To this day, how many people still believe that there is a bull market in the cryptocurrency world?
I'm afraid those who say they believe will be scolded as fools. Let me clarify my point: I am that fool who believes in a bull market, but I am not someone who blindly promotes without looking back; rather, I have my 'trust anchor point.' In the market, everyone has their own anchor point, which is why they enter the market and invest heavily, and the anchor points vary. Some people have lost so much in other ventures that they have nowhere to turn, so they can only drift within the industry, under the guise of looking for opportunities, but in reality, they have no anchor point in their hearts. Some people see others in the industry getting rich with a certain stock and feel regret and unwillingness for having missed out, which becomes their anchor point.
I am a novice in the cryptocurrency world and want to enter; do you have any advice or book recommendations?
Simplicity is the ultimate sophistication; you don't need to read any books.
Use that portion of the money to practice; quickly try various methods, it's better than any book.
The more you lose, the more you may gain.
In the cryptocurrency world, no one makes a lot of money right away; everyone goes through the cycle of buying, being stuck, panic selling, then seeing the price rise, then buying again, and then selling at a high. It's a cyclical process.
The simpler your method of trading, the less others can exploit you.
For example, I only trade large amounts in Bitcoin; when the market is good, such as when it breaks a new high and borrowing rates spike to 40%.
I will continuously start selling coins and then wait for the price to drop to buy back a substantial amount, gradually increasing my holdings.
Can people in the cryptocurrency world sleep soundly at night?
The cryptocurrency market is the greatest opportunity for ordinary people in the past decade, and this opportunity is expected to last for another ten years, meaning there will be 1-2 more bull markets providing chances for ordinary people. After that, it will become an ordinary investment market like the stock market, returning to normal returns. But this ordinary person has conditions; they are an ordinary person with high cognition, an ordinary person who has accumulated knowledge and experience but has always lacked opportunities, an ordinary person with continuous learning ability… You see, in fact, most people who possess these traits are not ordinary. The blockchain is becoming increasingly distant from ordinary people. Which big shot in the cryptocurrency world is an ordinary person? Who among those who firmly held Bitcoin more than a decade ago is an ordinary person?
Currently, it seems possible. The potential risk issues in the cryptocurrency world exist even in the traditional currency world, and may even be more severe. For example, it is said that the US government can operate to confiscate tens of thousands of BTC, but this operation requires many thresholds and time. If it is of equal value in $, the time can only be shorter. The fundamental logic behind the emergence of the cryptocurrency world is the Byzantine Generals Problem. Simply put, it involves several generals needing to prepare breakfast without letting the king know, while also lacking trust in each other. This problem was ingeniously solved, leading to the birth of the cryptocurrency world.
If you are new to quantitative trading, I highly recommend starting in the crypto space to learn and practice simultaneously. Here are the reasons:
The starting cost for quantitative trading in the crypto space is very low; you can try it with just 100u, which is over 700 RMB, and you can't even buy 1 lot in major A-shares with that amount. If you really don't want to spend money, you can also use a demo account. Crypto trading is available 24 hours a day, so you can start anytime and validate your strategy whenever you want. Crypto exchanges provide highly stable APIs, and the key point is that they are free, unlike major A-shares where you often have to pay to access data. Of course, before that, you need to sort out your network issues; you must have your own overseas server for development. Exchanges have high network requirements, especially Binance, as many regional IPs do not support trading. It is recommended to use AWS servers in Japan.
Does the volatility of the cryptocurrency market really scare people?
1. There are many cryptocurrencies in the market, and the vast majority are just for making money, with no acceptance value; the so-called value is just what the issuer creates by transferring it from one hand to the other, waiting for you to take over.
2. Cryptocurrencies like Bitcoin and Ethereum don't actually fluctuate much more than regular stocks. First, stocks have trading hours, typically only a few hours a day, and the market is definitely closed on weekends and holidays. The cryptocurrency market operates 365 days a year, 24 hours a day, so one day in the crypto market equals three days in the stock market. If you consider the price fluctuations of the stock market over three days and compress that into one day in the crypto market, it won't seem so exaggerated.
3. Even Bitcoin, the biggest issue is that there is no reference standard for its value, unlike stocks, where you can understand a company's operations through financial reports. Some stocks even provide dividends, which can guarantee a certain base price. This leads to cryptocurrency trading often being driven by emotions, making it prone to significant rises and falls.
Why has the cryptocurrency market plummeted recently?
