#加密市场盘整 just had tea and chatted with a big player in cryptocurrency. He said he entered the crypto world with 400,000, and at one point his losses reduced him to only 80,000. Now his assets are worth tens of millions. What changed his fate was persistent learning and improving his understanding. He summarized five key insights, which are very valuable. I hope that friends who see this may find inspiration!!!!
1. Don't rush to cut losses during a significant drop in the early session; it's usually an overreaction to negative news from the previous night. You can wait for market corrections and reversals. Don't blindly chase after a surge at the end of the session; some major players like to test the waters and entice buying, often leading to a lower opening the next day to accumulate shares.
2. Make good use of trading volume as a practical tool; volume can indicate future market trends. A sustained rise with decreasing volume indicates strong control by major players, while a drop in volume during a fall suggests panic selling hasn't occurred, and the bottom hasn't been reached, so further declines are likely.
3. Learn to analyze the top structures of market sectors. Typically, sector trends form in five waves: the first wave attracts speculative buying, the second wave is a washout adjustment, the third wave is the main upward wave, the fourth wave involves complex divergences, and the fifth wave is for profit-taking. In this process, the third wave usually has the largest gains, followed by the first, and the fifth has the smallest. However, market conditions are ever-changing, and there are many instances where the five waves do not materialize; it cannot be memorized rigidly. After identifying a leading sector that is underperforming, if the subsequent recovery does not maintain the previous momentum, it is likely nearing a peak.
4. Each time there is an acceleration at the peak of Bitcoin, we often see a certain sector's altcoins surge, leading to a reversal in Bitcoin. Just check whether the performances of major leaders have stopped falling and are rebounding; then the index will likely follow up.
5. Focus and specialization are essential for beginners, especially for new friends entering the market. Research one strategy and master its techniques. This is much more rewarding than trying to learn multiple skills at once. Being greedy will lead to loss, and lacking proficiency can easily result in market lessons. Avoid switching strategies randomly; settle down to learn, and gradually you will find your way to success. Once stable profits are achieved, you can then learn more techniques to integrate them effectively.
Therefore, as investors, while pursuing high returns, it is essential to carefully assess risks and invest rationally.