came to blame me for being bearish. This truly leaves me helpless; these people lack even the most basic risk awareness. Even when trading spot, one should have a risk awareness. Because of this, many people’s assets have been halved. Some may say that the market will eventually rise again; as long as you hold on, there will be no problem. But they overlook an important factor: many retail investors are holding small amounts of capital. For small capital to achieve the maximum efficiency of utilization, it must avoid significant downturns in the market; only then can it quickly accumulate funds instead of being easily trapped for months or even years. So, how should small capital profit from spot trading? The answer is to conduct periodic operations, neither mindlessly holding nor frequently trading short positions. I have previously elaborated in detail on the specific methods for spot trading, so I won’t elaborate further here. In short, to engage in long-term investment in the crypto space, one must develop a reasonable strategy; only in this way can one achieve ideal returns and allow small capital to realize rich profits in long-term trading.
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