$ZEC How should novice retail investors operate in the cryptocurrency market? To put it simply, just three words: don't mess around.
Many people start by studying various indicators and strategies as soon as they come in,
but the more they look, the more confused they get, and the more confused they get, the more they lose.
I've seen too many novices,
it's not that they don't have the chance to make money,
it's that they get the rhythm wrong right from the start.
If you are a beginner, make sure to do these things well:
First, only follow trends, don't try to catch the bottom.
Don't rush to buy when prices are falling,
and don't short when prices are rising.
If you don’t understand, just wait,
follow the trend once it emerges.
Second, keep your position size small.
Don't go all in on one trade.
I generally suggest:
keep a single trade within 20%.
That way, even if you are wrong,
you still have a chance to continue trading.
Third, reduce the number of trades.
Many people make dozens of trades in a day,
which is essentially giving away money.
In reality, there might only be one or two opportunities in a day.
Fourth, be sure to cut losses.
If you're wrong about the direction, just exit,
don’t think about holding on to recover.
Many people lose not because of the market,
but because of 'holding on until death.'
To be honest,
making money in cryptocurrency doesn't depend on how smart you are,
but rather on whether you can consistently do the right things.
As long as you can:
not open trades randomly, not over-leverage, not go against the trend,
you’ve already beaten more than half of the people.
Recently, this wave of market has actually started to provide opportunities,
those with the right rhythm are already profiting.