In the currency circle, you only need to master these two cores.
That is "liquidity" and "market sentiment".
Liquidity:
Simply put, it is the money in and out of the market.
In the currency circle, many people refer to the US stock market or the Nasdaq index to judge the market trend.
But to put it bluntly, most people do not have the ability to analyze independently.
Whether it is the US stock market or the Nasdaq index, it is actually the interest rate in the final analysis, and the interest rate represents the amount of money.
Therefore, paying attention to changes in interest rates is to grasp the pulse of market liquidity.
Market sentiment:
It is nothing more than emo after missing out, and fomo chasing highs, which are not desirable. In terms of emotional management, there are two systems, one for yourself and the other for the market. You should have your own strategy for yourself, not chasing highs, not killing falls, and you should pay attention to the market, buy at different voices, and sell at the same voice.
Develop and adhere to your own investment strategy, and don't be easily affected by short-term market fluctuations.
Remember, not chasing highs is to avoid standing guard, and not killing falls is to retain the principal and opportunities. Stay calm, analyze rationally, and don't be swayed by emotions.
In short, whether it is cryptocurrency or any other market, mastering the two major factors of liquidity and market sentiment is an important cornerstone of success.