Can trading cryptocurrencies still yield stable profits? Remember these three golden rules and master these six secrets to fill your pockets!
In the cryptocurrency world, achieving stable profits is no easy task, but as long as you keep in mind the following three golden rules and master the six secrets of short-term trading, you can avoid the traps of being a 'retail investor' and become a leader in the crypto space!
Three golden rules to help you progress steadily:
1. Do not buy during price increases: Market bubbles often lead people astray; remember "When others are greedy, I am fearful; when others are fearful, I am greedy." The best time to pick up bargains is when prices are falling.
2. Diversify your investments: Don’t put all your eggs in one basket; the cryptocurrency market is not a gambling venue. By diversifying your investments, you can reduce risk, stabilize returns, and make your investment journey more secure.
3. Do not go all in: Going all in is like digging your own grave. The market is ever-changing; maintaining a flexible position and keeping some ammunition allows you to seize sudden opportunities and go further.
Master these six secrets of short-term trading to thrive:
1. New highs after consolidation at high levels, new lows after consolidation at low levels: Patiently wait for signals; chasing prices will only lead to losses. Maintain patience and steady operations is the way to profit.
2. Do not trade during sideways movements: When the market is in a consolidation phase, resist the urge to trade. Sideways movements indicate market adjustments; wait for signals before making decisions, and don't let impulsiveness cloud your judgment.
3. K-line "electrocardiogram": Buy on bearish candles, sell on bullish candles. K-lines do not lie; be keen to capture reversal signals. Dare to buy at bottom when bearish candles appear, and take profits in time when bullish candles show up, follow the trend, and earn steadily.
4. Downward trends and rebound rhythms: Clearly understand market trends; as the downward trend slows, rebounds will also be slow; as the decline accelerates, rebounds will quicken. If you miss an opportunity, wait for the next wave; stay calm and avoid blindly chasing prices.
5. Pyramid buying method: Buy in batches and gradually build your position. Don’t dump all your money in at once; operate in batches to reduce risks and steadily increase value.
6. The sideways state after price fluctuations of cryptocurrencies: Don’t rush to buy when the price of a coin skyrockets, and don’t rush to sell when it falls sharply. Sideways movements indicate market adjustments; wait until trends are clear before making decisions. When encountering a downward trend, decisively clear your position to prevent losses.