Recently, many of my friends who are into Bitcoin have rushed to the A-shares, and despite my advice, they ended up as fodder, getting cut as soon as they entered the market.
It can be said that the crypto space is arguably the easiest place to profit among all capital markets! Why is that? The reason lies in the fact that crypto investors are not as mature as investors in other markets; they are prone to making mistakes due to panic and greed. The more impulsive mistakes there are, the greater the opportunity for profit.
Compared to the stock market, the crypto space has more market-oriented characteristics. Although there are often individuals manipulating the market through various means, such manipulation usually only affects short-term trends, such as contract operations. For long-term spot holders, so-called "whales" have little power to influence.
Why is there manipulation in the crypto space, yet it is still considered more market-oriented? This is because Bitcoin's chips are sufficiently decentralized, with global traders participating, and no single force can completely control the market. Most other cryptocurrencies are linked to Bitcoin, thus enjoying the benefits of this market-oriented environment. However, in the absence of regulation, malicious activities by exchanges or project parties are also unavoidable. But as long as investors can restrain their greed, these risks can still be avoided.
Think of the A-shares, where there are many seasoned investors, much like experienced warriors on the battlefield. In such a short-term battleground, even top funds find it hard to retreat unscathed.
In the stock market, we are essentially competing with these professional investors, and it is normal not to be able to compete successfully. Moreover, the issue of leaks of various news in the A-shares is serious, with a huge number of insider trading cases. Professional investors without information advantages can at most make some gains towards the end of a trend; if they react slightly slower, they become the ones taking the losses. In contrast, the crypto space is much better in this regard. Most cryptocurrencies, except for news like listings, have relatively transparent positive news, making it a relatively fair game.
If you can't make money in the crypto space, don't risk it in other markets. Because in this crypto track, most competitors are beginners, and there are very few traders with over 10 years of experience. In this zero-sum market, we earn the money lost by our opponents' mistakes. In such a relatively fair market, as long as you put in a little more effort.