Why do we say that in the case of cryptocurrency speculation, the one who knows how to buy is the apprentice, the one who knows how to sell is the master, and the one who knows how to short is the ancestor?
Based on my own experience in the cryptocurrency circle for more than 7 years
I have summarized some buying and selling points, which are summarized as follows
1. The one who knows how to buy is the apprentice
The best operation method in the cryptocurrency circle is:
a. Regardless of the bull or bear market, the 5-layer position must be BTC and ETH, and the remaining 5-layer positions must be for big opportunities
b. When the bull market turns back, many altcoins are discounted by 10%, or even 0.1%. At this time, it is very cheap to buy some altcoins with broad consensus and promising prospects, and then wait for the bull market to come
c. During the bull market, various hot spots emerge frequently, such as the artificial intelligence, gamefi, RWA, public chain, and platform coin sectors in this round of bull market. You can use a small amount of funds to participate in hot speculation. After earning more than 5 times, stop profit in time and exchange all for BTC and ETH, and strictly distinguish what is "living" and what is "playing around"
The essence of finance is Ponzi. When the tide recedes, you will know who is swimming naked. It is a very smart approach to leave in time before the bubble of various new projects bursts.
Second, the one who knows how to sell is the master
"You have become a shareholder by speculating in coins", never think that you can sell at the highest point, the highest point can only be known afterwards. Two more reliable selling methods: target profit method and technical indicator method
Target profit method:
Be content with what you have, you can't make enough money, nothing can rise to the sky, ups and downs are the basis of the trading market, everything has a cycle. Set your profit target or expected price, place an order in advance. For example, if you need 1 million to buy a house this year, then place the price at which you can earn 1 million, place the order in advance, and it will be automatically executed after reaching the target. Or you can use the ATH price as the Reference base point, because it is difficult to break through the previous high, there will often be a big drop when breaking through the previous high, so the price of the sell order is hung at the stage high -4% position
3. Only those who know how to short position are the ancestors
In the bull market, they firmly hold the currency, and in the bear market, they firmly short position. The highest level of trading is short position, because short position waits for a big drop, and waits for corpses everywhere to enter the warehouse to clean up the mess to get the biggest profit. Short position is still difficult, because you not only have to endure a long and boring wait, but also have to endure the fomo mentality after being constantly making money by others. According to the volatility of ETH, the opportunity of a 20% drop is still very good to grasp 4-5 times a year.