Today, the cryptocurrency market suddenly plummeted. I don't know why, but BTC has dropped to 8.6W, which is quite disheartening. A few days ago, it was said that the bull market might not be over, but today everyone is saying that the bear market has arrived. I still believe the bull market is not over; the logic remains the same regarding the Federal Reserve's strategy of ending the balance sheet reduction. As for whether this is correct, that will be judged in the future. The overall stock market performance is good, returning to 3900. However, many individual stocks have not yet rebounded. It mainly depends on the banks in the Shanghai Composite Index, which reflects the determination of the state. There will definitely be a bull market here; the task is not yet complete.
Why is the cryptocurrency market so quiet this year?
This is a very accurate observation. 'The cryptocurrency market is becoming increasingly difficult to navigate' is the consensus among most retail investors today. This 'difficulty' is not caused by a single factor, but is the result of multiple trends overlapping, which we can understand from several core aspects: 1. Macroeconomic environment and tightening regulations Global monetary policy shift: The significant driver of the bull market in previous years was the Federal Reserve's 'large-scale asset purchases.' Now, the world has entered a high-interest rate and tightening monetary cycle, reducing the amount of hot money in the market and putting overall pressure on asset prices. Cryptocurrencies, as a high-risk asset, are particularly sensitive to liquidity.
A Must-Know for Newbies in the Crypto World! What is Contract Trading?
Contract trading is a type of cryptocurrency derivative. It allows investors to predict the price trends of cryptocurrencies and hedge risks. Compared to spot trading, the profits and risks of contract trading are usually higher. The core principle of contract trading is that investors buy or sell cryptocurrencies at an agreed price at a specific time in the future.
In contract trading, investors do not need to actually hold the cryptocurrency. They are investing in the price trends of cryptocurrencies rather than the assets themselves. This trading method enables investors to profit from the two-way fluctuations of the market, allowing them to buy low and sell high, as well as sell high and buy low.
Several pieces of advice for newcomers in the cryptocurrency world!
The first piece of advice The cryptocurrency market has completed the period of barbaric growth, and the next stage is the formal financial phase, where capital institutions compete.
Stop dreaming about creating a coin that will multiply by dozens or even hundreds; given the current market sentiment, a coin that can multiply ten times is already a rarity.
Even if a true bull market arrives, there won't be many coins that can multiply by more than ten times.
The second piece of advice Participating in the primary market for new listings does offer small investments with high returns, but those who recommend you participate won't tell you that 99% of projects will go to zero.
It's not too late; the market is still there. Entering the crypto world is not about taking a gamble, but rather seizing an opportunity of the era.
People often ask, "Should young people really get involved in the crypto world?" My answer is "Yes"—but that doesn't mean you should risk everything to trade cryptocurrencies. Even if you spend just 100 yuan to buy a fraction of Bitcoin, experiencing market fluctuations and observing industry logic counts as truly "entering" the crypto world. More importantly, in this field, you can witness the birth of new rules, the emergence of new opportunities, and even find the possibility of rewriting your destiny. Why do I say young people should pay attention to the crypto world? Because every generation of young people who can make a comeback essentially steps onto the path of "rewriting the rules." It could be a breakthrough that enhances productivity, like today's AI, which disrupts traditional industries with technological efficiency; or it could be a transformation that reconstructs production relationships, and the blockchain technology behind the crypto world embodies this. The current crypto world is re-enacting similar stories. The core of Bitcoin and blockchain is the deconstruction of "existing power": it attempts to break the monopoly of industry regulation, weaken the discourse power of centralized institutions, and make the rules more transparent and fair. Our past logic of survival was to "do our best within the existing rules"—those who set the rules decide who gets a seat at the table, while ordinary people can only passively accept. But blockchain gives us a new choice: to participate in building a new system that treats everyone equally, without having to cater to others' opinions, gaining opportunities through technological consensus.
What should you pay attention to as a newcomer to the cryptocurrency world?
A 16-year veteran wants to say: avoid taking detours. For beginners before trading, let's not talk about making money yet. First, focus on mastering the following basic operations before discussing profits. I have worked at top-level domestic blockchain companies, with 7 years of industry and trading experience. I would like to share some insights that I hope can help new friends. The following are all original works. All forms of reproduction are prohibited. Do not download software casually, and do not open links casually. Especially after many newcomers join the group, be careful with the software and links shared by group members. Do not click on them casually. Every year, many people get their coins stolen. Just yesterday, someone was robbed. There are many traps in the cryptocurrency world, and newcomers can easily fall into them.
