Talk about the idea of currency circle and contract spot
The market is changing rapidly every day. Seizing the opportunity is the basis for winning wealth. Investors must adjust their plans and decisions according to the changes in market rules. When they feel obvious danger signals, investors should stop losses in time. If they are lucky, they may end up with nothing. At the same time, investors should be prepared for danger in times of peace, learn to cultivate the awareness of asset allocation, diversify investments, and build a "safe haven" for wealth. Just like short-term operations, many people hold the mentality of revenge overnight.
Spot is equivalent to art collection. You spend a sum of money to buy a piece of art. This art belongs to you, and its value will fluctuate with the fluctuations of market conditions. Whether it is profitable or not, this product is yours, and you can choose to sell it at any price.
Contracts have one more short selling, two-way trading, and leverage than spot.
Short selling, as the name suggests, is to buy it when the price falls
Leverage means doubling the funds. For example, if you have 100 yuan and add 100 times leverage, it is equivalent to operating with 10,000 yuan. Assuming 100 times the risk and return.
As for which one is better, spot or contract? This is a matter of opinion. In fact, Lao Cai thinks that the risks of contracts and spot are the same. After all, they are both risky investments, and high returns are accompanied by high risks. Many people think that the risk of spot is lower than that of contracts, but this is not the case. Spot is too dependent on price increases. It can be said that as long as it does not rise, it will lose money. Moreover, it is particularly affected by news and the market, which consumes time and opportunity costs, especially the strong control of the market, which is really at the mercy of others. The key is that there are all kinds of altcoins and air coins on the market, and you can fall into the trap if you are not careful. All in all, I think the risks are similar.
Spot also has its own advantages. The technical requirements of spot are not high. As long as you are optimistic about the potential of this currency, you can start. And as long as you don’t buy some altcoins and air coins, there is basically no risk of clearing to zero. As long as it is not cleared to zero, there is still a chance. Spot is suitable for newbies who have just entered the currency circle to hold for a long time. The key is that many novices are too sensitive to spot prices. They sell at the slightest sign of trouble, and they don’t make much money. Once they sell, it will hurt them, and then they will change to another currency and continue, repeating this process until they quit.Therefore, Laocai advises novice players here not to enter the market blindly, do more research before entering the market, and hold the market for a long time after entering the market. As long as the dealer does not want to crash the market, it will rise sooner or later. Only in this way can you survive in the currency circle.
How to say the contract? It is very unfriendly to novices. Basically, if no one guides the novices to enter the market, 90% of them will be liquidated. The contract has high technical requirements. Many people may disdain it and think that it is just a coin guessing. I can do it with a 50% chance.
In fact, it is not like this, because the market situation is elastic, not always rising or falling. There will be ups and downs in the middle. If you enter the market at the wrong point, you may be long and short. So if you rely purely on guessing, you can't achieve a 50% chance. It is good to have 20% to 30%.
In any case, investment should be cautious. Whether it is a contract or a spot, it is just an investment channel. Everyone should operate within their own ability. Don't get too excited, don't get too excited, don't get too excited!!
If you really want to play and want to work hard in the cryptocurrency circle for a long time, please come to the top of the homepage to find me.
