1. Only invest in bear markets
You must be patient and try to make arrangements at the bottom of the bear market (although it is impossible to buy at the real bottom of the bear market). The simple condition for judging the bottom of the bear market is that no one pays attention to Bitcoin anymore. When the currency circle is dead, you can buy multiple times intermittently. This period may last for 1 year or even longer.
2. Only buy mainstream coins
BTC and ETH are always the kings of the cryptocurrency world. Buying in a bear market is absolutely the right thing to do. Although it cannot increase by multiples, if you buy in a bear market and hold until you sell in a bull market, you will definitely get a 50% increase. It is the first choice for large funds.
Exchange platform coins: such as BNB
Stronger basic chains: such as SOL, AVAX
Good infrastructure coins: such as MATIC
Strong consensus coins: Dogecoin, SHIB (I do not recommend strong consensus coins because they have little use value and rely entirely on the large number of people buying them to create a strong consensus)
You should always hold mainstream coins, never hold altcoins. The logic of altcoins is to make a profit. Many altcoins will be born in each bull market. The altcoins that are booming in this bull market may be completely silent in the next bull market. They will be overshadowed by the highlights of new altcoins. Without internal channels and information, it is almost impossible to bet on an altcoin and buy it before it explodes. Generally, you will know that a certain altcoin has skyrocketed, and it is too late to follow up at this time. Maybe if you are lucky, this coin will continue to rise, but it is likely to fluctuate and fall. The altcoin fluctuates too much, and most people cannot hold it regardless of whether it rises or falls. It is often a small profit and a big loss. In the end, it is all a loss.
3. Sell in the middle of a bull market and do not trade later
In the early stage of the bull market, BTC will rise slowly, standing out from the crowd, driving ETH up. At this time, some good mainstream coins will follow the rise, other coins will rise slowly, a few altcoins will soar, and most altcoins will not move.
In the mid-term bull market, BTC and ETH fluctuated upward, mainstream currencies rose sharply, and altcoins began to take off.
In the later stage of the bull market, BTC will fluctuate and fall, ETH may continue to rise, and mainstream currencies will rise one after another. The highlight of the second round of bull market, the altcoins, will skyrocket several times, or even dozens or hundreds of times.
At the end of the bull market, BTC fell by thousands or even tens of thousands of points, and then recovered slightly. The first plunge recovered quickly, giving people the illusion that it was just an adjustment. After two or three such declines, the bull market was declared over. If you are trapped at this time, please do not have any more illusions and stop loss in time. Otherwise, the principal will be dragged into the bottomless abyss.
There are many opportunities in the bull market, especially in the middle and late stages of the bull market, when altcoins are flying around, and many altcoins have skyrocketed many times, which makes people jealous. People are eager to follow up or rush to choose some altcoins that are optimistic but have not yet exploded, and they are still confidently waiting for them to skyrocket. It is best not to have such a mentality, which is completely a gamble on luck, no different from gambling, and has nothing to do with investment.
In every bull market, many altcoins are created to make money. These altcoins are full of gimmicks, their backgrounds look very strong, and their growth is very fierce. Please resist the temptation, because you will know who is swimming naked after the tide recedes. When BTC plummets and the bear market comes, these altcoins are cut in half, cut at the bottom, or even close to zero.
If you really can't resist the temptation, you can only follow up with a very small amount of funds. Even if you make a small profit, don't go all in with a heavy position. Don't, don't, don't. This is gambling, and gambling can't always be lucky. I'm not afraid of you making a hundred times, I'm afraid you only lose once and lose all the capital to start over. Don't fantasize about investing heavily in a cottage currency and getting rich. This is like buying a lottery ticket and fantasizing about winning the jackpot. It's a super, super low probability event. It's okay to play with a small amount of funds for entertainment, but it's a big mistake to treat it as an investment.
4. Be more patient and less impulsive
After buying in a bear market, you need to wait patiently until the bull market to sell. Do not make any operations during the ups and downs of the market. The waiting period requires patience.
After selling in the bull market, wait patiently for the bull market to collapse and enter the bear market. This may take one or two years. Don't be impulsive and buy at the bottom of the mountainside or foot of the mountain. Wait patiently for the moment when it falls to the bottom.
After selling in the bull market and making money, don’t be tempted to play with altcoins. If you really want to gamble, you can only use up to 10% of your funds.
5. The principal is always the most important
If you are trapped by mistake, it is most important to keep the principal as much as possible. When the currency circle collapses, you should be willing to cut losses in time to keep most of the principal and the basic market. There is still hope for a comeback. Patiently wait for the currency circle to fall into the abyss, and then use the remaining principal to buy at the bottom. Don't be trapped and be buried with the currency circle when it collapses. Many times, if you buy a trapped coin and sell it before the currency circle collapses, you will lose up to 50% of the principal. If you don't care, let it fall, and hold on to it. When this coin falls to the bottom with the currency circle, there is almost no possibility of regaining the remaining principal.
