10 Tips for profitable NFT trading
1. Remain patient
Great traders understand the diff between looking for a trade and seeing the trade. Just chill & play the best hands possible.
2. Buy fear
NFTs are volatile and often become oversold during periods of Panic. If you have conviction in the collection then it's wise to buy here.
3. Sell hype
When a project becomes the hyped-up main focus of NFT Twitter... it’s time to sell.
4. Adjacent assets
Usually when an NFT pumps, other assets in that ecosystem pump shortly after. This could be a secondary collection or a token following the genesis NFT pumping.
5. Buy during quiet periods Instead of buying when there is a lot of hype, volume, and sales. Wait until the momentum goes away.
6. Liquidity is king
Only trade collections where you have enough liquidity to buy 3 floors. Otherwise, you won't have enough liquidity to buy deals when they pop up.
7. Don't fix what's not broken
Instead of fomoing into new hype mints... Find a trading strategy that works and stick to it.
8. Build relationships
NFTs are a game of information asymmetry. If you have information before others, it can help you can make profitable trades. One of the best ways to do this is by basically having better friends.
9. Keep your emotions in check
With every trade you make you either earn or you learn. So, don't beat yourself up because you could've played a trade better... Instead, focus on the next trade.
10. Mental health
Some traders spend 16+ hours everyday looking at the NFT market. This is a mistake that will likely have a negative impact on your mental health. It's important to take breaks & disconnect. Source: Lamboland
