In the field of cryptography, every profit is a reflection of your understanding of the cryptocurrency world, while every loss may reveal your lack of knowledge in this field.
It is impossible to make profits beyond your own knowledge, unless you use luck. However, profits obtained purely by luck will often end up being worthless due to your lack of strength. This is an inevitable rule.
The greatest fairness in the crypto world is: when your crypto assets exceed your level of cognition, there will be countless ways for you to cut leeks until your level of cognition matches your wealth.
Here are my top three reasons why you can’t make money in the crypto world and the top six rules for peripherals you need.
You’re not investing enough time.
Many people ask me that although they have almost no other recreational activities besides work every day and focus on researching cryptocurrencies, they still lose money.
All I can tell them is that even investing three hours a day in research is not compelling enough. Professional cryptocurrency investors work 12 hours a day and spend almost all of their time except eating and sleeping. Moreover, we work as a team and focus on risks, let alone large investment companies and funds.
You lack experience.
Many novices who have just started told me that they want to try various contract transactions, lending and other high-risk operations. I tell them not to think about things you can't learn. You must read newspapers honestly, study the fundamentals, and record them in writing to make a research report.
Don't try to take shortcuts. I started getting involved in 2016, and some of my partners started getting involved in 2017, 2018, and even 2020. We have gone through several rounds of bulls and bears, and have accumulated experience in making money. These experiences in learning losses are something you don’t have. You lack experience, so why do you think you can make big money with little experience and time investment?
You don’t have a trading system.
Many novice traders do not have a clear trading strategy at all. When I see a piece of news, I quickly place an order to buy. Within 5 minutes, I am anxious to see whether the price will rise or fall. After half an hour, I feel uneasy when there is no price rise, and I am eager to cut the meat.
There is no mature trading system and no understanding of the market's macro trends, short-term capital trends, sector rotation, and where the next investment opportunity is.
These require systematic methods and strategies. Investors who act blindly and lack systematic strategies cannot make money.
Old Leek tells you the rules for making money in the bull market:
Once an uptrend starts, it doesn't end easily. Therefore, do not encounter the large correction in the early stage and enter the market decisively. The most troublesome thing is to keep waiting for the buying point in the queue. The longer you wait, the more opportunities you will miss.
In a bull market, it is necessary to cover positions at intervals. If your position is not full yet, try to wait for a correction before replenishing the position, and do not let market gaps affect your position. Most people can't stand this kind of pain.
Position management must be carried out, and it is best to spread out several important sectors. Because if you are fully invested in a sector and this sector does not rise in the short term, but other sectors continue to impact, you will feel very frustrated.
The market always rises amid mixed opinions. What many people criticize is often about opportunities, but when everyone is optimistic about it, it is about risks.
Don't always think about selling high and buying low in the short term. Once you get out along the way, you'll find it hard to get back to where you started. As for short-term operations, it is better to keep it unchanged, which will make more profits.
Bull markets often need to experience several sharp corrections before they end.
So don't be afraid and be sure to keep a clear head. As long as you are patient and choose high-quality projects, you can reap the rewards of tires even after the bull market ends.