In the zero-sum game of the currency circle, it is crucial to master the skills of arbitrage.
The best strategy is to observe the market dynamics and wait for the price to approach the cost before participating in the transaction, so that even if the price fluctuates repeatedly, the possibility of loss can be greatly reduced.
Cryptocurrency trading is like a "drum passing flower" game. Each player needs to buy "flowers" at the market price to participate, but in fact, the manufacturing cost of "flowers" is often only one-tenth or even one-hundredth of the market price, or even lower.
Due to the extremely low cost, the prices of these assets are prone to violent fluctuations, giving participants the illusion of easy profit.
But after really participating in it, you will find that the price shows a pattern of small rises and big falls, and the rhythm is difficult to control.
Although there are big rises every day, it is always too early to buy, and it is difficult to make a lot of profits. When selling, you can only lose less at most. If you don’t sell it in time, you will lose more in most cases.
Therefore, in this highly uncertain market environment, it is critical to carefully observe market trends and find the right arbitrage opportunities.
At the same time, we must also do a good job of risk management, control positions, and minimize losses.
Brothers, if you think there are any other aspects to add, please comment and discuss