A newbie in the crypto world, insights and experiences after a month! (Please don't criticize if you don't like it)
In 2017, by chance, I came into contact with cryptocurrencies. I remember I invested 300 RMB at that time, which was also a spur-of-the-moment decision, and I kept an eye on it for about half a month. Later, I stopped paying attention and gradually forgot about it. At the end of March 2021, while chatting with friends, the topic of virtual currencies came up again. When I got home that night, I searched and downloaded the app. My original account was still usable, and the money was still there, but there was only 100 RMB left. I happened to have a lot of free time, and there are many myths about getting rich with cryptocurrencies. With a try-it-out mindset, I invested 10,000 RMB. At first, I was happy to earn a few hundred, but I also felt frustrated when I lost a few hundred (I have never traded stocks). I believe this is the initial feeling of every novice!
What suggestions do beginners have when entering the crypto world?
How to succeed in the crypto world, newcomers 100U strategy, a must-read for beginners. Recently, many fans have mentioned that they just started playing and don't know how to operate. The initial capital is only within 1000U, asking me for good strategies, so today I will share my suggestions.
For example, if you have 1000U, divide it into 10 parts, and invest 100U each time, with a leverage suggestion of 20X. Newcomers find it hard to control their mindset with too high a multiple. The remaining 900U should be kept in a financial account. If you lose 100U, you must not think about averaging down. If you lose everything,
First, what you need to do is reflect and summarize, then take a break for 1-2 days. Don't be afraid of missing out on opportunities; Bitcoin's volatility can happen at any time. There are big fluctuations every month, and the chances depend on whether you have the luck to play. Once you have adjusted, divide the remaining 900U by 10 to make each part 90U, and then invest it again. This time, be more careful and strive to earn that money back. Suppose you earn 300U this time; keep 100U and transfer all the remaining 200U out. This way, you will feel more at ease, and your mindset will definitely improve a lot. Never invest everything; if a black swan event occurs, you will lose everything at once and have to start over.
What should you pay attention to as a newcomer in the cryptocurrency world?
1. Stay away from domestic coins and domestic platforms. Don't ask, just do it.
2. Stay away from contracts; at least study for half a year before discussing contracts.
3. Stay away from low-quality projects; judging high-quality projects requires a lot of research: team, community, narrative. You need to have a good command of English and be proficient in magic in the morning, and invest a lot of time.
4. Do not follow trades or purchases. If you follow so-called experts, you will find that they always make a profit, but you will always be at a loss. Because they eat into the losses of clients, while you are losing real money.
5. Find someone to guide you; if you rely on self-exploration, it will take you about six months to figure things out.
Entering the cryptocurrency world is filled with opportunities and risks for newcomers. Here is a beginner's guide compiled for you, covering basic knowledge, safety tips, investment strategies, and psychological preparation to help you avoid pitfalls:
1. Basic Knowledge: Understand the core concepts first**
1. Blockchain
A decentralized database, where data is public, transparent, and immutable (like the Bitcoin network).
2. Mainstream Cryptocurrencies
- BTC (Bitcoin): The pioneer of digital currency, regarded as 'digital gold.'
- ETH (Ethereum): Supports smart contracts, with a vast ecosystem (DeFi, NFTs, etc.).
What should newcomers in the cryptocurrency world pay attention to?
1. When entering the cryptocurrency world, learning comes first
The first step for newcomers in the cryptocurrency world is not to rush into seeking so-called secrets to quick wealth, but to calm down and learn systematically. Mastering the basic concepts of digital currency, trading methods, risk management, market analysis, and information acquisition is crucial. Every step is vital; remember, the accumulation of knowledge is the cornerstone of wealth. Without a solid foundation, any speculative behavior is like building castles in the air.
2. Steer clear of contracts
In the cryptocurrency world, whether experienced veterans or skilled experts, many have stumbled significantly on contracts. Newcomers must steadily engage in spot trading and hold firmly.
How can a novice make a profit in the cryptocurrency market?
If you don't want to worry, just wait for the bottom, hold positions with zero leverage, stick to the mainstream, and focus on the long term. To make money, besides waiting, you must have patience to see the clouds clear.
Doing short-term and ultra-short-term trading requires monitoring the market every day. The purpose of watching the market is to observe the strength of price fluctuations and avoid popularity and hype.
The key to making profits in short-term trading is the strength of price fluctuations, while the key to stop-loss is popularity and hype.
What is difficult to grasp here is the authenticity of price fluctuations and the timing of genuine new stars becoming popular.
The principle of speculation is to invest in new opportunities rather than old ones, because a weakness of human nature is to feel secure with familiar information.