Here are a few suggestions for newcomers to the cryptocurrency world!
1. Don't play with small coins
Most small coins in the crypto world are designed to exploit investors, they can drop to zero or fall over 99%. If they have a small market cap and you haven't heard of them, don't invest; instead, choose mainstream coins.
2. Don't have expectations that are too high
The era of tenfold or hundredfold returns in the crypto world has passed. Now, with major institutions and elites entering the market, the big profits are gone. Being able to double your investment is already quite good; if a newbie can avoid losses, they have already outperformed over 90% of people.
3. Don't keep money in unknown wallets
If you have a large amount of funds, it's advisable to keep them in a wallet, as exchanges also carry risks. If it's a small wallet, there is also a risk of it disappearing.
4. Don't engage in ultra-short-term trading
The volatility in the crypto market is significant; it's common for Bitcoin to drop 20% in a single day, and altcoins can be halved instantly. It's challenging to control short-term trading; hold onto the coins you have.
5. Set stop-loss and take-profit levels
Set goals for yourself. If the price drops to a certain level, execute your plan and exit. If it rises to a certain level, sell decisively, regardless of how much it may rise afterwards. Many people lose in a bull market simply because they won't take profits in time.
6. Don't bring all your funds into the crypto world
The risks in crypto are too high, and there are risks in both entering and exiting the market. It's advisable to use your spare cash or small amounts to practice in the crypto world first.
7. Keep learning
A person cannot earn money beyond their own understanding. Even if you make a lot of money initially, if your knowledge doesn't match, you will quickly lose it back, and you may end up with significant losses. Keep learning and improve your understanding.
